Utilising an in-depth case study of a law firm encountering trading difficulties, this new virtual classroom, tailored for trainee lawyers, delves deep into the financial trading of a law firm, looking at the challenges faced and more importantly what steps stakeholders/the management board might want to take to improve trading performance.
During this virtual classroom you will:
- learn how to interpret accounts, profit and loss statements and balance sheets
- learn how to break down the financial jargon in the numbers
- identify what numbers in accounts you should query, challenge, interrogate & discuss
- learn about variance analysis and what causes variance on the profit and loss account
- understand what differentiates fixed costs and variable costs in a business
- look at the composition of the balance sheet
- look at WIP & debtors in the accounts and UITF40
- understand lockup and cash flow impact
- learn what KPIs firms focus on and why
- understand how KPIs are calculated and monitored
- be able to prepare for growth, investment and mergers
Session One will focus on: understanding company/LLP accounts; profit and loss; balance sheets; and cash flow statements. Session Two will deal with: budgetary control and forecasting; building a case for growth; and investments.
After attending this virtual classroom you will:
- have a deeper understanding of the make up of the profit and loss and balance sheet
- appreciate why variances occur in practices of differing size and scale
- understand the key working capital relationship between WIP and fees and cash
- appreciate the importance of cash flow management and the impact of UITF40
- recognise when cost constraints are essential
