Profit per equity partner: £312,000
Equity spread: £180,000-£460,000
Net profit: £5.3m
Profit margin: 28 per cent
Salaried partner remuneration: £130,000 for fixed-share equity partners.
Revenue per lawyer: £344,000
Revenue per partner: £900,000
Revenue per equity partner: £1,260,000
Cost per lawyer: £247,000
Profit per lawyer: £96,000
No of partners: 21
No of equity partners: 15
No of female partners: Five
No of female equity partners: Three
Total no of fee-earners (including consultants, paralegals etc): 78
Total no of fee-earners (excluding consultants, paralegals etc): 55
Total no of staff: 151
Leverage ratio: 1:2.27
Equity partner to staff ratio: 1:4.87
Fee-earner to staff ratio: 1:0.94
Financial management: Average WIP 50 days, average debtor day 57. Nil debt on a net basis. Partners’ capital contributions based on the equity units in business range from £22,000 to £220,000.
Equity structure: Fifteen of Kendall Freeman’s partners are full equity partners, or ‘senior equity’. Five partners are ‘fixed-share equity’, whose remuneration is partly fixed share and partly based on variable units – a minimum of 40 per cent, which rises as the partner becomes more senior. There is no lockstep and remuneration is merit-based.
Billable hours targets: Assistants 1,425, partners 1,300.
Key clients: Insurers and reinsurers, including Axa, Soc Group, Trenwick Group, THB Group; banks and other financial institutions, including Price-waterhouseCoopers, Invensys, Corus; governments and public sector organisations, including the Nigerian government; Mohammed Al-Fayed.