Watch the YouTube version of this episode HERE
Are you a firm owner who is looking for a way to calculate the success of your firm? In this insightful episode, host Tyson Mutrux delves into the crucial metric of revenue per employee within law firms.
Revenue per employee can be measured in a few different ways. Some include dividing the revenue of a business by the profit generating employees. It can also be calculated by dividing revenue by all employees. Either way you decide to do it will determine if your firm is understaffed or overstaffed. Tyson shares the importance of having a balanced revenue because if not, it means the success of your firm relies on a select few great employees.
As firm owners, it is crucial to consider factors that can increase or decrease revenue. For example, if you spend a lot of money on marketing for the firm, you may see an increase in revenue because of that prioritization. This will eventually decrease after a few months, so be prepared to see a fluctuation of revenue.
Take a listen to learn more!
- 00:23 The importance of revenue per employee for law firms
- 01:07 Different ways to calculate revenue per employee
- 04:10 How various factors, such as marketing campaigns and other projects, can affect revenue per employee
Tune in to today’s episode and checkout the full show notes here.
Resources:
Maximum Lawyer