Software solutions - the price is right.

Or is it?

It has long been a complaint among law firms that legal software is disproportionately expensive when compared with general purpose applications.

For example, a single-user licence for the latest version of Microsoft Office costs around 340, whereas a stand-alone copy of a conveyancing case management system is unlikely to leave you with much change from 1,500 - and you will still have to run Microsoft Office on your PC as well.

There are various reasons why legal software is so expensive, not least the economies of scale - Microsoft is able to sell Office to millions of organisations globally, whereas even the most successful legal products are only bought by a few hundred law firms.

However, the net result is the same - for many firms price has become the determining factor when it comes to systems selection.

Obviously, price is important given the commercial pressures all firms are under.

It is also equally true that it always pays to shop around for a bargain and that all software prices are negotiable - and some of the discounts can be very generous, particularly if a supplier is keen to close a deal.

But price should not be the sole consideration.

Functionality is vital.

Software is a tool and if it does not do the job you want then it is not a bargain no matter how cheap it may be.

Although you will never find a system that meets 100% of your needs, it is a false economy to spend less money on a system that only satisfies 70% when for a little more you could have one that achieves 85%.

Equally important is the relationship with your proposed software supplier.

In order to keep costs to a minimum - and so make their software cheaper - some suppliers only offer customers basic support services.

This is fine if you have your own in-house IT resources.

However, most firms do not enjoy this luxury and so are reliant upon their main software supplier - this is often termed a 'trusted supplier' relationship - to help them with their IT projects and any problems they encounter.

Once again - and this is one of the reasons why the Software Solutions Guide focuses so much attention on market research into software users' views - it may be commercially more advisable to buy from a company you can rely on rather than a cheaper but less helpful vendor.

Next time - Is implementation more important than system selection?

Charles Christian is an independent adviser to the Law Society's software solutions guide