Large firms (101+ employees) are in a unique position when it comes to compliance.

On the one hand, they have specialist teams, well-defined processes, and more resources than their smaller counterparts. However, scale introduces its own challenges. The larger the firm, the harder it becomes to keep systems connected and people aligned. 

The State of Compliance 2025 report shows that while large firms know exactly what needs to be done, the difficulty often lies in getting it done: consistently, efficiently, and without friction.

In this article, we explore how large firms are balancing maturity with momentum in their compliance approach.

To see the complete findings, download the State of Compliance 2025 report today.

Where large firms excel

In most large firms, compliance is a defined function, supported by specialist people, processes, and investment. This gives them a distinct advantage in several key areas.

Deep expertise

When asked whether their compliance teams have the right skills to meet the firm’s AML responsibilities, 38% of large firms said they are fully equipped, while the remaining 62% said they’re mostly there. No large firm reported a skills gap - a distinction that sets them apart from both medium and small practices.

This likely stems from scale. Larger firms benefit from defined compliance roles, formal governance, and clearer separation between fee-earners and risk functions - structures that smaller firms are still building.

Confidence in their capabilities

Our survey found that compliance confidence grows with firm size, with large firms leading the way. 67% percent of the large firms we surveyed say they feel confident keeping pace with AML expectations, compared with 63% of medium firms and just 42% of small firms.

So why is this?

Larger firms tend to operate under greater regulatory scrutiny. What’s more, they have more to lose if things go wrong. Therefore, compliance isn’t treated as a background process or an afterthought. It’s part of how the firm is run, a key consideration in its policies, processes, and decision-making.  

Clear plans for future investment

Larger firms are also the most decisive when it comes to future investment. 75% have clear plans for investment over the next six to twelve months, compared with 58% of medium firms and 50% of small firms.

This certainty reflects large firms’ capacity and culture. With established governance structures and predictable budgets, large firms can plan across longer cycles than medium or small firms.

It’s also a sign of maturity as much as resource. For these firms, investing in compliance is a strategic move, rather than simply a response to external pressure.

Where large firms struggle

Even with greater resources and established frameworks, large firms face their own pressures. Scale brings consistency - but it also introduces complexity. 

The data shows three primary points of friction: fragmented systems, strained collaboration with fee-earners, and a client experience that’s often impacted by the firm’s compliance duties. 

Fragmented systems and fragmented visibility

The larger a firm grows, the harder it is to maintain visibility over its data.

A third of large firms (33%) report poor data visibility for compliance monitoring when working with fee-earners. That’s almost double the rate of small firms (17%), and triple that of medium firms (11%).

This challenge stems partly from technology sprawl. 30% of large firms work with a patchwork of standalone tools, while only 12% have fully integrated systems. 50% also say that manual or duplicated tasks regularly hinder their compliance operations.

In other words, large firms possess the relevant data - but it’s scattered across their systems. The more tools in play, the harder it becomes to trace a single, complete picture of risk.

The challenge for large firms isn’t a lack of information. Rather, it’s turning abundant data into a single source of truth.

Alignment with fee-earners remains limited

The larger a firm grows, the harder it is for compliance teams and fee-earners to collaborate. Only 17% of large firms report genuine collaboration between compliance and fee-earners - the lowest rate in the market. By comparison, 50% of small firms we spoke to have genuinely collaborative relationships.

This is perhaps unsurprising. As firms grow, roles become more specialised, communication more formal, and processes more layered. 

What once might have been a quick conversation now passes through workflows and approvals. Where fee-earners and compliance teams once sat within striking distance of each other, they’re now siloed in separate parts of the office.

Size brings structure, but it also creates distance.  

The client experience under pressure

Compliance demands will always impact the client experience, especially during the onboarding journey. However, this is especially true for large firms. 

Nearly half (46%) say compliance steps during onboarding often affect client satisfaction, compared with 26% of medium firms and 25% of small ones.

There are a few reasons why this might be the case: limited alignment between fee-earners and compliance teams, complex approval processes, and the fact that 63% of large firms use three or more tools during onboarding.

Many large firms grapple with complex, disconnected internal onboarding processes. Therefore, it’s no surprise that compliance often impacts the client experience. 

Final thoughts 

Large firms have reached a point of strength and stability in their compliance journey. They know what’s required and have the people and systems to deliver it.

The challenge, however, is refinement - reconnecting teams, aligning tools, and ensuring that scale doesn’t dilute visibility or client experience.

To learn more about the state of compliance for law firms in 2025, download our full report.

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