Does size matter? Positive Ranking of FPS
Does the size of a law firm really matter when it comes to the quality of its services? This was the question posed by Michael Reiss von Filski in the March edition of the GGI Insider. His conclusion is that – with respect to quality of services – the size of a law firm is overestimated by far. When we think of restaurants, hotels, shopping malls etc., would we perceive the biggest one as providing the best quality? Probably not…
The above is definitely true! Everybody knows small entities with excellent, renowned lawyers. This is also proven on a daily basis by GGI members. Furthermore, the services rendered by a large law firm do not always justify their fees.
However, it is also true that the size of a law firm proves that a considerable number of clients place their confidence in the respective firm and that they trust its legal performance (‘So many clients trust them, they must be good’). This applies, in particular, to law firms specialised in advising and representing small and mid-size companies, as they are dependent on many more clients compared to law firms specialised in advising multinationals and companies with thousands of employees.
For the first time, the leading German legal journal ‘JUVE’ has published a size-based ranking of German law firms specialised in advising small and midsize enterprises.
The ranking turned out to be very positive for FPS: Out of the 50 biggest of such law firms, FPS ranked 11th in terms of turnover (52 million EUR in 2016). Based on the number of lawyers, FPS was ranked 12th (117 lawyers, expressed in full-time equivalents) and was even ranked second in terms of average turnover per lawyer.
FPS lawyers learned from this ranking that they obviously – at least now and then – do a great job!
Let me return to Michael Reiss von Filski: in his article, he stated that he enjoyed one of the best steaks tartare he had ever had in a small restaurant in London. Congratulations! I think we can all relate to this and share similar experiences.
However, in view of the number of Burger King restaurants globally, it seems to me that people are generally happy with the fried steak tartare served in huge restaurant chains. If they are not happy, this may result in a press debacle, boycott and, as happened in Germany in 2014, the immediate closure of 89 restaurants. This shows a certain public control over entities which due to their size are in the public interest. In this respect, size matters to a certain degree.
Dr Reinhard Nacke
Dusseldorf, Frankfurt, Berlin &
T: +49 211 302 01 50
Dr Reinhard Nacke