Second 50 Law Firms Are Trailing Elite Firms and Smaller Peers in Growth
Lower billing rates, more head count, and slowed collections, relative to the top 50, have all contributed to the Second 50's slower growth.
August 28, 2024 at 05:00 AM
5 minute read
Law Firm ProfitabilityWhat You Need to Know
- Second 50 firms increased revenue by 7% in the first half; the top 50 saw a 13.8% increase and the Second Hundred saw an 8.8% jump.
- Relative to the top 50, lower billing rates, more heads and slowed collections have all contributed.
- Collections may also be part of the story, one analyst said.
The highest-profit firms in the Am Law 50 are pushing the industry toward one of its strongest years in recent memory. But while putting up "admirable" gains in revenue and profits, Second 50 firms are trailing both their larger and smaller counterparts in each category of growth at the halfway mark of the year, according to recent bank data.
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