A New Approach to Law Firm Mergers: Lessons Learned from 15 Years of Consolidation

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ALM’s analysis of large law firm mergers since 2000 reveals that a majority of mergers have resulted in firms that struggle to both grow and manage costs effectively. ALM’s research offers a new approach to evaluating law firm mergers. This approach puts more emphasis on vetting the complexity of the proposed merger and on understanding the likely costs that will result from the merger’s execution. This approach will help firms evaluate the potential benefits of a proposed merger against the likely costs. In doing so, this research aims to help firms increase the success rate of future law firm mergers.

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ALM’s analysis of large law firm mergers since 2000 reveals that a majority of mergers have resulted in firms that struggle to both grow and manage costs effectively. ALM’s research offers a new approach to evaluating law firm mergers. This approach puts more emphasis on vetting the complexity of the proposed merger and on understanding the likely costs that will result from the merger’s execution. This approach will help firms evaluate the potential benefits of a proposed merger against the likely costs. In doing so, this research aims to help firms increase the success rate of future law firm mergers.

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