1. Developing the Billing Framework

• Review existing fee-setting and estimating processes by practice group.
• Ascertain what internal financial data is available to assist in quoting fees for the group’s work.

2. Determining the Scope of the Matter

• Engage lawyers with the appropriate experience and skill to develop a scope document.
• Make client input and approval part of the scoping process.

3. Quoting the Fee

• Use past matters of similar scope to determine appropriate fees for the work.
• If a matter has a high level of uncertainty, quote the fee in phases with fixed benchmarks as triggering points for consultation with the client.
• Obtain client payment terms in writing, including an agreed-on billing frequency.

4. Using the Engagement Letter

• Include the approved scope document in the engagement letter.
• Obtain client signatory approval at the proper senior management level.

5. Monitoring the Matter

• Determine which member of the client team has oversight responsibility for monitoring the ongoing work.
• Monitor the work regularly (no less than semimonthly) to ensure that issues that could cause delays or cost overruns are caught early.
• Engage the help and support of firm management if issues arise that could cause cost overruns.
• Communicate with the client regularly. Be timely in notifying the client of issues that could cause the fee to increase.

6. Billing

• Bill according to the agreed-on timetable for work performed within that time period.

7. Documenting the Matter

• Document the matter in a way that will be useful in quoting future matters.
• Send a postmortem client satisfaction questionnaire to obtain feedback.
• Debrief with the client about what went well and what could have been done better.
• Use the debriefing to refine your service and fee quotes and obtain further work.

Compiled by the Cleland Consulting Group, Inc.