Every year, Best Law Firms collects reams of data from the law firms that participate in its annual rankings process. Recently, I was invited to review and write about the data—and I jumped at the chance.

The reason? This is the first time the information has been analyzed and released for public consumption, and it provides one of the largest collections of data about the legal industry that I have seen. 

Most surveys focus on the upper precincts of the Am Law 200, making it difficult to get a view of the issues facing midsize and smaller law firms. In the case of the Best Law Firms data, however, nearly 4,900 firms participate, and they range in size from global mega firms to one- or two-person shops. For our purposes, the survey also includes a wide array of firms in the 20-150-lawyer range, our definition of midsize firms. You can click here for a full report on the numbers, and I’ve collected five key takeaways that may be of interest to midsize firm leaders:

1. Revenue Growth. Smaller and midsize firms reported revenue of 5.1 percent growth. Median revenue at firms in the 20-49 lawyer range was $13 million, a 12 percent increase over the year before. In the 49-150 lawyer category, median revenue was up 14 percent to $33.5 million.

On a per lawyer basis, however, revenue growth was less impressive. Among firms with 20-49 lawyers, revenue per lawyer was up 5 percent to $420,000. At firms of 50-149 lawyers, revenue per lawyer declined 3 percent to $430,000. Why did firms in this size range experience a decline? Higher overhead. Lawyer headcount was up 6 percent at firms in 50-149-lawyer range, and the total number of employees (lawyers and staff) climbed 13 percent.

2. Marketing Gaps. While more than 90 percent of firms said they are actively trying to engage new clients, many lack a plan to market to them or a way to evaluate marketing results. Only half of firms with more than 20 lawyers had the systems and technology in place to track the return on investment of their marketing efforts. One-third said they are not measuring ROI, but would like to. And one in 10 said they had no plans and no desire to measure return on investment. (Read more about the survey’s marketing results here.)

3. Alternative Billing Arrangements On the Rise. Three-quarters of firms said they are offering alternative billing arrangements to clients – a 10 percent increase year over year. More than 85 percent of firms with more than 20 lawyers said they offer alternative billing arrangements, and the number rises to 90 percent for firms with more than 100 lawyers. (Find additional analysis of the results on alternative billing arrangements here.)

4. Diversity Challenges. The higher one travels up the ladder, the less diverse firms become. The data shows that 91 percent of law firm partners are white at firms with more than 20 lawyers. Some 3 percent of partners are Black or Asian-Pacific Islander-Desi Americans (APIDA), and 2 percent are multiracial. Four percent of partners are Hispanic or Latin American (of any race). On the other hand, 63 percent of associates are white, 21 percent are Hispanic or Latin American, 6.5 percent are Black, 5.5 percent are APIDA, and 3 percent are multiracial.

5. Pro Bono Problems: The American Bar Association recommends lawyers commit to at least 50 annual pro bono hours for clients who are unable to pay. But the data shows most midsize firms are missing this goal. Firms with 20-49 lawyers averaged 39.4 hours per attorney; firms with 50-149 lawyers averaged 37.4 hours. By comparison, however, midsize firms are closer to the mark than many of their larger competitors. Firms with 150-499 lawyers averaged 21.4 hours. (Click here for more about firms’ pro bono issues.)

The Legal Market Report 2025 includes a deeper dive into each of these topics, and contains additional information about competitive strategies, clients, geographic expansion, generative AI, non-lawyer staffing levels, the gender makeup of firms, and DEI programs. It’s well worth a look.

Do you have questions, feedback, or topics you would like The Edge to cover? Send a note to david@good2bsocial.com.