Running a large law firm is a balancing act with many moving pieces—especially when it comes to law firm billing. This is where legal billing software comes in.
Legal billing software streamlines many essential billing tasks for law firms—like tracking billable hours and expenses, creating invoices, and managing payment collections. For large law firms, legal billing software is especially important for saving time, ensuring compliant billing processes, and driving profitability while managing many clients and cases at the same time.
In the following blog post, we’ll explore how to find the best legal billing software for large firms like yours. We’ll cover the benefits and key features of billing software for law firms and provide tips for selecting the right software for your firm. To help you evaluate your options, we’ll also review some of the pros and cons of some of the top legal billing software options for large law firms today.
Does your firm struggle with clunky billing and collections processes? Clio’s legal billing software makes it easier for law firms to quickly and securely send bills in a way that’s easier for clients—which means that firms get paid faster.
What is legal billing software?
Legal billing software helps law firms manage the multi-faceted process of billing legal clients more effectively and efficiently. This type of software streamlines and assists with billing and collections tasks like tracking time, invoicing, reviewing bills, trust accounting compliance, processing payments, financial reporting, and more.
Top legal billing software for large firms
When it comes to selecting legal billing software for your firm, there are a number of options to consider. The best choice for your large law firm will ultimately depend on your firm’s size, practice areas, and unique needs.
If your firm is considering adopting legal billing software or making a switch, it’s worth exploring some of the more popular options. To help with this process, we’ve rounded up some of the best legal billing software for large firms available today:
Clio
Clio’s cloud-based legal practice management software offers a comprehensive solution that’s secure, efficient, and scalable—making it a practical, innovative choice for thousands of mid-sized and large firms. Clio Manage’s legal time and billing software offers an extensive suite of features designed to simplify the legal process in a way that’s user-friendly and convenient for legal clients—and efficient and effective for firms.
Pros:
- It enhances productivity. Clio integrates seamlessly into mid-sized and large firms’ tech stack, allowing teams to boost billing productivity by automating manual tasks and capturing accurate time entries. And, when combined with Clio’s online payment processing functionality, Clio Payments, it’s quick and straightforward to collect payments online or in person via Clio’s mobile app.
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- Mid-sized firms using Clio Payments have a median payment collection waiting period of nine days, compared to 20 days for those not using online payments. – 2024 Legal Trends for Mid-Sized Law Firms.
- It’s scalable. Clio’s simple and transparent pricing offers flexible plan options that allow firms to choose plans to fit the features and number of users they need—making it easy to scale depending on the firm’s needs.
- It’s secure. Backed by Clio’s industry-leading security features and protocols, Clio’s cloud-based billing software empowers firms to send bills securely electronically via a client portal and collect payments online through secure click-to-pay links.
- It enriches a tech stack. Using Clio’s legal billing features alongside other Clio offerings—such as Clio Manage’s practice management features, Clio Grow’s client intake features, and Clio Draft’s document drafting automation—in addition top integrations with popular practice management tools (there are currently over 250 apps available in the Clio App Directory plus an open API allowing custom builds) unlocks more streamlined workflows and time savings.
- Solves for more than just billing. On-top of time tracking and billing, Clio also has features to support robust case management, task management, calendar rules, client communication features, and more.
Cons:
- Geographic restrictions. Clio Payments and some integrations are only available in certain countries. Presently, Clio Payments is best for law firms with locations in the US or Canada.
Elite 3E
Touted as the first cloud-native software as a service (SaaS) financial and practice management solution for law firms, Elite’s 3E is law firm financial software that allows large firms to improve profitability and streamline billing operations.
Pros:
- It’s cloud-native. As a cloud-native solution, built for the cloud, 3E can offer a flexible, scalable solution for large law firms.
- It’s customizable. 3E’s platform is highly configurable, which means firms can tailor workflows and customize them to fit specific needs.
Cons:
- It has a learning curve. While the software can offer a highly customizable setup for firms, the extensive customization capabilities can also be complex and time-consuming for staff to learn and may require extensive ongoing support.
SurePoint
Developed primarily for mid-sized law firms but adaptable for large firms, SurePoint offers a range of software solutions for law firms, including financial management, billing, and payment solutions.
Pros:
- It integrates financial management. SurePoint offers a suite of softwares that combine multiple areas of financial management to provide a user-friendly experience with accounting and automated billing.
- It’s predictive. Predictive timekeeping features help predict the clients and matters that users are likely to select, which helps make time entry easier and boosts efficiency.
Cons:
- Involves a learning curve. Mastering their software takes time, and onboarding new users can be a time-consuming process that might require training assistance from their support team.
Aderant
Aderant offers a comprehensive suite of software designed to help law firms run their businesses better, including solutions for legal billing, eBilling and time entry.
