DOCSLIB.ORG

From Recession to Upturn Financial Management and Strategy for Law Firms

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
From Recession to Upturn Financial Management and Strategy for Law Firms From recession to upturn Financial management and strategy for law firms ANDREW OTTERBURN AND FIONA WESTWOOD From recession to upturn Financial management and strategy for law firms ANDREW OTTERBURN AND FIONA WESTWOOD Copyright © The Law Society 2009 Adapted from the edition first published in England and Wales by the Law Society of England and Wales in 2009 This edition published in Scotland in 2010 by The Law Society of Scotland, 26 Drumsheugh Gardens Edinburgh EH3 7YR Design and artwork by Claire Lovie, Edinburgh Email: [email protected] FROM RECESSION TO UPTURN About the authors Andrew Otterburn A chartered accountant and management consultant, Andrew has advised around 250 firms in the UK and Ireland on their management and profitability. He is joint author of the annual survey of law firms in Scotland, published by the Law Society of Scotland. His most recent book, “Profitability and Law Firm Management” was published by the Law Society in 2002, with the second edition published in 2007. In 2006 he was an advisor to Lord Carter’s review of legal aid procurement in England and Wales. He is a member of the Executive Committee of the Law Management Section, a founding member of the The Law Consultancy Network, and a core MBA faculty member and module leader for the Nottingham Law School MBA in Legal Practice. Fiona Westwood Fiona Westwood worked in private practice for 20 years before setting up Westwood Associates in 1994 as a management consultancy specialising in strategic development for professional firms. She is a founding member of the The Law Consultancy Network, a member of the Law Society of Scotland’s Standards Working Party and CPD project leader on their Education and Training Review. Her first book, Achieving Best Practice was nominated by McGraw-Hill as their September 2000 Book of the Month. The revised edition of her second book, Accelerated Best Practice has recently been published - see www.westwood-associates.com Sarah Wilkinson Sarah Wilkinson qualified as a chartered accountant with Touche Ross in London in 1988, having graduated from Durham University, where she gained a first class honours degree in Economics. She was Group Financial Controller at Clifford Chance LLP from 2000 to 2004 and previously worked at Eversheds LLP in London. She is Finance Director for Field Fisher Waterhouse LLP. 2 FROM RECESSION TO UPTURN Simon Young A solicitor since 1977, and former Managing Partner, Simon took the MBA in Legal Practice Management at Nottingham Law School. He has been on the Executive of the Law Management Section of the Law Society since 1999, and since 2001 has represented that Section on the Law Society Council. He chairs the Rules & Ethics group on the representative side of the Society. He is a founding member of the The Law Consultancy Network. He assists law firms with mergers, conversion to LLP status, management and structural matters, and, increasingly, with compliance issues. He has a particular interest in the Legal Services Act, and the business possibilities for law firms in the legislation relating to Legal Disciplinary Practices and Alternative Business Structures. Simon’s solo publications include Limited Liability Partnerships Handbook (2nd edition, 2007, Tottell Publishing); the Law Society’s New Partners’ Guide to Management; and the volumes constituting the ‘Partnership’ title of the Encyclopaedia of Forms and Precedents. Joint publications include the Money Laundering Reporting Officer’s Handbook (LexisNexis); and the Law Society’s Office Procedures Manual. Colin FitzPatrick Colin was a Partner in Grant Thornton for ten years where he specialised in Partnerships, mainly Solicitors. He was the North East‘s representative on the firm’s National Legal Business Panel, and was on their Business Valuation Panel. In 1998 Colin established FitzPatrickRoyle as an independent Practice, undertaking Business advisory and Forensic Accounting work. The Practice has several Legal Business clients and Colin has undertaken a number of consultancy assignments for them covering Partnership Structure, Mergers and Dissolutions. In 2007 Colin undertook a mergers pilot project as part of Lord Carter’s Review of Legal Aid Procurement, which looked at the opportunities for promoting mergers between smaller Criminal Law Firms. He has also lectured for the Law Society and other organisations on various Legal Business matters and wrote three chapters in the Law Management Section’s Mergers Toolkit published in 2007. 3 FROM RECESSION TO UPTURN Foreword As a principal in private practice for more than twenty years, mainly as a sole practitioner, I found that all too often financial planning was limited to a hasty calculation as to whether I was likely to have enough money to pay the VAT, the schedule D or the rent six weeks ahead. I, like many of you, regarded the practice of the law as the provision of a public service, with its secondary object to be making a living, rather than making a fortune. But you don’t need to be poor to be happy and the lawyer who is freed from worries about his or her personal financial survival is also a lawyer who is better placed to deliver that very service to the client. Proper financial planning is a key to that objective. This guidance aims to support solicitors in understanding why forward financial planning is an important and a central element of building a sustainable and profitable business model, whatever the area of law and whatever the size of the firm or organisation. Solicitors in Scotland play a vital role in the lives of individuals and businesses. They