Founded in 2006 by Guy Setford, Setfords has since grown into a nationwide firm with over 160 consultant lawyers, and a 60-strong infrastructure team.
The company will use the funding to invest in its digital marketing, technology enhancements and the recruitment of additional legal consultants.
Setfords recently opened new offices in Chancery Lane in London and in the last financial year revenue rose by over 20% to more than £8m.
Guy Setford said: “We have experienced significant growth over the past 10 years, and established a brand and business model that its trusted by independent lawyers and clients.
"We will continue to grow, recruit and invest in our infrastructure – BGF’s funding allows us to pursue our plans without disrupting the current model or management team.”
CEO Chris Setford added: “After a terrific year for the firm interest from lawyers in the Setfords way of working has never been greater and this investment will allow us to grow at the rate required to meet demand.
"Dozens of other lawyers have expressed an interest in joining us and we’re very excited about the growth we expect to experience working with the BGF.”
BGF introduced Setfords to Steve Richards who has now been appointed as non-executive chairman.
Steve is the former CEO of Interflora and VirginWare, and current chairman of musicMagpie and No1 Traveller.