How good are you at collecting debts?

I have a friend with a small solicitors practice.  It is the principal plus three other solicitors.  There are three other admin type staff.  So four fee earners. 

There is difficulty with cash flow and she has asked that I come and have a look at her accounts and debtors.

For this size of practice, what would you say would be an acceptable number of days in debtors? ie Total debtors (say at year end) divided by rough daily turnover.

Would appreciate anyones comments.

Comments
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For this type of business i'd

Jason Dormer |
Jason Dormer's picture

What type of legal work do they do?

Hal |

Thanks for these comments

KarenCCarr |

45 days is too much

zarathustra |
zarathustra's picture

She tells me that bills go

KarenCCarr |

Getting the Debts Down

Moonbeam |
Moonbeam's picture

45 days less than industry average?

Jason Dormer |
Jason Dormer's picture