My comment about the negative WIP is purely accounting based. In the sense that WIP is positive money that is projected to come in while 'claims outstanding' is just negative money that is projected to go out. I'm not claiming they are matching each other in the literal sense.
You said law firms can get an edge on how much each other charges, why is that exactly? It's not immediately clear to me why this is the case. Actually can you take me through a customers point of view of a case. Such as how different customers visit a law firm, do they shop around, and also how does each step work until the end. I've never actually been to a 'no win no fee' lawyer before. This is a very strange business model where basically there is no set price. The final price like you said is hidden from the competitors. Do the customers actually know what percentage they are going to have to pay to the lawyer? Will say Shine promise to win a bigger settlement than other lawyers out there and say that's why we charge double the percentage as commission and the final amount is still more to your pocket?
Also, how are the lawyers and admins being reimbursed? Is it flat pay based or is it more on cases and how much money the lawyer can bring in a year?
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