External investment the key to changing profession, former Law Society president says as firm becomes ABS
External investment rather than the number of alternative business structures is the key to changing the legal profession, a former president of the Law Society has said. Meanwhile, well-known ABS Knights has changed structure to retain more of its profit.
The growth capital fund which became the first external investor in a high street law firm last week has said it will consider investing in other legal practices.
Private equity company Duke Street Capital has invested a further £13m in Parabis Group in a show of long-term commitment to the top 50 firm. Duke Street was the first private equity investor in a solicitors’ firm.
‘Dispersed’ firm Keystone Law has set out an ambitious growth strategy for the firm in the wake of taking external investment, which will see it more than double the number of its offices.
Almost one in four top-250 law firms are considering securing some form of external equity investment, according to a survey. The highest proportion said they would look to raise between £5m and £20m, many to fund acquisitions.
American consumer law firm Jacoby & Meyers, which last year laid out ambitious plans for the UK, will take a twin-track approach to expansion, with both branded offices and affiliations with existing practices, its newly appointed chief executive has revealed.
One in five mid-sized law firms expects to seek external investment to fund expansion within an alternative business structure, according to a major benchmarking survey. However, very few see a merger with non-lawyer professionals in their future.
Brilliant Law, the alternative business structure that was set up with investment from BetFair founder Bert Black, has just received a further seven-figure cash injection. One of the new investors, lawyer turned investment banker Jag Mundi, has also joined as a non-executive director.
Winn Solicitors – which has grown in a decade from nothing to a highly profitable £40m volume claimant personal injury firm – is set for further expansion after being bought by two international investment companies.
The venture capitalists already invested in the UK’s first alternative business structure have added one of the country’s largest probate and estate administration providers to their portfolio, Legal Futures can reveal.