Pros:
- It’s comprehensive. Aderant’s billing solution, BillBlast, helps ensure large law firms can bill successfully by automating and centralizing the process from bill capture to delivery for all billing methods (whether paper billing, eBilling, or email billing), which is crucial when handling high billing volumes.
- It offers advanced analytics. With comprehensive reporting and interactive dashboards, Aderant’s billing analytics help firms make data-driven decisions.
Cons:
- Its implementation is complex. Aderant offers many customization and configuration features that may appeal to large law firms looking to tailor their billing, but this complexity can make it challenging to implement and train staff to learn.
Sage
Sage is known for its range of business software options for needs like accounting, CRM, and billing. For legal billing software for law firms, particularly mid-sized law firms, Sage offers Sage Timeslips legal time tracking and billing.
Pros:
- It’s flexible. Saje Timeslips offers flexible billing options that allow users to customize bills for different billing arrangements, billing rates, and rules.
- It offers robust time-tracking features. Sage Timeslips’s automated time tracker, TimeCapture offers robust time-tracking features to simplify and improve how users capture time.
Cons:
- It has limited integrations. While Saje Timeslips integrates with a selection of finance and payment apps, large law firms with more complex tech stacks may look for a more extensive range of integrations for scalability and operational efficiency.
Soluno
Soluno’s cloud-based legal billing, time and expense tracking, and accounting software is designed for law firms of all sizes.
Pros:
- It’s cloud-based. Soluno’s secure cloud platform provides flexibility and accessibility for users to track time and bill remotely, which can be useful for large law firms with multiple work arrangements or locations for staff.
- It allows for custom billing arrangements. From split billing to the ability to allocate charges to specific parties, Soluno’s custom billing arrangements can support the more complex billing needs of large law firms.
Cons:
- It has limited integrations. Currently, Soluno lists less than 15 active integrations. For large law firms looking for integrations that allow their billing software to work with their existing tech ecosystem, Soluno’s limited range of integrations may limit operational efficiency.
Essential features of legal billing software
While features may vary by software and by different pricing plans (some software providers offer different tiers of features and functionality for different pricing plans, for example), key features to look for in today’s legal billing software include:
- Time and expense tracking features: The ability to accurately track billable hours and expenses–eliminating messy spreadsheets or third-party time tracking applications.
- Invoice creation and sharing features: The ability to create detailed, clear invoices for various billing arrangements (such as individual and split bills) and securely send them electronically.
- Payment processing features: The ability to offer flexible payment options and accept online payments.
- Flexible billing features: The ability for flexible payment options and alternative billing arrangements.
- Trust accounting features: Simplified management of trust accounts and IOLTA accounting.
- Reporting features: The ability to easily track financial performance and profitability with legal billing reports and financial reporting.
- Accounting and bookkeeping features: The ability to sync transactions with your accounting software reduces manual entries and errors.
- Integration features: The ability for your billing software to sync and work with practice management tools and accounting software for streamlined workflows.
- Security features: Ensure the protection of client data and ensure compliance with industry rules and regulations.
What are the benefits of legal billing software?
Legal billing software is one of the most effective ways for law firms to improve their billing and collections processes.
Some of the key benefits of legal billing software for large firms are related to:
- Efficiency. Legal billing software offers improved efficiency for many billing processes, such as time tracking, invoicing, and payment collections. Reducing time spent on these time-consuming manual tasks helps large law firms save time and boost productivity.
- Accuracy. Similarly, using software for billing tasks helps to reduce the risk of manual billing errors or inaccurate time and expense tracking.
- Cash flow and profitability. As the 2024 Legal Trends Report for Mid-Sized Law Firms found, the median total payment lockup (unbilled and uncollected revenue) among mid-sized law firms is 101 days. Adopting streamlined billing and convenient payment options makes it easier to bill clients faster and for clients to pay promptly, leading to increased revenue for your firm.
- Compliance. From LEDES billing to trust accounting, law firms have many unique legal, accounting, and ethical responsibilities when it comes to billing. Legal billing software features make it easier to manage complex processes and stay compliant.
- Reporting. Information is key to sound decision-making and financial management for law firms, and reporting features in law firm billing software make it easier for firms to track key performance indicators and analyze data.
- Client experience. Legal billing software makes it easier for firms to send clear, detailed invoices to clients in less time. Increased transparency and a timely billing process contribute to a better experience for clients.
Cost considerations: Budgeting for software solutions
Budget is one of the primary considerations when selecting legal billing software for mid to large-sized law firms. Weigh the following factors when budgeting for potential legal billing software solutions to help you find the right fit:
- Tiered pricing. Many legal billing software solutions offer different pricing tiers depending on the specific features that a firm may want to use. Consider which tier and price would best suit your firm.
