Key Takeaways
- • Charlesbank Capital Partners has invested in WSHB Support Services, a newly formed management services organization (MSO) that will provide non-legal operating infrastructure for Wood Smith Henning & Berman (WSHB), a national trial firm with more than 550 attorneys across 43 offices in 23 states.
- • The deal uses the MSO structure, which lets outside investors own the business operations of a law firm while lawyers retain ownership of the practice and control over legal work, a model that works around state professional conduct rules barring nonlawyer ownership.
- • Daniel Berman, WSHB's executive chairman, will serve as CEO of the MSO; WSHB remains independent and led by a management committee of Berman, Stewart Reid, Stephen Henning and Kevin Smith, all of whom also sit on the MSO board.
- • Charlesbank, which manages $24 billion across private equity and credit and has raised $16.1 billion in private equity funds, targets enterprise values of $150 million to $3 billion and cites its existing holdings in Aprio (2024) and World Insurance Associates (2020) as relevant exposure.
- • The U.S. law firm sector generated an estimated $404 billion in revenue in 2025 per Research and Markets, but has remained largely closed to outside equity, making this an early institutional entry point into legal services.
Summary
Charlesbank Capital Partners has made an investment in WSHB Support Services, a newly formed management services organization that will provide the non-legal operating infrastructure for Wood Smith Henning & Berman, a Los Angeles-headquartered national trial firm that defends insurers and corporations in court. The firm defends clients when they are sued and takes cases to a jury when they do not settle. Its clients include insurance carriers, self-insured corporations and institutional clients ranging from start-ups to Fortune 100 companies, and its practice groups span construction, transportation, employment, professional liability, and cybersecurity and data privacy. According to the publisher's summary, lawyers at the firm have taken more than 2,000 cases to verdict, and the firm uses technology, artificial intelligence and data analysis to manage large litigation caseloads while offering alternative fee arrangements alongside hourly billing.
WSHB was founded in 1997 by Daniel Berman, Stephen Henning and Kevin Smith and has more than 550 attorneys across 43 offices in 23 states. Stewart Reid serves as Firmwide Managing Partner. WSHB remains independent and continues to be led by its management committee, comprising Berman, Reid, Henning and Smith, all of whom also serve on the MSO's board. Berman will serve as the MSO's chief executive officer. In 2026 he was named Innovator of the Year in the individual law firm category at the Legalweek Leaders in Tech Law Awards.
The transaction highlights the MSO model, which has been constrained in legal services by professional conduct rules in nearly every state that prohibit nonlawyers from owning law firms or sharing in legal fees. Under the structure, investors own a separate company providing technology, finance, human resources, marketing and other services under a long-term agreement, while lawyers retain ownership of the practice and control over legal work. Private equity firms have used comparable structures for years in dentistry, veterinary care and physician practices. Research and Markets estimates U.S. law firm revenue reached $404 billion in 2025, with compound annual growth of 1.4% over the preceding five years.
Mutian Rui, a principal at Charlesbank, said WSHB "has established an enviable reputation with its clients and is fast expanding into new markets and practice areas." David Katz, managing director and co-head of private equity at Charlesbank, said WSHB "sits at the intersection of professional services and insurance services," two areas where the firm has invested for years, including accounting and advisory firm Aprio (2024) and insurance brokerage World Insurance Associates (2020). Charlesbank typically makes control investments and will consider significant minority positions in companies with enterprise values of $150 million to $3 billion, across business and consumer services, healthcare, industrials and technology. The firm has raised $16.1 billion across its private equity funds and manages $24 billion across private equity and credit strategies. Brandon White and Katz lead its private equity practice, and Sandor Hau leads credit. Piper Sandler advised Charlesbank and Riverbrook Capital advised WSHB.
WSHB was founded in 1997 by Daniel Berman, Stephen Henning and Kevin Smith and has more than 550 attorneys across 43 offices in 23 states. Stewart Reid serves as Firmwide Managing Partner. WSHB remains independent and continues to be led by its management committee, comprising Berman, Reid, Henning and Smith, all of whom also serve on the MSO's board. Berman will serve as the MSO's chief executive officer. In 2026 he was named Innovator of the Year in the individual law firm category at the Legalweek Leaders in Tech Law Awards.
The transaction highlights the MSO model, which has been constrained in legal services by professional conduct rules in nearly every state that prohibit nonlawyers from owning law firms or sharing in legal fees. Under the structure, investors own a separate company providing technology, finance, human resources, marketing and other services under a long-term agreement, while lawyers retain ownership of the practice and control over legal work. Private equity firms have used comparable structures for years in dentistry, veterinary care and physician practices. Research and Markets estimates U.S. law firm revenue reached $404 billion in 2025, with compound annual growth of 1.4% over the preceding five years.
Mutian Rui, a principal at Charlesbank, said WSHB "has established an enviable reputation with its clients and is fast expanding into new markets and practice areas." David Katz, managing director and co-head of private equity at Charlesbank, said WSHB "sits at the intersection of professional services and insurance services," two areas where the firm has invested for years, including accounting and advisory firm Aprio (2024) and insurance brokerage World Insurance Associates (2020). Charlesbank typically makes control investments and will consider significant minority positions in companies with enterprise values of $150 million to $3 billion, across business and consumer services, healthcare, industrials and technology. The firm has raised $16.1 billion across its private equity funds and manages $24 billion across private equity and credit strategies. Brandon White and Katz lead its private equity practice, and Sandor Hau leads credit. Piper Sandler advised Charlesbank and Riverbrook Capital advised WSHB.
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