Having high PEP is a bit like seeing a long queue outside a restaurant. What’s all the buzz about? It has the effect of acting like an advert, broadcasting its calibre to the market.
In the U.K., limited liability partnerships are required to each year post a detailed report on their financial health to Companies House. But they also publish annual results, typically in the summer, which reveal average profits per equity partner (PEP) as well as revenue, profits and more. The exchange of information helps firms know their industry, whom they’re competing with and what more they need to do to prosper.