interact with a wide cross section of society whether it is to support business and economic growth or to challenge wrongs and protect the rights of the vulnerable. A solicitor’s own business is equally affected by the economic conditions prevailing which affect their clients’ business. To maintain their own position in the marketplace it is vital that solicitors are equipped to understand the economic conditions in which they and their competitors are operating. Solicitors must have appropriate information to enable them to make relevant choices regarding their business model and their business method. This will enable firms of all sizes to weather the difficult times and emerge well prepared for improved conditions. The Law Society of Scotland sees the promotion of sound business development as absolutely central to the development of a well rounded modern profession. I am grateful to The Law Consultancy Network (in particular Andrew Otterburn, Fiona Westwood and Simon Young) for the huge effort put into developing this guidance, and to the law firms that have helped us develop examples of best practice in business. Ian Smart PRESIDENT 4 FROM RECESSION TO UPTURN Contents About the authors ............................................................................................................ 2 Foreword from the President of the Law Society of Scotland ............................................. 4 PART 1 – THE EFFECT OF THE ECONOMIC SLOWDOWN ON FIRMS .................................. 7 1. 2009 to 2012 – a changing landscape ............................................................................ 8 The impact on firms so far........................................................................................... 8 The key area – cash ..................................................................................................... 9 A two stage process: stabilise the business then prepare for the up turn ...................... 9 The wider landscape.................................................................................................... 9 2. Firms in trouble.............................................................................................................. 10 The warning signs ..................................................................................................... 10 Talk to someone as soon as possible .......................................................................... 11 Funding your practice ................................................................................................ 11 Dealing with your bank ............................................................................................. 12 Keeping the bank informed – what your bank will expect from you............................ 12 PART 2 – EFFECTIVE FINANCIAL MANAGEMENT TO STABILISE THE BUSINESS............... 15 3. Stabilising the business – cash and profitability......................................................... 16 Improving cash – the initial areas to look at ............................................................... 16 Overheads ................................................................................................................. 17 Salaries ..................................................................................................................... 19 Gearing or leverage ................................................................................................... 20 4. Working capital management – unbilled time, debtors and outlays........................ 23 The engagement letter – the key first stage ............................................................... 23 Monies on account and credit checks ....................................................................... 24 Costs updates .......................................................................................................... 24 Commercial clients ...................................................................................................
Load more

Recommended publications
  • The State of Legal Services 2020 Evidence Compendium
    Evidence Compendium THE STATE OF LEGAL SERVICES 2020 CONTENTS 1. Framework and data sources 4 Our approach 5 Data sources 6 2. Environmental context and drivers of change 8 Data from LSB’s Covid-19 dashboard 12 3. Access to legal services for all 14 Summary 15 Snapshot of legal needs 16 Unmet need and barriers to access 19 Legal capability 22 Advice seeking 24 Perceived accessibility of the justice system 26 Paying for legal services 30 Public funding and health of the third sector 33 4. Competition working for consumers 40 Summary 41 Shopping around on price and quality 42 Comparison tools 48 Price competition 49 Levels of innovation and technology adoption 53 Unregulated market 58 The State of Legal Services 2020 § Evidence Compendium § 3 5. Regulation that commands public and professional confidence 62 Summary 63 Quality of legal services 64 Seeking redress 70 Professional conduct 75 Perceptions of legal professionals 82 Regulation: awareness and general public confidence 84 Confidence in the legal system 85 Independence of the legal system 88 6. A diverse and inclusive profession 92 Summary 93 Introduction 94 Availability of data 95 Protected characteristics 96 Socio-economic background 108 Mental health and wellbeing 113 Diversity of judiciary 115 7. A successful and sustainable profession 118 Summary 119 Snapshot of sector 120 Alternative business structures and external investment 123 Economic health of sector 125 The impact of Covid-19 127 Legal aid sector 130 Cost of regulation 132 International standing of jurisdiction 136 8. Endnotes 140 1. FRAMEWORK AND DATA SOURCES The State of Legal Services 2020 § Evidence Compendium § 5 Our approach 1.
