Research Library ADDENDUM

The Lego Model — Modular Ecosystem Pricing

Research Date: 2026-03-18 — Modular flat-rate-per-office pricing strategy for the Law product. Core philosophy: modules are Lego blocks — buy only what you need, and what you buy integrates beautifully.

1. Pricing Philosophy

1.1 Why Flat-Rate Per Office (Not Per User)

The legal SaaS industry is dominated by per-user pricing: Clio ($49–$159/user/month), CASEpeer ($79–$139/user/month), Filevine ($39–$87/user/month). This model has three structural problems:

It punishes growth. When a firm hires a paralegal, their software bill goes up. This creates friction against adoption — firms actively limit who gets accounts.
It creates “seat optimization” games. Firms share logins, rotate accounts, and under-license to save money. This degrades security and data integrity.
It makes pricing unpredictable. A 10-person firm paying $129/user/month faces a $15,480 annual bill. Add 3 people and it jumps to $20,124. Budget-hostile.

Our model: flat rate per office, per module. One price, unlimited users at that office. Add a paralegal? No cost increase. Your whole team should be in the system — that makes the data better, the workflows smoother, and the value higher.

1.2 Why Modular (Not Tiered)

Tiered pricing (Basic/Pro/Enterprise) forces firms to buy features they don’t need to get the one feature they do need. This is the upsell trap.

Modular pricing lets firms compose their own stack. A PI firm might buy Case Manager + Documents + Medical Referrals + Lien Tracker. A real estate firm might buy Case Manager + Documents + Closings + Deadlines.

The magic is in integration — each module stands alone, but modules that work together create compound value:

Case Manager + Documents = documents auto-populate from case data
Deadlines + Lien Tracker = deadlines auto-generate from lien filings
Client Portal + Case Manager = clients see their case status in real time
AI Assistant + everything = context-aware assistance across all data

2. Module Catalog

2.1 Core Modules (Universal)

#	Module	Description	PI Value	Construction Value	RE Value
1	Case Manager	Case/matter dashboard. Directory, phase tracking, home page per case, document viewer, contact management. The nerve center.	Case pipeline, phase tracking	Project/case tracking, multi-party dashboard	Closing pipeline, transaction dashboard
2	Documents	Document generation engine. Template library, merge fields, auto-fill from case data, version control, e-signature integration.	Demand letters, pleadings, settlement docs	Lien notices, contracts, correspondence	Deeds, closing docs, affidavits
3	Deadlines	Deadline and compliance automation. Statute of limitations, filing deadlines, regulatory compliance dates. Auto-calculate, auto-notify, escalation chains.	SOL tracking, discovery deadlines	Lien deadlines (50-state), pre-suit notices	Closing dates, recording deadlines, 1031 periods
4	Client Portal	Client-facing portal. Status updates, document submission, appointment scheduling, secure messaging. Branded per firm.	Case status, document upload	Project updates, document delivery	Closing status, document signing
5	Billing	Billing, invoicing, and financial management. Time tracking, expense tracking, trust accounting, payment processing.	Contingency fee tracking, settlement distribution	Hourly billing, retainer management	Per-closing billing, escrow management
6	Pipeline	Analytics, ops visibility, reporting, bottleneck detection. Dashboard showing firm-wide metrics, case aging, revenue forecasting.	Case pipeline, settlement projections	Project portfolio, billing analytics	Closing volume, revenue trends

2.2 Cross-Vertical Modules

#	Module	Description	Primary Verticals
7	Lien Tracker	Lien tracking and deadline management. Multi-state compliance engine, auto-generated notices, deadline calculation, filing status tracking.	PI (medical liens), Construction (mechanics liens), RE (construction liens)
8	Insurance	Insurance tracking and form submission. Policy management, coverage tracking, tender letters, claim submissions.	PI (UM/UIM, PIP), Construction (CGL, surety), RE (title insurance)
9	AI Assistant	Context-aware AI assistant. Understands all data in the system. Document analysis, drafting assistance, research, pattern recognition.	All three verticals

2.3 Vertical-Specific Modules

#	Module	Description	Primary Vertical
10	Medical Referrals	Medical referral management. Provider network, referral tracking, appointment coordination, records management.	PI
11	ContractEngine	Construction contract management. AIA/ConsensusDocs library, change order tracking, pay application management, clause comparison.	Construction
12	Closings	Real estate closing workflow. Settlement statement calculator (TRID-compliant), deed generator, escrow ledger, recording tracking, post-closing workflow.	Real Estate
13	WireShield	Secure wire verification portal. Multi-factor verification for wire instructions, fraud detection, audit trail.	Real Estate
14	BondTracker	Surety bond management. Miller Act/Little Miller Act compliance, bond claim tracking, performance/payment bond management.	Construction

3. Pricing Structure

3.1 Individual Module Pricing (Per Office, Per Month)

Module	Monthly Price	Annual Price (15% discount)	Category
Case Manager	$199/mo	$169/mo ($2,028/yr)	Core
Documents	$149/mo	$127/mo ($1,524/yr)	Core
Deadlines	$99/mo	$84/mo ($1,008/yr)	Core
Client Portal	$99/mo	$84/mo ($1,008/yr)	Core
Billing	$149/mo	$127/mo ($1,524/yr)	Core
Pipeline	$79/mo	$67/mo ($804/yr)	Core
Lien Tracker	$129/mo	$110/mo ($1,320/yr)	Cross-vertical
Insurance	$99/mo	$84/mo ($1,008/yr)	Cross-vertical
AI Assistant	$199/mo	$169/mo ($2,028/yr)	Cross-vertical
Medical Referrals	$129/mo	$110/mo ($1,320/yr)	Vertical
ContractEngine	$149/mo	$127/mo ($1,524/yr)	Vertical
Closings	$179/mo	$152/mo ($1,824/yr)	Vertical
WireShield	$79/mo	$67/mo ($804/yr)	Vertical
BondTracker	$99/mo	$84/mo ($1,008/yr)	Vertical

