Is your law firm ready for the next decade?
Chelsea Goldsby, operations director at Osprey Approach , pulls insight from the Welsh Legal Sector Transformation Report 2026 — produced by Osprey Approach and Legal News Wales — and highlights what the findings mean for law firms across the UK
Almost half of respondents to research into the Welsh legal sector are uncertain whether their current business model will remain sustainable over the next ten years. For managing partners, it raises important questions about succession, ownership, and retirement, as well as how to fund growth and prepare the firm for its next stage.
The Welsh Legal Sector Transformation Report 2026, produced by Osprey Approach and Legal News Wales, explores the challenges and opportunities facing more than 50 law firms and in-house legal teams across Wales. One of its key findings is that 48% of respondents either do not believe, or are unsure, that their current business model will remain sustainable over the next ten years.
Although the research focuses on Wales, these are questions that law firm leaders across the UK will recognise. How do you ensure the business you have built today continues to serve your partners and clients in the years ahead? And is your current structure equipped to support the firm’s ambitions?
For many firms, the immediate focus is understandably on running the business day to day. But decisions about ownership, leadership and succession can have a lasting impact. Thinking ahead gives partners more time to explore their options and make informed decisions, rather than reacting when a retirement, growth opportunity or unexpected change forces the issue.
Is the partnership model still the right fit?
The partnership model has shaped the legal profession for generations, and it continues to work well for many firms. But should it be the default choice simply because it is familiar?
The research found that uncertainty about the model’s long-term future was shared just as strongly by firms operating as traditional partnerships as by those using alternative structures. Questions about sustainability, therefore, are not limited to firms that have already changed how they operate.
This does not mean that traditional partnerships are no longer viable, or that firms need to change their structure to remain competitive. Every business has different priorities, from maintaining its independence and growing its client base to creating opportunities for the next generation of partners.
The important thing is to be clear about what you want your firm to achieve, and whether your current structure will help you get there.
For example, a partnership that works well today may need to think differently as senior partners approach retirement; the firm looks to expand, or new investment becomes a possibility. These milestones provide an opportunity to review whether the existing arrangements still meet the firm’s needs, rather than assuming they will continue to work indefinitely.
Do you know what your firm is worth?
Understanding your firm’s financial position is another important part of preparing for the future. Whether partners are considering succession, admitting a new partner, exploring investment, or weighing up a merger, having a clear picture of the business can help inform those decisions.
The report found that firms without a recent formal valuation were more likely to be considering a merger in the next five years than those that had obtained one (52%, compared with 30%). They were also more likely to express confidence that their current business model would remain sustainable over the next ten years (62%, compared with 43%).
These figures do not establish that having a valuation influences a firm’s decisions or outlook. However, they raise a useful question: how well prepared is your firm to make a major business decision if the opportunity or need arises?
A valuation can provide a clearer starting point for conversations about the firm’s future. Whether a partner is planning to retire, a new partner is joining, or a merger is being considered, an informed view of the business’s value can help partners understand their position and assess their options.
It is also about more than a number. A valuation can inform discussions about ownership and investment, but partners also need to agree on what they want the firm to become. Changes in ownership can influence the business’s direction, culture, leadership, and priorities, so understanding the firm’s value is only one part of preparing for the future.
If these conversations only happen when someone is ready to leave or a potential merger appears, there may be less time to explore the options properly. Building them into longer-term planning gives partners more opportunity to reach a decision that works for the business.
Start planning early
Thinking about the next decade does not mean predicting exactly what your firm will look like in ten years. Nor does it mean that every firm should pursue a merger or move away from the partnership model.
It starts with asking a few straightforward questions. Does our current structure support our ambitions? Do we have a shared understanding of the firm’s value and financial position? And if a partner were to leave, retire, or change their involvement in the business, would we be prepared?
A useful next step is to schedule a strategic review with your fellow partners. Set aside time to consider your business structure, succession plans, financial visibility, and long-term ambitions. This can help identify gaps in your current approach, highlight decisions that need further discussion, and establish what needs to happen next.
The answers will differ from firm to firm. Some may decide that the partnership model remains the best fit, but that succession planning needs more attention. Others may want to explore alternative structures or consider whether a merger could help them achieve their ambitions.
There is no single right answer. What matters is making these decisions deliberately, with a clear understanding of the options, rather than waiting until circumstances force the issue.
The Welsh Legal Sector Transformation Report 2026 does not suggest that the traditional partnership is about to disappear. Instead, it highlights the uncertainty many firms feel about their long-term future, regardless of the structure they currently use.
For managing partners, uncertainty can be a prompt to take stock. You do not need to have every detail of the next ten years mapped out, but you should have a clear idea of where you want the firm to go and whether the business is set up to get there.
Preparing for the future is not about committing to change. It is about giving your firm the time, insight, and flexibility to make the right decisions when change comes.
Download the Welsh Legal Sector Transformation Report 2026 to discover the challenges, opportunities and key insights shaping the future of the legal sector.
