Edge International

Edge Solutions

Financial Management

“Sustained profitability is the key for the long-term survival of a professional service firm”. This may seem an obvious statement to make but there are many firms who do not optimize their financial potential due to the way they are organized or managed. Sometimes firms only react when levels of profitability begin to decrease, when in fact there have always been opportunities to improve economic performance.

Identifying, measuring and understanding the right data and being able to propose and implement solutions to enhance financial performance are key to financial management. A skilled and well-organized financial function with the appropriate resources can achieve that while at the same time ensuring smooth financial operations. Edge consultants apply their decades of experience successfully financially managing firms of all sizes, from global organizations to small sized practices, to assist in this process.

Financial analysis is at the heart of everything we do in our consulting work. We focus on the key drivers of profitability: productivity (how effectively professionals work), billing rates and realization (the competitiveness of a firm’s rate and pricing structure), margin (cost management and amount available for partner compensation) and leverage (the firm’s ability to push work to the lowest cost level). We review these at different levels (firm-wide, practices, sectors, business units, geographies) and evaluate matter and client profitability.

Such analysis allows us to advise firms on their financial planning and how to achieve superior financial performance. In particular, we regularly…