A private equity investor backed by the Lloyds Banking Group has taken a minority stake in a firm consisting entirely of remote-working lawyers.
Harper James, which has a team of more than 140 people based across the UK, has sold 45% of the business to LDC, with a view to growth.
The money will be spent on extra technology including AI-driven tools to work faster and more efficiently. LDC has also said that Harper James will take on more senior lawyers, broaden the range of services offered and explore potential acquisitions.
As part of the transaction, Steve Weller will join Harper James as non-executive chair. Weller has previously had board-level experience of working with other private equity-backed businesses including The Barrister Group.
Toby Harper, founder and chief executive at Harper James, said: ‘This partnership with LDC is a major milestone in our mission to make expert legal advice more accessible and affordable for ambitious businesses.
‘Much like the clients we support in their journeys, we believe in doing things differently and we’re excited to partner with LDC on the next phase of our growth journey. From our very first meeting, the team at LDC has shown a genuine understanding of our culture and vision, and we look forward to working with them to take Harper James to the next level.’
Harper James, founded in 2014, offers access to a network of fully-remote lawyers with an average of 17 years’ experience. This service is offered more cheaply, the firm says, because it has removed so many of the costs associated with an office-based business.
According to its financial statements for the year ended 30 September 2024, the firm’s net current assets had trebled in the space of 12 months to around £1.44m. Harper James says its revenue has increased by an average of 33% each year for the past three years.
LDC has invested £644m into 29 companies in the past decade and already has a stake in The Barrister Group and national law firm Keoghs. The latest transaction is subject to Solicitors Regulation Authority approval.
Chris Handy, partner and head of the West Midlands at LDC, added: ‘Today’s technology-enabled SMEs want greater flexibility and the option to work with advisers in a way that reflects how they do business. Harper James’ innovative model, people-first culture and commitment to delivering flexible high-quality legal services make it a standout firm in a fast-evolving market.’
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