The most significant change in The Lawyer’s ranking of UK 200 firms has been the entry of Parabis, the 10-year-old outfit established by former Berrymans Lace Mawer partner Tim Oliver.
Turnover (£m): 100
Average PEP: 1,136
Equity spread (£k): 1,136-1,136
Profit margin (%): 13
RPL (£k): 348
Vision – Execution – Governance –
Parabis, which is the umbrella group for, among others, defendant firm Plexus Law and claimant firm Cogent Law, generated a revenue of £100m at the latest
year-end from its two legal entities, representing a 17.6 per cent hike from £85m a year earlier.
The firm operates as a limited company and has been set up with the clear aim of taking advantage of the opportunities presented by the Legal Services Act.
Consequently, Parabis has no average profit per equity partner figure. The firm’s estimated net profit for 2010-11 is £12.5m. As its Companies House filings reveal, Parabis has 11 LLP members. Under a traditional law firm structure, this would have seen these partners take home an average of £1.14m each. However, it is understood that a large chunk of the profit is ploughed back into the business, with the equity partners paid on a salary plus year-end bonus structure.
Parabis’s strength lies in its string of blue-chip insurance clients. As well as QBE European Operations, the list includes RBS’s insurance group, which owns Direct Line, RSA and Chartis, a subsidiary of AIG.
In the past financial year Plexus Law usurped Kennedys as the provider of personal injury claims work to Tesco, which Kennedys had inherited as part of its acquisition of Halliwells’ Sheffield office last year.
With 95 partners and 1,200 staff, Parabis now has expertise operating in the employer and public liability sectors, the professional indemnity markets and traditional dispute resolution.