In depth: full analysis of the LLP accounts of the UK top 50
2013-14 signalled a return to more stable times for many leading law firms, but how much of this was down to prudent financial management?
June 03, 2015 at 07:03 PM
11 minute read
After a shuddering performance across the global economy ensured a slow recovery for UK law firms from the financial crisis, the 2013-14 financial year signalled a return to health for many firms. As the initial results from the UK's 50 largest firms by revenue dripped in this time last year, they largely reflected a picture of positive performance, with combined revenue across the group climbing to a high of nearly £14bn. Average growth, meanwhile, was almost on a par with that seen in 2007-08 – shortly before Lehman's crash – and revenue per lawyer figures based on these pre-audited results indicated that firms' cost-cutting initiatives were bearing fruit.
However, beyond headline revenue figures it is becoming increasingly difficult to measure the success of leading law firms. A progressively diverse and expansive international footprint, near-shoring ventures, affiliated consultancy businesses and the introduction of large ranks of fixed-share partners as a result of recent tax rule changes will all have a role to play in fluctuating top-line numbers over the coming years.
As partners such as Dentons chief executive Elliott Portnoy have argued, average profit per equity partner (PEP) no longer – if it ever did – paints a complete picture of the health of a global law firm.
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Trending Stories
- 1The Law Firm Disrupted: For Big Law Names, Shorter is Sweeter
- 2Wine, Dine and Grind (Through the Weekend): Summer Associates Thirst For Experience in 'Real Matters'
- 3'That's Disappointing': Only 11% of MDL Appointments Went to Attorneys of Color in 2023
- 4What We Know About the Kentucky Judge Killed in His Chambers
- 5'I'm Staying Everything': Texas Bankruptcy Judge Halts Talc Trials Against J&J
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250