Most law firms make great claims about their alternative fee arrangements, but the fact is that all AFAs are not created equal. The truth, according to a recent survey by American Lawyer, is that less than half of AmLaw 200 firms have the ability to adequately capture non-hourly billing arrangements. Any savvy business person knows that if you can’t measure it, you can’t manage it, so in-house counsel are left to wonder if their law firm can properly manage matters under AFAs. At Fenwick, we have offered fixed-fee and other alternative fee arrangements for more than a decade. We use sophisticated pricing, budgeting and project management tools—including a pricing database with more than a decade’s worth of data—so our clients are guaranteed that Fenwick’s fee proposals incorporate accurate staffing and other resources to get the job done without sacrificing quality.
Fenwick is a recognized leader in alternative billing arrangements. For example, our innovative AFAs with Cisco Systems for securities and M&A matters have been highlighted in several legal publications. Today, more than 20% of our firm’s revenue comes from non-hourly billing arrangements. We have developed flat-fee arrangements, task-based billing, risk-sharing fee arrangements and other alternative fee agreements with numerous clients of all sizes and in almost all our practices.
Our detailed estimating database includes ten years worth of matter-level data and is supported by in-house pricing analysts who provide sophisticated multivariable estimates by the size, scope and stakes of the individual matter. Our pricing analysts will work directly with partners on each matter to ensure budgets accurately reflect your matter’s significance, strategy and potential outcomes.
Recognizing that successful budgeting does not end when the budget is complete, we developed a cutting-edge, real-time billing and budget analysis capability. Budgets are loaded into matter-specific ShareRoom extranets which track spend-to-budget in real time. Automated budget status reports are available to partners, associates and project managers at the click of a button. The firm pursues near real-time billing entry, so actual spend can be compared to budget on a weekly basis, ensuring potential issues are identified early, before they turn into real problems.
We are also a strong proponent of eBilling and will work with you to ensure bill review and payment meets your management needs and billing requirements. We work with all the major eBilling vendors, and are LEDES 1998B certified with Serengeti.
Looking for more predictability in your legal fees? Contact Kevin Vaarsi at (650) 428-4416 or firstname.lastname@example.org to learn how we can help apply professional pricing and budgeting to your legal matters.