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London / New York – September 9, 2025 – In a strategic move reflecting its deepening commitment to legal industry innovation, Burford Capital, a leading litigation finance company, has completed a minority investment in Kindleworth, a London-based advisory firm known for helping launch and manage law practices.
A New Chapter in Strategic Legal Investment
The investment, finalized in August, marks a pivotal development in Burford’s evolving approach: moving beyond third-party litigation funding to directly backing law firm ventures and operations.
Kindleworth, founded in 2012, has already supported the creation of more than 50 law firms, including the notable Pallas Partners, which emerged in 2022 from former Boies Schiller Flexner partners. The firm offers a range of advisory services—from finance and compliance to technology infrastructure—that assists entrepreneurial lawyers in establishing robust, efficient practices.
Strategic Alignment and Growth Opportunities
Burford’s Chief Development Officer, Travis Lenkner, described Kindleworth as “very attractive in its own right”, emphasizing that the alignment extends beyond financial gain; Kindleworth’s law firm relationships open doors for Burford to channel further investments—whether through equity, litigation finance, or other forms of strategic support.
Looking ahead, the partnership is set to fuel Kindleworth’s ambition to expand into the U.S. market, a move Burford views as an opportunity to leverage emerging regulatory structures in American legal markets.
Navigating Legal Ethics: ABS and MSOs in Focus
In the U.K., structures such as Alternative Business Structures (ABS) permit external ownership of law firms—a framework Burford has already tapped into, having previously acquired a 32% stake in U.K. litigation firm PCB Litigation in 2020.
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In contrast, most U.S. states maintain prohibitions on non-lawyer ownership due to longstanding legal ethics rules. Nevertheless, innovative models are emerging. Burford is exploring entry into U.S. law firm ventures via ABS-like frameworks—particularly in Arizona and Utah, where such models are permitted—or via Management Services Organizations (MSOs), structures that separate legal practice ownership (by lawyers) from operational service ownership (by investors), thus respecting ethical boundaries while enabling capital investment.
Part of a Broader Industry Shift
Burford’s commitment to growing law firm investment is not isolated. In August, the firm expressed plans to pursue minority equity stakes in U.S. firms, positioning itself as a patient, non-private-equity investor focused on long-term partnership rather than rapid exit strategies.
With litigation costs in the U.S. reaching $529 billion in 2022 and legal services overall expanding rapidly, the industry is ripe for transformation. Burford sees this as a chance to inject fresh operational and financial muscle into law firms, while earning a stake in their future growth.
What It Means for JDJournal Readers
For readers of JDJournal, this announcement signals a fundamental shift: litigation funders are no longer just backers of claims—they are becoming partners in the business of law. Burford’s investment in Kindleworth shows how financial capital and legal expertise can be channeled into empowering law firm founders and strengthening emerging firms’ infrastructure.
By investing in a firm that serves as a launchpad for legal entrepreneurs, Burford is helping shape a new era in law firm development—one where services, technology, financing, and operational excellence are baked into the DNA of new practices from day one.
Moreover, the expansion into U.S. markets via MSOs and ABS models suggests a growing openness in legal regulation to explore outside capital and professionalization—especially among mid-tier and boutique firms striving to modernize their operations.
Looking Ahead
As Burford and Kindleworth move forward with their partnership, the industry should expect continued exploration of U.S.-focused models that respect regulatory constraints while delivering capital, technology, and governance support.
Stakeholders across the U.S. legal sector—particularly those in jurisdictions testing ownership reforms, such as Arizona, Utah, and potentially beyond—should watch closely. Burford’s strategies may pave the way for greater legal industry investment and usher in a new phase in law firm evolution: one that blends entrepreneurial agility with institutional backing.
For JDJournal, the key takeaway is clear: the legal finance landscape is broadening, and with it comes a new wave of opportunities for law firms ready to adapt and collaborate.
