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Pillar Growth Partners

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Investment Strategy

Platform + Add-On Roll-Up Approach

We target established, cash-generative firms with decades of operating history — real platforms with $10M+ EBITDA, deep client relationships, and proven recurring cash flows. These practices are acquired at multiples that reflect market fragmentation and a historical lack of institutional investment capital.

Platform Acquisition

Anchor Investment

  • Revenue: ~$70M
  • EBITDA: ~$12.6M (18% margin)
  • Entry multiple: 7.0x EBITDA = $88.2M EV
  • Multi-practice, 50+ attorneys, Tier 1/2 states
  • Existing management team retained
  • Serves as integration hub & shared services center
Add-On Acquisitions

Bolt-On Growth

  • Revenue: $12 - $25M
  • Avg. EBITDA: $2.5 - $5.5M (19 - 22% margins)
  • Entry multiple: 3.5x - 7.0x
  • 9 add-ons over Years 1 - 3
  • All add-ons in the platform's legal sub-sector
  • Geographic expansion across Tier 1/2 states
Technology & AI Integration

Best-in-Class Technology Stack

  • Deploy AI-powered document drafting, legal research, and case analysis across all portfolio firms from day one
  • Centralize practice management, billing, and client intake on a unified cloud platform
  • Implement predictive case valuation and triage models to optimize case selection and settlement timing
  • AI-driven marketing and lead generation to reduce client acquisition costs by 30-50%
  • Automate back-office operations (HR, accounting, compliance) via MSO shared services
  • Target 8-12% EBITDA margin expansion through combined technology and operational improvements
$100MFund Equity
3.0xLeverage
~$265MTotal Capital Deployed
~$46MEBITDA Acquired
Capital Structure

Sources & Uses — Platform Acquisition

Sources
Source Amount ($M) % of Total Terms
Senior Term Loan $37.8 39.5% 3.0x EBITDA, 10% rate, 2.5% amort
Sponsor Equity $58.0 60.5% Common equity
Total Sources $95.8 100% --
Uses
Use Amount ($M) % of Total Notes
Enterprise Value $88.2 92.0% 7.0x EBITDA
Transaction Costs $2.6 2.8% 3% of TEV
Cash to Balance Sheet $5.0 5.2% Operating cash
Total Uses $95.8 100% --
3.0xTotal Debt / EBITDA
3.3xInterest Coverage
3.0xSenior Debt / EBITDA
60.5%Equity Contribution
$58.0MEquity Check
$58.0MPlatform Equity (Y0)
9Add-On Acquisitions
$100.0MFund Fully Deployed (Y2)
~$265MTotal Capital (incl. Debt)
Post-Acquisition Alignment

Alignment by Design

We target legal practices where client relationships are institutional — built into the firm's brand, referral networks, and operational systems rather than dependent on any single attorney. In the firms we acquire, the owner-partners are typically spending the majority of their time running the business rather than trying cases, meaning there is limited direct revenue risk tied to any individual seller.

That said, lawyer buy-in across the firm matters. Attorneys who feel sidelined or uncertain about their future after an acquisition become a retention risk — and retention risk, in a people business, is revenue risk. Our rollover equity structure is designed to solve this from day one: giving both selling owners and the lawyers who stay a genuine stake in the outcome.

15–30%Typical Seller Rollover
Pari PassuSame Class as LP Capital
3–4 yrMinority Partner Vesting
Advisory BoardFounder Governance Role
Majority Sellers

Rolling Into the Platform

  • Selling owners roll 15–30% of proceeds into equity in the combined platform entity — not just their legacy firm
  • Day-one diversification: rollover equity represents a claim on the entire portfolio of firms, every geography, every practice area
  • Meaningful upgrade in risk profile for founders whose net worth was 100% concentrated in a single practice
  • Founders from largest acquisitions sit on a platform-level advisory board, contributing operating insight and industry relationships
  • Rollover is pari passu with LP capital — same class, same waterfall, same exit
Minority Partners

Unlocking Equity for Attorneys

  • In most law firms, junior partners hold equity that is illiquid, hard to value, and nearly impossible to monetize
  • Many senior associates have no ownership path at all under the prior partnership structure
  • Upon acquisition, minority lawyer-partners receive equity grants in the platform — often their first real ownership stake
  • Grants vest over 3–4 years, creating a retention mechanism that keeps revenue-generating attorneys fully invested
  • Equity in a PE-backed platform with a defined exit timeline replaces illiquid partnership shares
Before — Standalone Firm
Concentrated & Illiquid
  • 100% of net worth in one practice
  • No liquidity without selling the whole firm
  • Minority partners locked out of real equity
  • Exit at 4–6× standalone EBITDA
  • Single-geography, single-practice risk
After — Platform Rollover
Diversified & Institutional
  • Equity spread across multi-firm portfolio
  • Defined exit timeline alongside LP capital
  • Minority attorneys receive platform equity grants
  • Exit at 8–10× platform EBITDA
  • Multi-geography, multi-practice diversification
Value Creation

The Second Bite of the Apple

The most compelling feature of rollover equity is what happens at exit. Individual law firms — even profitable ones — trade at 4–6× EBITDA. But a scaled, diversified legal services platform with $200M+ in revenue, centralized operations, and proven organic growth commands a materially higher multiple.

Sellers who roll over participate in that multiple expansion. A founding partner who sold at 5× on the way in may see the combined platform exit at 8–10×. That second bite — the spread between entry and exit multiples applied to a much larger earnings base — is where the real wealth creation happens.

