Private equity-backed Setfords Solicitors has appointed investment bankers to explore strategic options including a potential sale that could fetch well north of £110 million, according to reports from The Sunday Times.
The Guildford-based firm, which pioneered the consultant lawyer platform model in the UK, has grown revenues by 35% to £67.7 million over the past year under Phoenix Equity Partners’ ownership.
The move is bound to encourage further private equity investment in law firms.
The Consultant Model That’s Reshaping UK Law
Setfords operates what’s known as a platform or consultant fee-share model, where over 600 self-employed lawyers work independently while the firm provides infrastructure and back-office support. Founded in 2006 by cousins Guy and Chris Setford, (pictured abovre) the firm was the first full-service national law firm to launch this consultancy model in the UK.
The model is simple but disruptive: consultants bill clients for work while the firm handles admin. Fees are typically split 50-80% to the lawyer and originator, with the balance going to the firm.
The structure eliminates traditional hierarchy and billing targets, creating what many lawyers see as a more flexible alternative to partnership structures.
The numbers speak for themselves. Setfords jumped 19 places to 76th in The Lawyer UK Top 100 rankings in 2025, making it the fastest-growing firm in the list with 47% year-on-year revenue growth. The firm now supports over 650 lawyers with a support team of more than 180 staff.
Investment Bankers Circle as Legal M&A Heats Up
Setfords has hired investment bank Baird to explore options including launching a formal sale process. The firm declined to comment when approached by Non-Billable.
The timing aligns with a broader surge in UK legal sector M&A activity. A total of 99 transactions involving UK law firms completed in 2024, representing a 25% increase on the 80 deals completed in 2023. Acquisitions of lower to mid-market law firms continued to dominate, particularly among trade buyers seeking strategic geographic expansion or enhanced service offerings.
There’s also been continued interest from private equity in the legal sector, with positive signs that M&A activity will continue to increase in 2025 and beyond. Setfords itself previously secured £3.75 million from the Business Growth Fund (BGF) in 2016 before Phoenix Equity Partners took a stake.
What This Means for Law Firm Business Models
The potential Setfords sale represents a critical test case for the platform law firm model’s commercial viability and exit potential. If the firm achieves a valuation north of £110 million, it will validate the consultant model as not just operationally efficient but also highly attractive to institutional investors and strategic buyers.
The story also highlights how alternative business structures (ABS) are reshaping UK legal services. ABS status allows non-lawyers to own or invest in law firms, offering flexibility that traditional partnership structures can’t match. This has enabled firms like Setfords to attract PE backing and scale rapidly without traditional mergers or acquisitions.
And all of that will encourage further major moves in the ABS market with private equity investment and law firms seeking rich, exit strategies.
