Is the Legal Industry the Next Frontier for PE Investors?

What if the next wave of private equity (PE) disruption is in the legal profession? PE has already transformed medicine, dentistry, and accounting. A rare opportunity is emerging in the legal field, yet most investors are unaware of it.

What’s happening? First, one of the largest generational shifts the profession has ever seen is underway. With the Baby Boomer generation approaching retirement, it’s estimated that over 300,000 lawyers nationwide will retire in the next decade. More significantly, roughly a third of them are solo practitioners or owners of small law firms. This creates enormous roll-up potential for those who can systematize operations, leverage technology, and capture efficiencies of scale.

At the same time, lawyers themselves are just beginning to act like investors. In addition, Management Services Organizations (MSOs) have entered the picture, acquiring law practices. Both groups hope that by moving first, they can achieve the outsized returns that have been successfully obtained in similar acquisitions in medicine, dentistry, and accounting.

However, this window will not remain open forever. In markets like this, early entrants not only secure better deals, they define the market itself. Investors who act now are best positioned to capture multiples and long-term returns that latecomers will miss.

Why Law Firms Play by Different Rules

While the opportunity is high, one challenge is that most non-lawyer investors don’t understand how law firms operate or make money. Each practice area does both very differently. They’re not like dental clinics or accounting practices, which do the same thing in the same way, such as filling cavities and preparing tax returns. An estate planning practice has virtually nothing in common with an immigration practice or any of the other forty or so legal practice areas. Each comes with its own business model, dynamics, and challenges. Investors must consider:

Which practice areas make sense for investing?
How do you measure the goodwill of a small law firm?
Will clients stay loyal to the firm once the founder steps away?
What’s the realistic timeline to see ROI on a law firm acquisition?

For investors, knowing answers to these questions is critical to identifying the best and most lucrative opportunities.

The Unseen World of Law Firm Deals

In addition, investors face another daunting challenge: the absence of a defined marketplace. Unlike other industries, there is no central marketplace for buying and selling law firms. The few transactions that have already taken place are highly confidential, fragmented, and often invisible to outsiders. That makes it difficult for private equity to gain a foothold, even when the opportunity is clear.

Where Few Have Access, Roy Has Insight

This is why few professionals are better positioned to advise potential investors than Roy Ginsburg. For over two decades, Roy has guided lawyers through succession planning and connected investors to opportunities they wouldn’t find on their own. Along the way, he has built deep relationships across the profession and developed a unique vantage point that few can replicate.

A rare combination of lawyer, consultant, and broker, Roy provides both expert consultancy and deal flow. With decades of practice experience and trusted ties throughout the legal world, he brings the expertise and discretion investors need to succeed in a market few truly understand.

The Benefits of Working With Roy

Roy does more than monitor the market. He provides you with direct access to opportunities that most investors would never become aware of otherwise.

To help investors, Roy:

Tracks hidden opportunities and alerts you when the right one comes along.
Pursues your “wish list” of practice areas, firm sizes, or locations on your behalf.
Reaches out discreetly to potential sellers and manages the earliest conversations.
Opens doors to law firms that are not publicly advertised for sale.

Early Entry Means the Best Deals

If you’re asking, “Am I too late?” The answer is no. You’re still early. PE firms and MSOs that act quickly can be among the first to disrupt the legal space and capitalize on its substantial upside.

Early entrants will gain access to the most attractive firms and enjoy more flexible deal structures before the market becomes crowded. In a space this underdeveloped, timing is everything, and those who act now secure the best position for long-term success.

Ready to Explore the Untapped Legal Market?

Law firm acquisitions are still an under-the-radar gem in professional services, but it’s not likely that the window will stay open for long. Investors who are ready to act need more than a typical investment banker or business broker. They need someone like Roy who understands the unique marketplace for law firms and can get law firm deals done. He has spent decades advising lawyers and guiding deals, and is one of the few who can bridge the gap between legal practice and investment opportunity.

Start the conversation today and unlock a pipeline of opportunities built for first movers.

Start the Conversation with Roy