Our summary report on the Magic Circle legal firms analyses the financial performance of the group and of individual firms since the Global Financial Crisis. We assess the effectiveness of the different strategies employed to cope wth the downturn and review the overall performance of the group. It is an extract from the full Magic Circle Report.
The Magic Circle report offers a detailed analysis of the performance of the four firms over an unusual fve year period, following the Global Financial Crisis. We look at the performance of the group overall in terms of revenue, profitability, staff numbers and many other financial parameters, including revenue per fee earner, profit per partner, and overheads. There has been a wide divergence in the group in their ability to respond to a revenue shock and in their approach to cost reduction; the success in profit maintenance has varied even more widely.
The report gives a detailed analysis of the position today and the developments over the last five years in a wide range of parameters, including:
revenue per fee earner
support staff per fee earner
number of offices
overhead per fee earner
rent per head
profit per partner
profit per fee earner
working capital efficiency
and many many more.
We believe that this is the first in-depth report of its knd on the Magic Circle and it is intended to showcase a sample of the analysis we can produce for law firms which are interested in benchmarking themselves against peers and better understanding how they can improve their financial performance. The report has been prepared by Mahgul Ansari, an experienced Chartered Accountant, with input from Steve Clapham, a highly experienced financial analyst.
The summary report available here free of charge contains extracts of some of the key information.