Interest payments by the biggest law firm consolidator in the country pushed the business into the red in the last financial year, newly published accounts reveal. After reporting a £1.5m profit the previous year, Lawfront Holdings Ltd made a £2.1m loss in the 12 months to March 2026.

The deficit was largely attributable to interest payments more than doubling to around £13.8m. During the year, the group extended its debt facility to fund acquisitions and manage short-term working capital needs. At the year end, the group had drawn borrowings of £92m – up from £56m the year before – and had drawn a further £9m on its revolving credit facility.

Following a refinancing round completed in July this year, the group has in place £195m in borrowings, comprising a £115m term loan, a £60m acquisition facility and a £20m revolving credit facility. Its loan notes accrue interest at a fixed rate of 10% per annum.

Lawfront has become a standard-bearer for private equity investment in law and is owned by Cayman Islands-registered Blixt Fund. Over the past five years, it has bought regional firms across England and Wales and bolted on smaller practices under each of their trading names.

Peter Martin-Simon: accounts ‘reflect the fact that Lawfront is investing for growth’

Peter Martin-Simon: accounts ‘reflect the fact that Lawfront is investing for growth’

Lawfront’s regional firms are Brachers, Farleys, Field Seymour Parkes, Fisher Jones Greenwood, Nelsons, Slater Heelis and Trethowans.

The fee paid is generally not disclosed when acquisitions are made, but Lawfront accounts give an insight into the sums involved. The deal to buy south-west firm Trethowans in May 2025 was worth £49.2m, while later that year Lawfront paid £800,000 for Simpson Jones LLP and then £1.3m for Gill Turner Tucker.

Deals are usually negotiated to include future payments based on certain conditions being met. The company still has potential contingent payments of £7.4m for Nelsons, £8.1m for Brachers and £11m for Trethowans.

Since the start of the new financial year, Lawfront has paid £7.9m to buy a firm believed to be Reading practice Field Seymour Parkes.

Two further acquisitions worth more than £1m each were completed over the summer. Turnover is now £129m and the group employs 1,210 people.

Lawfront chief executive Peter Martin-Simon said the accounts ‘reflect the fact that Lawfront is investing for growth. We completed three acquisitions, including Trethowans, and achieved significantly higher turnover with all of the group firms trading profitably.’