Effective Use of Credit in Law Firms

Sep 16, 2022

A lot of business owners have misconceptions around lines of credit and debt. Credit and debit are a necessary part of growing a business. Once debt has been accumulated, it is important to create a system to repay your debt. I will be going over all the ins and outs of taking accumulating debt to grow your business in this episode. 

In today's episode we discuss:

• Debt is an advance that affords an opportunity to invest in your business that will give you a greater return. 
• How to use debt and learn how to use it effectively.
• Recognizing that there is a great distinction between credit card debt and a line of credit.
• Creating a schedule of repayment as soon as there is any money on the credit card.

Allison Bio:

Allison C. Williams, Esq., is the Founder and Owner of the Williams Law Group, LLC, with offices in Short Hills and Freehold, New Jersey. She is a Fellow of the American Academy of Matrimonial Lawyers, is Certified by the Supreme Court of New Jersey as a Matrimonial Law Attorney, and is the first attorney in New Jersey to become Board-Certified by the National Board of Trial Advocacy in the field of Family Law.

Ms. Williams is an accomplished businesswoman. In 2017, the Williams Law Group won the LawFirm500 award, ranking 14th of the fastest-growing law firms in the nation, as Ms. Williams grew the firm by 581% in three years. Ms. Williams won the Silver Stevie Award for Female Entrepreneur of the Year in 2017. In 2018, Ms. Williams was voted as NJBIZ’s Top 50 Women in Business and was designated one of the Top 25 Leading Women Entrepreneurs and Business Owners. In 2019, Ms. Williams won the Seminole 100 Award for founding one of the fastest-growing companies among graduates of Florida State University.

In 2018, Ms. Williams created Law Firm Mentor, a business coaching service for lawyers. She helps solo and small law firm attorneys grow their business revenues, crush chaos in business and make more money. Through multi-day intensive business retreats, group and one-to-one coaching, and strategic planning sessions, Ms. Williams advises lawyers on all aspects of creating, sustaining, and scaling a law firm business – and specifically, she teaches them the core foundational principles of marketing, sales, personnel management, communications, and money management in law firms.

Contacts – Social Media

https://www.lawfirmmentor.net/speak-with-a-growth-strategist

Snip-Its

00:06:56 (32 Seconds)

Now, increasing the line of credit gives you a benefit of decreasing your income to debt ratio, right? So if I have a card and it has a 9000 credit limit and I have spent $3,000, I've used 33% of my credit. However, if I get them to increase that credit limit to 10,000, my credit utilization rate goes down to only 30%. So I've done nothing other than secure more credit, but that will typically trigger an increase in my FICO score, my credit score.