Legal Business Development: The Bottom Line on Return on Investment
It is a wise businessperson that asks… “If I invest X what will my return on investment (ROI) be?”
A good question… not so easy to answer.
There are many wrong ways for lawyers to calculate ROI.
The investment industry will calculate the ROI as: the return of an investment is divided by the cost of the investment; the result is a percentage. Some firms simply use multiples: for example, spend $1,000 and get a case for $10,000, and the return is 10 times the investment. Others use the comparison of hard dollar cost to hard dollar profit.
For most . . . [more]
