Legal Industry Financial Performance Benchmarking Study
To assess your financial performance and help with stepping up the numbers, you need to understand how your firm is performing compared to similar firms, identify areas for improvement - and then implement strategies to address them. As part of our commitment to helping you run a successful legal practice, ALPMA conducts free annual financial performance benchmarking research for law firms in conjunction with Crowe Horwath in Australia and New Zealand.
Participating in the study will help you
- Benchmark your firm's financial performance against key indicators including profitability, work in progress days, debtor’s days, interest expense, labour cost, rent, and working capital.
- Gain insight into the industry's financial performance expectations for the coming year.
- Find information on law firm growth strategies, remuneration, pricing and charge-out rates.
- Rate your performance against like firms and identify areas for improvement.
Participants of this study receive a secure log-in to Open Measures, Crowe Horwath's proprietary benchmarking software. This powerful tool graphically presents your financial results enabling you to compare your performance on key measures to similar firms using filters including state, practice type and size of firm, giving you a relevant benchmark to work from, and a stong basis for decision making.
Australian Study - Now Open!
The 2017 ALPMA/Crowe Horwath Australian Financial Performance Benchmarking Study is now open. Participation is free and open to all Australian law firms.
Simply enter your FY17 financial data into the online survey. To help you prepare, download the survey questions before commencing. All data is held as strictly confidential and no firm will be identified in any way.
The Australian survey closes on 3 November 2017. **note earlier close date this year**
For more information on the Australian study, call Andrew Chen, Crowe Horwath on 02 9619 1626.
New Zealand Study - Now Open!
The 2017 ALPMA/Crowe Horwath New Zealand Financial Performance Benchmarking Study is now open! Participation is free and open to all New Zealand law firms.
The New Zealand survey closes on Tuesday 31 October 2017.
2016 Australian Study
The FY16 ALPMA/Crowe Horwath Australian Legal Financial Performance Benchmarking Study survey was conducted between December 2016 and January 2017. This year, we extended the study to collect information on firm investment in innovation, strategies to finance growth and charge-out rates - as well as the firm's performance across a number of key indicators (like profitability, work in progress days, debtor’s days, interest expense, labour cost, rent, and working capital). The results summary is available for download below.
Participants have received an email with the results summary, plus a login to access Open Measures, which enables them to interactively compare their firm's performance against the results from similar law firms using a number of filters including location, practice type and size of firm. This powerful analysis gives firms a relevant and meaningful benchmark to work from - and realistic goals to aim for.
If you would like more information about the Australian benchmarking study, please contact Connie Finestone, ALPMA's Operations Manager.
Download the 2016 AU Financial Performance Benchmarking Results Summary
2016 New Zealand Study
The 2016 ALPMA/Crowe Horwath New Zealand Legal Industry Financial Performance Benchmarking Study survey was conducted in September - November, 2016. More than forty firms from across New Zealand participated in the study.
Participants have received an email with the results summary (available for download below), plus a login to access Open Measures, which enables them to interactively compare their firm's performance against the results from similar New Zealand law firms using a number of filters including location, practice type and size of firm. For the first time this year, members of NZLaw, Law Plus, LawLink and Law Alliance can view results by group. Firms that participated last year can also see how their firm's performance is tracking over time. This powerful analysis gives firms a relevant and meaningful benchmark to work from - and realistic goals to aim for.
If you would like more information about the ALPMA/Crowe Horwath Financial Performance Benchmarking Study, please contact Melanie Grace from the ALPMA NZ Secretariat.
Download the 2016 NZ Financial Performance Benchmarking Results Summary
2015 Australian Study
This year, more than 100 firms participated in the study. Participants will be provided with a log-in to Open Measures, Crowe Horwath's powerful benchmarking tool, to interrogate their results and visualise their performance to similar firms across eight key performance indicators on 23 February, 2016. Please note, information relating to each individual firm’s performance is strictly confidential. You will be able to see your firm's data that you have submitted for analysis; however, data relating to the other participating firms will only be available for comparison and analysis in aggregate form.
Download the 2015 Financial Performance Benchmarking Results Summary
2015 New Zealand Study
The inaugural ALPMA/Crowe Horwath New Zealand Legal Industry Financial Performance Benchmarking study was conducted in July - August, 2015. Thirty firms from across New Zealand participated in the study.
Download the 2015 NZ Financial Benchmarking Results Summary
"Our firm has undertaken this performance analysis for the past couple of years. It is well worth the time and effort it takes to complete (about 15-20mins).
The results are very informative and give the partners a more detailed insight into how their firm has performed when compared to other like firms.
Generally the partners only focus on total fees and net profit. These results breaks down those figures even more.
One of the main aspects of the benchmarking analysis is that it can tell you where the firm IS NOT performing well,
whereas the P&L results just tells you how much will be going back to the partners."
Kevin Johnston, Chief Financial Officer at Russells