Harper Macleod defies legal woe as income soars

Published on Saturday 30 May 2009 14:29

LAW firm Harper Macleod has seen an increase in business during the downturn and unlike many of its top 20 rivals it has not been forced into making redundancies.

The firm's chairman, Lorne Crerar, has also restated the board's commitment to operating only from offices in Scotland, where he believes there is still potential for expansion.

The firm saw income rise 2.5 per cent from 13.78 million to 14.12m in the last financial year although profits fell in line with others in the sector from just over 5m to 4.39m.

Crerar said the firm was aiming to mirror the Scottish economy and would look increasingly to those sectors, such as social housing, which are expanding in order to seek out contracts. New work has come from the Forestry Commission, Glasgow City Council and Scottish Coal. The firm has also moved the focus of its activities into services such as restructuring and litigation, which are now in greater demand.

But he acknowledged that the recession was biting. "It has been a difficult market in Scotland, there is no getting away from that. Lawyers are particularly affected by the credit crunch because no credit means no deals. But we have been able to maintain turnover and we have made no redundancies."

He said the firm, now in its 21st year, had won 48 per cent of tenders – well above the national average of 14 per cent. The firm has a 100 per cent success rate in all re-tenders.

Crerar said the firm would not be tempted to follow some of its rivals by opening offices in England and this had opened up opportunities for Harper Macleod in Scotland. "We are completely Scottish focused as I still believe there is room for us to grow in Scotland," he said.

Turnover has shown double-digit growth from 2000 until last year, but he is confident of resuming its trend and achieving the target of 16m this year, pushing it into the leading firms from its current position just outside the top 10.

"The biggest challenge for a business is how you perform when things get tough," Crerar said.