[1]By Legal Futures Associate Clio [2]
A new study released by Clio [3], the world’s leading provider of cloud-based legal technology, has revealed that UK law firms waste over 50 days a year chasing late payments from clients. The study, conducted by Censuswide, with a sample of 150 UK law firms and 1,000 UK consumers, found that a quarter of law firms spend a full day each week dealing with payment delays and challenges. Furthermore, the research showed that paying for legal services was the most difficult aspect of working with a lawyer for a fifth of those who have engaged in legal services.
“UK law firms are under more pressure than ever before with rising inflation, increased competition, and longer working hours—all while consumer expectations steepen,” said Sarah Murphy, General Manager of Clio in EMEA. “Every firm in our most recent research reported that they spent hours every week and month chasing payments. That’s time they can ill-afford to waste..”
The study also revealed that:
- Despite the time spent chasing payments, 97% of legal fees are not paid on time
- 27% of legal practitioners said that not getting paid properly affects their morale
- 40% of consumers said they would not use a law firm that lacks a simple online payment method
- 50% of consumers who used a law firm were not given the option to pay with a debit card
“Billing remains the single most frustrating point of friction for UK law firms and clients alike, as is evident in our most recent research”, said Jack Newton, CEO and Founder of Clio. “For too long, paying for legal services has been a complex process for both lawyers and their clients, and it’s time for a change.”
Clio launches an online payment processing solution in response to growing challenges
In response to the growing need for better, more seamless client experiences, Clio has launched a new UK legal payments solution, available now through their flagship legal practice management software, Clio Manage. Clio Payments offers British legal professionals a better alternative for accepting payments in compliance with client accounting rules while reducing administrative work.
Using Clio, UK law firms can now:
- Accept online payments securely and in accordance with PCI compliance
- Offer click-to-pay links via bills, law firm website, emails, QR codes, or through Clio’s secure client portal
- Keep client, billing, and financial records in one place for smooth, three-way reconciliation
- Get full transparency into every transaction with a fixed rate for all card types and no hidden fees
- Track bill payments automatically and sync records to a preferred accounting platform
- Separate client accounts from the law firm’s operating account
- Trust that transaction fees and chargebacks (third-party debiting fees) are automatically taken from the operating account, not the client account
“Today’s launch of Clio Payments is an exciting moment in our UK growth story,” said Newton. “We know first-hand the transformative impact online payments can have on the health of a law firm, and we’re keen to see the positive effect this will have for British law firms and their clients.”
For more information, visit https://www.clio.com/uk/features/payments/ [4].