Pre-bill review (or proforma review) is a critical quality control step in the billing process for law firms. This process typically occurs monthly after time entries have been generated but before invoices are sent to clients. Effective pre-bill reviews ensure that invoices accurately reflect the work performed, comply with client expectations, and enhance the overall client experience. As law firms face increasing pressure to provide transparent and detailed billing, optimizing this review process becomes essential for maintaining client trust and improving cash flow.
The Pre-Bill Process
Pre-bills (or proformas) are draft bills generated for internal review, containing time entries and expenses incurred during the billing cycle.
Review Steps
1. Initial Review: Conducted by a designated reviewer who checks for accuracy, compliance with guidelines, and clarity of narratives.
2. Final Review: Performed by the partner responsible for the client relationship, focusing on the reasonableness of time spent and overall bill perception.
Common Review Items
Time Entries: Check for spelling, clarity, reasonableness, and consistency among timekeepers.
Write-Offs and Discounts: Ensure agreed discounts and write-offs are applied correctly.
Expenses: Verify categorization and reasonableness of expenses billed to clients.
Optimizing the Process
Balancing the time spent on pre-bill reviews with the quality of the bills produced is essential. High quality bills may require more time, while poor-quality bills can harm client relationships.
Transitioning from manual reviews to automated software can enhance efficiency and accuracy. AI driven tools can learn billing preferences and flag issues before human review.
Conclusion
Pre-bill review is vital for maintaining billing accuracy and client satisfaction. By leveraging automation and refining processes, law firms can improve efficiency while ensuring high-quality billing.