The Evolution of AR in the Legal Tech Industry
Like many other industries, legal tech is constantly evolving. We have all heard over and over about the impact of AI but there is much more that is driving this change. Firms are expanding into new markets, how AR is managed is changing, and the industry as a whole is rapidly growing. With many clients in the industry, I decided to take a deeper look into it.
Top firms have decided to take the leap and expand into new markets and services. This is following a trend that I have been seeing in the industry with SaaS companies seeking to provide a full suite of services to law firms. Here are a few top ones that come to mind:
Clarra - evolving to add accounting and analytics functionality
Aderant - recently acquired Virtual Pricing Director to help address demand for pricing support from clients
VLex - through the acquisition of Clio, they can now provide their clients with a powerful AI legal research platform.
Running a successful AR program is dependent on your unique understanding of the industry. Knowing the finite details can be the difference between collecting a past due receivable while retaining the client and not collecting and seeing a high churn rate. Here are a few quick tips that will ensure a healthy cash flow in the legal tech industry:
Enhanced Customer Relationships - collecting and managing the assets of law firms can be intimidating. It takes a seasoned expert who is willing to take the time to learn about the firm, its contracts, business objectives, and more.
Compliance and Expertise - being licensed, bonded, and insured to manage a law firm's accounts receivables can ensure that your cash flow stays steady and you avoid any liabilities.
By 2030, the industry is projected to reach $51.2 Billion annually. This rapid growth coupled with the increased adoption of AI, cloud based platforms to support remote work, and the expansive use of data to ensure compliance and ease regulatory burdens will support this growth. With growth naturally comes more demand. It is essential now to ensure that your business operations are running smoothly so you are in a place to be able to handle an influx of work, clients, and billing.
As a Legal Tech AR Management company that has been supporting firms since 1992, our team of AR Specialists is highly-experienced and ready to support your AR needs, from hands on Collections to white glove Customer Service. They work with top legal tech firms around the country everyday to manage and collect on their accounts. Click here to learn more about how our services could help your business.