- Subscription fees and contracts. Be sure to check if signing up means you’re locked in with a software for a set period.
- Monthly vs. annual prices. Some software solutions offer a discount when subscribing on an annual basis.
- Integration fees. Are you hoping to use a particular software with certain software integrations that you don’t already pay for? If so, consider any app costs for integrations and include them in your budget.
- Onboarding and training costs. Are there fees or costs required for training, setup, or onboarding?
- Additional fees. Look for any hidden costs for things like additional storage or additional features.
- Return on investment (ROI). In addition to considering how much a software will cost, take some time to consider what cost savings it may be able to provide the firm as an ROI.
Tips for selecting the right software for large firms
Consider the following tips when vetting potential legal billing solutions for a large law firm:
1. Know what your firm needs
As with almost any software solution, there is a wide array of great options available to choose from when it comes to legal billing software—but that doesn’t mean that all will be the right fit.
To avoid choosing software that doesn’t have the features your firm really needs—or, conversely, paying too much for software with features your firm won’t use—start by taking the time to assess the specific needs, wants, and pain points your firm currently has with legal billing.
What billing tasks are taking up the most time or causing the most frustration at your firm? Identify these, then when evaluating legal software look for a solution that addresses those specifically.
2. Keep scalability in mind
In addition to identifying areas of improvement for your firm’s billing now, it’s also important to prioritize scalability for the future. Legal billing software for large firms should be able to scale as the practice expands and more cases and clients come on board.
3. Remember the budget
As mentioned previously, it’s important to carefully consider what fits the budget. Make sure a potential software fits the budget, and look for any free trials or demos available.
Also, consider scalability with the budget: Can your firm start at a more basic tier for a lower cost, then move up to more fully-featured tiers later?
4. Standalone billing software or a legal practice management platform?
Does your firm want an all-in-one solution for practice management and billing features or just billing software? If you’re choosing a standalone software, be sure to consider how well it can integrate with your existing practice management software.
5. Consider product innovation
You want to select a solution that will invest in delivering you the best product. This means making sure the solution you chose has a product team that delivers on their promises. This is crucial today where we see advancements in things like AI impacting how we work.
6. Consider integrations
Similarly, it’s also important to consider how well a potential billing software will be able to integrate with your existing tech stack and systems. Can it integrate with your accounting software? Does it integrate with other tools that your firm frequently uses?
7. Check on customer support
Take the time to research potential solution’s customer support and training resources. Does the software offer responsive customer support if something goes wrong? How will your firm learn how to use the software?
With the above tips in mind, be sure to spend time thoroughly researching and comparing potential solutions before implementing one at your firm.
The impact of AI on legal billing software
Artificial intelligence (AI) has already had a significant impact on law firm workflows and processes, including legal billing.
When used ethically, AI tools (like Clio’s upcoming generative AI-powered partner, Clio Duo, which is coming soon) can help lawyers streamline processes and improve workflows. In the realm of legal billing, this can mean a range of functions, such as:
- Built-in time tracking to make it easier to track billable hours
- AI-powered invoice review to flag errors or inconsistencies
- Detailed reporting via AI-driven analytics
- And more
Mobile capabilities: Billing on the go
Mobile capability is another important factor to bear in mind when considering legal billing software solutions.
From remote working to working on the go, the ability to track time and manage billing flexibly enhances efficiency.
Clio’s top-rated mobile app, for example, makes it easy to pull up bills and capture billable time on the go.
Compliance features: Safeguarding client data
As with any software or tool your firm uses, safeguarding client data is critically important when considering any legal billing software.
Any software your firm uses should have, at minimum, robust security features, be compliant with industry standards and requirements, and use security-focused features.
To learn more about how to keep your firm secure, read our guide to law firm data security.
Clio, for example, protects client information with top security features and protocols, including:
- Having dedicated security experts available 24x7x365 to respond to security incidents
- Applying in-transit and at-rest encryption using industry best practices (such as HTTPS and TLS)
- Meeting compliance requirements, including GDPR guidelines, HIPAA standards, SOC2 compliance, and ensuring all payments are PCI-compliant
You can learn more about Clio’s security features and protocols here.
Conclusion: Choosing the best legal billing solution for your firm
Legal billing for a large law firm can be complex and time-consuming, but the right software can help. The right legal billing software solution can streamline workflows, improve efficiency, and ensure more accurate and effective billing, all while keeping client data secure.
The key to choosing the best solution for your law firm is to do your research. By determining the areas where your firm could most benefit from improvement, you can then find the right legal billing software to help.
Clio’s legal billing software is a great choice for a streamlined, innovative, and comprehensive solution. Clio’s billing features make it easier to bill your clients in a way that’s convenient and clear for them—while also making the whole billing and collections process easier, quicker, and more effective for your firm.