How To Avoid Undercharging Your Clients In Your Law Firm

How To Avoid Undercharging Your Clients In Your Law Firm

Scalable Law
How To Avoid Undercharging Your Clients In Your Law Firm

In a legal business, charging for your service can be challenging. Whether you like it or not, we can get emotionally tied to our clients and feel empathetic or stressed about charging for our service. 

As a Lawyer, there have been many times where I haven’t charged my clients properly as I have thought, ‘Oh, I feel guilty because of their circumstance, or I will just quickly do that little thing, and it won’t be a big deal.’ However, all of those tiny issues add up over time and also cause other issues with your client as your progress their matter or service. 

As business owners, we are often more lenient, and we don’t follow our procedures, making it easier for us to undercharge. However, how would you feel if one of your legal team members decided not to charge for a service they had provided on your time? 

So, how do we charge a client confidently?

  • Implement an effective price strategy; This is built on the knowledge, confidence, and practice of understanding your client’s needs – Know your client, inside out! 
  • Offering a lower price won’t attract more clients; If anything, it will attract bargain-hunting clients who don’t appreciate the training and experience you have had. Also, you are undercutting your value, suggesting that your service isn’t worth a higher fee. 
  • Your client’s money is none of your business! It isn’t up to you to decide whether or not your client can afford it; it is up to your client to determine whether they want their issue solved by your business. If they don’t want the service you provide, they won’t come to you. 
  • Set clear boundaries! Before the legal matter commences set clear boundaries. Ensure you have your costs agreement signed and that you have clearly explained the expectations. Charge for what is set out in your costs agreement and stick to your processes. For example, you wouldn’t pay for economy seating and then sit in business class, so why are you prepared to do the same for your service? Attract the right clients and be clear about what value you are charging for and how that value will solve their legal problem. 

So let me leave you with this. You pride yourself in your legal service, and you have worked hard to get where you are now. Charging a fair price allows you to do your best work, and your client deserves the best service you can provide! On the other hand, Undercharging builds resentment, which is not in your client’s best interest. 

Bye for now! 


LinkedIn: @caraleefontenele

Instagram: @caralee.fontenele

Facebook: @caraleefontenele



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