If you’re anything like me, you might have no idea what numbers to even look at when it comes to the finances of your business. I wasn’t keeping up with my books at all. I had no idea what a profit margin was, I didn’t pay myself a salary, I didn’t track anything in my law firm. I didn’t know that I should’ve even been doing those things. I think running a business can be so difficult because you don’t know what you don’t know!
But I’m here to teach you what you should know. Are you ready to financially overhaul your law firm? Here’s what to expect behind the scenes, and what to keep in mind throughout the process. You need to have the proper mindset so you can push forward and not give in to any negative thoughts or doubts you may have along the way.
1. Past (Or Current) Errors Will Come Up: Don’t Judge Yourself
I want to declare this as a no-judgment zone. I want you to promise that you will not judge yourself, especially when you’re working hard to better yourself and your business. You have done a great job in even getting to this point— and it has taken a ton of work on your end. So remember, be kind to yourself as you go through this process.
2. Old Beliefs Will Be Triggered: Keep Moving Forward
I also want you to keep an open mind because when we talk about money it is easy for us to feel triggered. Our old money stories can come up; old, limiting beliefs. I want you to be aware of this, especially if you start to feel any push back. This brings us to number 3.
3. Your Lawyer-Persona Might Balk: Do Not Mix Your Roles
Once you start a financial overhaul to bring your law firm upward, you would feel some push back from yourself, I know I did! If you find yourself thinking, “Why would I focus on this when I have a ton of work to do?” just know that this is your limiting belief and an old story that no longer serves you. You are a CEO and a lawyer. They are separate and distinct roles, do not mix your roles. They are different and must be treated differently.
Your numbers matter. By focusing on earnings in your law firm, it does not make you less of a lawyer. You can earn a great living and do great work, they are not mutually exclusive.
4. The Financial Overhaul Might Seem Outrageous At Times: Try It Anyway
Like I said earlier, keep an open mind. If you start to feel like you are being negative about things that you hear or see, allow yourself to challenge those negative thoughts and ideas. Maybe not every idea will feel right for you, but I encourage you to try them on first.
Try to make an argument for the idea just to see how it feels.
5. You’ll Feel a Lot of Resistance, That’s Fear
What’s truly behind our resistance is fear… Fear that if we try it, we will fail. Fear that it’s too much for us to keep up with. Fear that we don’t know what we are doing. Fear that we will be successful –yes, this is a real fear! Fear that we will judge ourselves for our success or failures, and the fear that others will judge us for our successes or failures as well. Fear that any changes will mean that we have to change our firms.
For example, knowing we will have to let go of the dead weight, or we will have to admit to ourselves and/or our partners that we have to do things differently, etc. Some or all of these fears might become a reality. For example, once I started running my law firm better we hired almost all new people to work at the firm. We had to do things completely differently.
I also had to accept that I wasn’t being a smart business person. I had to admit that I was making a ton of mistakes and I felt embarrassed and ashamed, even though I knew that there was no reason to. That’s why I am saying that I don’t want you to judge yourself.
6. The Internal Resistance Is Temporary
When you realize how much better things can be, you simultaneously have to admit that things weren’t right. But sometimes that feels so painful that you would rather stick to where you are right now than have to step into that pain. That said, I have to tell you that pain and embarrassment are so temporary! It’s important for us to constantly challenge ourselves and push ourselves further.
7. When You Face Your Fears, You Get Stronger
This is only a cliche because it’s absolutely true. I am proud of my firm and what I have created, but when I opened my firm to having an external CFO, and especially a CFO who has worked with some of the most prestigious law firms in the country, I was very nervous and almost resisted doing it because what if he told me that everything I was doing was all wrong?
What if he thought I was stupid or inexperienced… and since I teach people how to run successful law firms, I feared that he would think it was ridiculous that I could teach people how to run a law firm if I wasn’t running mine well. Instead, he told me that I was running the leanest, most well-run law firm he had ever seen. He told me all of the things I was doing right, and he helped us use the data that we had been collecting to be able to understand things like financial forecasting and setting up ways to “test” different scenarios, such as if a certain case type slowed down or if we made a high-level hire.
Because I overcame my fear and brought in an expert who has taught me a lot, it means that I can bring even more lessons to you. My point is that we all have fears, so let’s embrace and lean into them. Refuse to allow them to stop us from taking our lives to the next level.
Are you with me? I know it feels hard, but we are all in this together. You can bring your fears to our FB group, let’s help lift one another up so we can all achieve our goals. What are you experiencing right now as you overhaul your law firm?
If you can believe it, I have even more knowledge to share on this topic! If you’d like to learn more about tracking your numbers, sign up for my Six Figure Solo program! Six Figure Solo now comes in three tiers – Executive, Solopreneur, and CEO. Sign up here.