Private equity companies, which have successfully made inroads into the legal industry, are now considering funding lateral partner moves to bring top rainmakers to midtiered firms that might not otherwise have the compensation flexibility to land top names, experts say.
By definition, equity partners are law firm owners and investors, share in the profits, and are collectively responsible for overall strategy and management. Yet, when only a handful of people are involved in a monumental decision such as a merger, it’s clear that the definition of “partnership” has changed.
Technology infrastructure now defines how law firms deliver service, manage compliance, and compete for clients. The most forward-looking firms are not just upgrading systems; they are transforming how they plan, finance, and govern their technology investments.
Washington state expanded the breadth of its sales tax laws, which could catch professional service firms off guard. While traditional legal and accounting services are exempt from sales tax, the ripple effects of this change could still substantially impact professional services firms, albeit in subtle but significant ways.
The One Big Beautiful Bill Act (OBBBA), enacted on July 4, 2025, introduces sweeping reforms to the tax treatment of charitable contributions. For high-net-worth individuals (HNWIs), these changes present both strategic opportunities and new limitations that warrant careful planning to preserve philanthropic impact and optimize tax outcomes.
The mandatory work-from-home period, followed by hybrid schedules, has caused many professionals to lose sight of common courtesies and the fundamental standards of good etiquette that once guided workplace interactions. I encourage you to take a close look around your firm — observe how partners, associates, and staff communicate with one another. What you see and hear may confirm the need to intentionally rebuild a culture of respect and professionalism. Here is a list to help with your observations.
AI may be accelerating legal work, but it’s also escalating tensions over how that work gets billed — and who benefits from the time saved.
Even as they become more probing, law firms are also moving faster to make significant lateral hires, according to industry recruiters and consultants.
As law firms explore technological advancements ranging from generative AI to improved billing software, experts caution against having unrealistic expectations of immediately increased profitability, but they emphasize that an innovation mindset will improve client satisfaction and retention.
In today’s market, growth is no longer a function of how big you are, but how well you perform — how quickly you can make informed decisions, respond to shifting client needs, and align the entire firm around a shared vision of success. The firms that pull ahead over the next five years won’t be the ones with the most lawyers or the flashiest marketing budgets. They’ll be the ones that master the art and science of firm performance.
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