Money talks (and so should your P&L).

This week, the guys are getting fiscal. Conrad and Gyi bring in two heavy hitters.

First up, Leah Miller, fractional CFO and Founder of Firmly Profits, sits down with Conrad and Gyi at the PILMMA Super Summit and breaks down what your finances actually say about your marketing. The big (and predictable) surprise? Most firms are undercapitalized and under-measured. She and the guys dig into the real benchmarks: what healthy marketing spend looks like (you're probably low), what KPIs a CFO actually cares about, and why doubling your intake means nothing if your average case value is tanking. Consider this Chapter One.

Then, Josh Porte from Holland & Knight demystifies the MSO model in plain English in a conversation recorded at Vista Consulting Team's A Seat at the Table event. If you've been nodding along to private equity conversations while secretly Googling "what is Rule 5.4," it's time to get schooled. Josh walks through how money flows between a law firm and an MSO, where the ethical guardrails actually live, what rollover equity means for sellers, and why the management services agreement you sign today might be with you for the next 20 years. Minimum. Advanced material, but we believe in you.

Whether you're running a tight PI shop or eyeing an acquisition, this episode is a masterclass in treating your law firm like the business it actually is. No yellow book required.-Want to hear more from our guests? They’re on LinkedIn (and they’re real people, not AI!): Connect with Leah Miller; Connect with Josh Porte.

-We learned so much at A Seat at theTable that we created a page on our website dedicated to it. Listen to all the interviews, and enjoy the enlightening conversations as much as we did: https://lunchhourlegalmarketing.com/private-equity-law-firms-the-mso-guide/

-We are now less than two months away from The Lunch Hour Legal Marketing Summit! Check out our speakers, agenda, and register on our website.-A roaring ‘thank you’ to our incomparable sponsors: Juvo Leads, Lawmatics, CallRail, and ALPS Legal Malpractice and Law Firm Insurance!

Chapters

00:00 Intro

03:23 Leah Miller: How Much Should You Spend on Marketing?

06:27 KPIs & Metrics CFOs Actually Care About

08:19 Financial Benchmarks for Law Firms

11:13 Brand vs. Non-Brand Spend & Regional Variability

12:08 Borrowing to Grow: Acquisition Financing

14:58 AI, Offshore Staffing & the Impact on Labor Costs

15:55 Modeling Finances Around Big Outlier Cases

17:06 What to Look for in a Fractional CFO

19:00 Josh Porte: Rule 5.4 & the MSO Structure Explained

21:12 Josh's Role at Holland & Knight

21:58 What Makes a Great MSO Transaction

23:24 The Gray Areas: Intake, Case Acceptance & Rule 5.3

25:50 How Money Flows: Fixed Fees vs. Cost Plus (No Revenue Splits)

27:56 Where AI Software Lives in the MSO Structure

29:44 Growth Through Acquisition: The Buy-and-Build Playbook

32:29 Operating Agreements, Non-Competes & Rollover Equity

35:58 Management Services Agreements: Terms & Lock-In

37:05 EBITDA Multiples, Multiple Arbitrage & Equity Value Creation

40:17 PE Fund Timelines & Exit Horizons