Following two years of disappointing figures, Forsters rebounded in 2010-11: revenue rose by 12 per cent, from £22.3m to £25m; net profit was up by 78 per cent, from £5.6m to £10m; while average profit per equity partner increased by almost 30 per cent, from £297,000 to £365,000.
Managing partner Paul Roberts said the growth was mostly down to a resurgent, cash-focused real estate market and the firm’s strengthened private client practice, which management set about buttressing four years ago when it became obvious that a reliance on real estate was unsustainable. Litigation also put in a strong showing for the firm over the past financial year.
Roberts has been managing partner at Forsters since its inception 13 years ago. He was originally appointed into the position and then subsequently re-elected on several occasions. His current term ends in 2014.
Strategy at the firm is decided by a nine-strong management board, populated by senior partner Guy Jordan and Roberts, the heads of the practice groups and several other more senior partners.
A remuneration committee comprising Roberts, Jordan and three elected partners oversees compensation for the firm’s two classes of partner, fixed-share and equity. There is also a small bonus pool for top performers.