What exactly is weather forecasting for business?
Forecasting allows you to use data from the past to forecast into the future what business will exist in the future. Why should you try to create forecasts in the future? One of the big problems for all legal professionals is slow months. Every lawyer and mediator that I have ever spoken with always says something to the effect that “I am worried because the phone isn’t ringing this month. Is there something wrong?” Well taking the data from the past can help to identify why the phone isn’t ringing that month, or when your business is going to be super busy. Forecasting can help you identify when you can take time off and when you cannot afford not to. In my experience, I have compiled data for about five years worth of business activity and I am able to look at the data to forecast the upcoming months; determine when cash flow may be problematic, and evaluate why the phone isn’t ringing. All of this results in better peace of mind for me. Generally, the more information I have regardi