3.2 Bundle Discounts

Bundle Level	Discount	Effective Monthly Spend
1–2 modules	0%	Full price
3–4 modules	10% off	Save ~$40–$70/mo
5–6 modules	15% off	Save ~$90–$150/mo
7–9 modules	20% off	Save ~$175–$300/mo
10+ modules (All-In)	25% off	Save ~$300–$450/mo

3.3 Recommended Bundles

Bundle	Modules	A La Carte	Bundle Price	Annual
PI Starter Pack	Case Manager + Documents + Deadlines + Medical Referrals + Lien Tracker	$705/mo	$599/mo	$7,188/yr
PI Professional Pack	PI Starter + Insurance + Client Portal + Pipeline	$982/mo	$786/mo	$9,432/yr
PI + AI Pack	PI Professional + AI Assistant	$1,181/mo	$945/mo	$11,340/yr
Construction Starter	Case Manager + Documents + Deadlines + Lien Tracker + ContractEngine	$725/mo	$616/mo	$7,392/yr
Real Estate Starter	Case Manager + Documents + Deadlines + Closings + Billing	$775/mo	$659/mo	$7,908/yr
Full Platform (All 14)	Everything	$1,836/mo	$1,377/mo	$16,524/yr

4. Infrastructure Cost Model (COGS Per Office)

Cost Category	Monthly Cost Per Office	Notes
Database (Supabase Pro)	$10–$25	Shared infrastructure; Pro plan amortized across offices
Compute (Vercel/AWS)	$5–$15	Next.js hosting, serverless functions, edge runtime
Document Storage (S3)	$2–$8	Avg 10–50 GB/office at $0.023/GB + transfer
Email/SMS (SendGrid/Twilio)	$3–$10	Transactional emails, SMS notifications, alerts
LLM API (AI Assistant)	$10–$50	Claude Haiku for most tasks, Sonnet for complex analysis
E-Signature (integration)	$2–$5	DocuSign/HelloSign API costs
Security/Auth	$2–$5	Per-office authentication (Clerk/Auth0)
Support Infrastructure	$5–$15	Help desk, documentation, onboarding materials
TOTAL COGS per office	$40–$141	Conservative: $65/mo avg; AI-heavy: $100/mo avg

COGS Analysis by Module Count

Modules Purchased	Avg Monthly Revenue	Avg COGS	Gross Margin %
2 modules	$298/mo	$50/mo	83%
3 modules	$402/mo	$55/mo	86%
5 modules	$599/mo	$65/mo	89%
8 modules	$802/mo	$85/mo	89%
All-In (14)	$1,377/mo	$110/mo	92%

5. Revenue Models at Scale

5.1 Blended Revenue Model (Realistic Mix)

Realistic office distribution assumption:

40% buy 3 modules (Starter) — $402/mo
35% buy 5 modules (Professional) — $599/mo
15% buy 8 modules (Advanced) — $802/mo
10% buy All-In — $1,377/mo

Blended ARPU: $596/mo ($7,152/yr)

Offices	Monthly Revenue	Annual Revenue	Gross Margin	Net Margin
100	$60K	$715K	87%	47%
500	$298K	$3.6M	87%	47%
1,000	$596K	$7.2M	87%	47%
3,000	$1.8M	$21.5M	87%	47%
10,000	$6.0M	$71.5M	87%	47%

5.2 Comparison to Competitor Per-User Revenue (10-Person Firm)

Provider	Per-User Price	10-User Monthly	10-User Annual
Clio Complete	$159/user	$1,590	$19,080
CASEpeer Pro	$109/user	$1,090	$13,080
Litify	~$100/user est.	$1,000	$12,000
Law (5 modules)	$599/office	$599	$7,188
Law (8 modules)	$802/office	$802	$9,624
Law (All-In)	$1,377/office	$1,377	$16,524

Key insight: Our 5-module bundle at $599/mo gives MORE functionality than Clio Complete at $1,590/mo for a 10-person firm. We’re 62% cheaper with better vertical-specific features.

6. Mega-Firm Handling

Enterprise Pricing (50+ Offices)

Tier	Office Count	Per-Office Discount
Enterprise	50–99 offices	20% off
Enterprise Plus	100–249 offices	30% off
Enterprise Unlimited	250+ offices	40% off + custom

Morgan & Morgan Example (100 offices, All-In)

Base: $1,377/mo × 100 offices = $137,700/mo
Enterprise Plus discount (30%): $96,390/mo ($1,156,680/yr)
Per-person equivalent: $96,390 / 6,000 employees = $16/person/month
vs. Litify at ~$50–$100/person: saves $204K–$504K per month

7. Network Effects — Why the Ecosystem Wins

The Switching Cost Moat

Modules Owned	Data Depth	Switching Cost	Churn Risk
1–2	Low	Easy to switch	High (5–8% monthly)
3–4	Medium	Painful but doable	Medium (3–5% monthly)
5–6	High	Would lose workflows	Low (1–3% monthly)
7+	Very High	Switching is a firm-wide project	Very Low (<1% monthly)

Year 3 Revenue Projection

Scenario	Offices	ARPU	ARR	Gross Profit
Pessimistic	500	$402/mo	$2.4M	$2.0M
Base	2,000	$596/mo	$14.3M	$12.4M
Optimistic	5,000	$802/mo	$48.1M	$44.3M

Sources

Research Library