Eversheds is considering taking shares in client companies in exchange for fees as growing numbers of law firms look at more innovative pricing options including fee rebates.

The top 10 UK firm is in the early stages of considering shares for fees – a practice that has not been commonly seen in the UK since the dotcom boom.

Eversheds' South African arm has already taken shares in around six listed companies as well as a limited number of unlisted clients and the firm is now keen to explore whether it could do the same in the UK.

Eversheds chief executive Bryan Hughes (pictured) said: "We have looked at it over the years and generally steered away from it, but there is more appetite for sharing risk and reward so we are looking at it again.

"However, at this moment the Alternative Investment Market is very quiet and therefore it isn't practically available."

The news comes as Herbert Smith confirmed that it had been approached by a number of clients in recent months asking whether it would consider a shares for fees arrangement. Although the firm did not proceed with this, partners said it would not rule it out in the future.

The re-emergence of the idea comes as increasing numbers of firms look at alternative billing options.

Slaughter and May has entered into rebate arrangements with clients, paying back a percentage of fees at the end of the year depending on how much has been spent. The arrangement has been in place with one client for several years and it expects to use it more frequently.

Other firms predicting an increase in rebates include Lovells, CMS Cameron McKenna, Norton Rose and Allen & Overy (A&O). Others, such as Norton Rose and Bird & Bird, are reporting increased use of success and abort fees in non-contentious areas.

Norton Rose group chairman Stephen Parish said: "Increasing numbers of banking clients want volume discounts. Rebates are not as prevalent at this stage but are increasingly expected."

A&O managing partner Wim Dejonghe said: "Clients, for obvious reasons, want more for less but they do understand that there needs to be a win-win situation for both sides. In terms of formats, anything is possible – we are really flexible."

Bird & Bird managing partner David Kerr said: "Alternative billing is definitely the future for what clients want. We have been developing all sorts of different and sophisticated packages from fixed fees to retainer arrangements to success fees in non-contentious work.

"We looked at taking shares out in clients during the dotcom period but concluded it is not something we would do as it is quite dangerous and risky. However, in principle, it is different if funds are established where partners could invest their own money into a client, which is something that we could look at in the future."