Profits per equity partner (PPP) matters. The figure reflects a firm’s prestige and the depth of its pockets, both of which are prized in the internecine war for the most commercially productive partners.

One simple way to augment PPP is to divert partners from the equity to the nonequity ranks: As the number of equity partners falls, the profit per equity partner rises. Thus it is not surprising to read news of firms increasingly promoting associates to the nonequity rather than the equity tier, and even of de-equitizing incumbent equity partners.

This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.

To view this content, please continue to their sites.

Not a Lexis Subscriber?
Subscribe Now

Not a Bloomberg Law Subscriber?
Subscribe Now

Why am I seeing this?

LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.

For questions call 1-877-256-2472 or contact us at [email protected]