Starting a new law firm? Here’s my financial KPI playbook for the first 36 months.

Month 1-12: Client Acquisition Costs (CAC) – The legal world’s equivalent of an opening statement. Let’s keep these costs lower than my coffee budget. Goal: More clients, less spend.

Month 13-24: Revenue Per Client (RPC) – Now that we’re in the game, it’s time to shift focus. We’re not just winning cases, we’re maximizing value. Think of it like winning chess with fewer moves.

Month 25-36: Client Retention Rate (CRR) – The legal world’s “sequel” strategy. Happy clients come back. Unhappy ones join the other side. Let’s keep our clients closer than our friends.

All Along: Operating Margin – Keeping an eye on the bottom line. Like a good court argument, it’s all about being lean and effective.