Established Lpos Garner More Than The Smaller Ones

By Author: DevBPO Outsourcing
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Latest reports from Indian outsourcing sector has revealed that established LPOs or Legal Process Outsourcing firms in India are doing much better than the smaller LPOs. The global financial crunch has had a negative impact on the revenue and growth of these LPOs. The reason smaller LPO firms have performed poorly is only because of this reason added to their lower infrastructure and availability of resources.

The growth of the Legal Process Outsourcing in India is flag marched by companies like ntegreon, Intellevate, Pangea3, and UnitedLex. The report giving stats mentions that LPO companies in India with more than INR 100 million have been able to garner more profits sustainably. The report citing the cause of it as consistent high revenue earned per employee.

The report further states findings of a report titled “Legal Process Outsourcing: Financial Performance Review” published by ValueNotes, a market intelligence and consulting firm. The report analyses the key financial ratios of 32 “pure-play” ...
... Indian LPO companies, which exclusively provide LPO services.

Arun Jethmalani, Managing Director of ValueNotes, says, “An area of concern for the small LPO service providers is their inability to maintain consistent operating profits, resulting in rising debt levels.”

As far as the growth of larger LPOs is concerned all looks bright. The smaller LPOs however will need to address the challenges they are facing effectively and efficiently, for them to be able to make promising growth and revenues.