My guest blog for Totum Partners (www.totumpartners.com) the leading law firm management recuitment consultancy.
This month we welcome guest blogger Andrew Hedley, who provides a few salutary lessons for law firms that are serious about attracting external investors.
There was much excitement from the private equity community a few years ago when the possibility of external investment into law firms first raised its head. I had a number of conversations with potential investors who waxed lyrical about the “mouth-watering” profitability available in the sector. They clearly had no understanding of the operating basis of the traditional law firm financial model!