It's the same value our LPs are capturing, and rollover holders ride alongside them dollar-for-dollar.

Market Validation

Recent Legal Services M&A (2021 - 2026)

Acquirer / Target Buyer Year Revenue EBITDA Notes
Dudley DeBosier (PI) Uplift / Orion Legal MSO 2026 N/D N/D US: First major PI MSO deal. Kirkland & Ellis, Houlihan Lokey advised.
Certum Legal Solutions Certum Group 2025 N/D N/D US: Lit funder acquired MSO for mass tort / PI pre-litigation support.
McDermott Will & Emery Exploring PE stake 2025 ~$1.3B N/D US: Am Law 50 firm publicly considering selling PE stake via MSO.
Burford Capital → MSO Burford Capital 2025 N/D N/D US: Major lit funder exploring MSO investments in US law firms.
Cohen & Gresser PE (undisclosed) 2025 ~$150M N/D US: Am Law 200 firm in advanced PE discussions using MSO structure.
Fletchers Group Sun Capital 2021 £34M → £77M £8M → £38M PI specialist. 10 add-ons in 4 yrs. 4.75x EBITDA growth. Continuation fund in 2025.
Stowe Family Law Livingbridge → Investcorp 2017 / 2024 £9M → £37M ~£3M Family law. 4x rev growth. Sold to Investcorp (2024). 90 offices, 400 staff.
Nelsons Solicitors Lawfront (Blixt Group) 2023 ~£15M N/D East Midlands firm. PE-backed Lawfront building regional platform.
Slater Heelis Lawfront (Blixt Group) 2024 ~£10M N/D Manchester firm. Second acquisition for Lawfront's regional roll-up.
FBC Manby Bowdler August Equity (Higgs) 2024 ~£12M N/D Midlands firm. Higgs now PE-backed and acquiring (added Vialex in 2025).
Rayden Solicitors Fletchers (Sun Capital) 2025 £11.4M £1.4M Family law. Fletchers' first move outside PI. 10th add-on acquisition.
Shoosmiths PI Practice Fletchers (Sun Capital) 2025 ~£15M N/D 80-strong serious injury team carved out from national firm. Price: £12M.
Beyond Law Group Waterland PE 2024 N/D N/D Waterland PE investment in UK legal platform. Building multi-practice group.
UK PE investment in law firms exceeded £534M in 2024 alone. PI and family law are leading targets — validating our commodity-first thesis. Source: Bloomberg Law, Legal Futures, PitchBook, public filings, press releases
Valuation Context

Entry Multiples vs. Comparable Professional Services

4.0–8.0x Legal Services OUR ENTRY POINT
12–18x Healthcare MSOs
10–14x Accounting Firms
8–12x Engineering / Consulting
Legal services trades at a structural discount to every comparable professional services category — driven by market fragmentation and limited institutional ownership, not inferior cash flow quality. This gap represents the core entry opportunity.
Execution Roadmap

Key Milestones from Now Until Platform Close

Apr 2026

Kickoff Proprietary Deal Sourcing

Activate proprietary database of 5,000+ firms. Begin direct outreach to partners 55+ in target segments. Engage intermediary network and bar association channels.

May 2026

Equity Fundraise Complete

Close on $100M target ($120M hard cap). Secure commitments from institutional LPs, family offices, and strategic co-investors. GP commits $3M.

Jun 2026

Debt Facility Secured

Finalize senior term loan and mezzanine facility. Target 3.0x total leverage at platform close. Pre-negotiated terms with 2-3 lenders for flexibility.

Jun 2026

Operating Partner / Board Member Recruited

Hire former Am Law 100 COO/CFO with 20+ years legal operations experience. Critical for integration playbook development and regulatory architecture.

Aug 2026

Platform CEO / COO Recruited

Recruit experienced operator to lead day-to-day platform management. Target profile: healthcare MSO or professional services executive with proven roll-up track record.

Proof of Concept

Case Study — Prime Providers

Prime Providers

Pine Street Holdings — Sponsored MSO Roll-Up: $5M → $250M+ Revenue
Value Acquisitions

Disciplined Buy-and-Build

  • Completed 10+ acquisitions at avg. <6x EBITDA
  • Fragmented market of small providers enables disciplined pricing
  • Integrated all acquisitions under unified systems and management
Organic Growth

Expanding the Footprint

  • Expanded from 1 to 15+ locations across California
  • Grew preferred payor partnerships, added new service lines, expanded geographies
  • Recruited best-in-class management team to drive revenue in acquired businesses
Operational Improvements via Technology

Centralized Infrastructure

  • Implemented electronic charting, ADP payroll, and Sage ERP across all entities
  • Centralized billing/RCM drove record collection months
  • Opened offshore back office at 33% of US cost, driving margin expansion
Demonstrated Results

Exceptional Returns

  • Revenue grew from $5M to $250M+ (50x) in 7 years
  • EBITDA scaled from $1M to $55M+ through combined strategy
  • Expected >5x return on invested capital; comparable platforms trade at 10-12x EBITDA
$5M → $300MRevenue Growth
$1M → $65MEBITDA Growth
$200M+Total Capital Deployed
<6xAvg. Acquisition Multiple
10+Acquisitions Completed
>5xExpected ROIC
The same buy-and-build MSO playbook — sponsored by Pine Street Holdings and proven in healthcare — now being applied to legal services.