    [Show full text]
  • Legal Report 2019
    LEGAL REPORT 2019 IN THIS SECTION 2 Global review 10 Americas 3 League tables 13 Asia Pacific 5 Project list 16 EMEA FEATURES CROSS-BORDER DEALS BOOST LAWYERS INTERNATIONAL LAW FIRMS FACE A MORE HOSTILE GLOBAL POLITICAL ENVIRONMENT BUT THE LARGE-SCALE CROSS-BORDER DEALS THEY THRIVE ON KEEP ON COMING. APPETITE FOR RENEWABLE AND EMERGING MARKET DEALS IS HEALTHY WHILE SOME DEVELOPED AREAS ARE SLOWING DOWN. The Refinitiv Project Finance International (PFI) In addition, there is a tendency for some firms annual survey of the legal industry shows that on both sides of the pond to build up teams in activity in the global projects market remains niche areas and to see how it works out. Some strong, with plenty of activity both in cross- might be successful, others not. border financings and the larger domestic deals. Our annual survey includes an editorial review The survey details all deals with a capital value of of the market with a wrap-up of all the movers more than US$500m transacted in the 12 months to and shakers in the NY projects market over the end-September each year in order to examine the previous year. market for major projects around the world. One of the most significant moves in NY was This year, there has been some movement at the top that of tax equity expert David Burton, who left of the table with Clifford Chance moving to the top, Mayer Brown for Norton Rose Fulbright’s New just ahead of Allen & Overy, a reversal from last year. York office.
    [Show full text]
  • Ideas of Equity (Pdf)
    Ideas of Equity 00A_PoE_prelims.pmd 1 15/05/2017, 21:45 STUDIES IN SCOTS LAW Series Editor Kenneth G C Reid Editorial Board Alan R Barr Sandra M Eden George L Gretton Volumes in the series 1. Ross Gilbert Anderson, Assignation (2008) 2. Andrew J M Steven, Pledge and Lien (2008) 3. Craig Anderson, Possession of Corporeal Moveables (2015) 4. Jill Robbie, Private Water Rights (2015) 5. Daniel J Carr, Ideas of Equity (2017) 00A_PoE_prelims.pmd 2 15/05/2017, 21:45 STUDIES IN SCOTS LAW VOLUME 5 Ideas of Equity Daniel J Carr Lecturer in Private Law, University of Edinburgh Lecturer in Law, Robert Gordon University EDINBURGH LEGAL EDUCATION TRUST 2017 00A_PoE_prelims.pmd 3 15/05/2017, 21:45 Published by Edinburgh Legal Education Trust School of Law University of Edinburgh Old College South Bridge Edinburgh EH8 9YL http://www.centreforprivatelaw.ed.ac.uk/monograph_series First published 2017 © Daniel J Carr, 2017 The author asserts his moral rights. ISBN 978-0-9556332-9-4 British Library Cataloguing in Publication Data A catalogue record for this book is available from the British Library. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the written permission of the copyright owner. Applications for the copyright owner’s permission to reproduce any part of this publication should be addressed to the publisher. Typeset by Etica Press Ltd, Malvern Printed and bound by Martins the Printers, Berwick-upon-Tweed 00A_PoE_prelims.pmd 4 15/05/2017, 21:45 Contents Preface vii Table of Cases ix Table of Statutes xvii Abbreviations xix 1 Introduction 1 2 Historical Understandings of Equity 14 3 Unjustified Enrichment 53 4 Trusts 104 5 Constructive Trusts 134 6 Fiduciary Law 184 7 Conclusion 219 Index 219 v 00A_PoE_prelims.pmd 5 15/05/2017, 21:45 00A_PoE_prelims.pmd 6 15/05/2017, 21:45 Preface This book is an updated version of my doctoral thesis submitted in 2009, and awarded by the University of Cambridge in 2010.
    [Show full text]
  • Appellants) V Legal Services Board (Respondent
    Trinity Term [2015] UKSC 41 On appeal from: [2014] EWCA Civ 1276 JUDGMENT R (on the application of Lumsdon and others) (Appellants) v Legal Services Board (Respondent) before Lord Neuberger, President Lady Hale, Deputy President Lord Clarke Lord Reed Lord Toulson JUDGMENT GIVEN ON 24 June 2015 Heard on 16 March 2015 Appellants Respondent Tom de la Mare QC Nigel Giffin QC Mark Trafford QC Martin Chamberlain QC Tom Richards Jana Sadler-Forster (Instructed by Baker & (Instructed by Fieldfisher) McKenzie LLP) Intervener (Bar Standards Board) Timothy Dutton QC Tetyana Nesterchuk (Instructed by Bevan Brittan LLP) Page 2 LORD REED AND LORD TOULSON: (with whom Lord Neuberger, Lady Hale and Lord Clarke agree) 1. The Legal Services Board (“the Board”) was established by the Legal Services Act 2007 (“the 2007 Act”). It exercises supervisory functions in relation to approved regulators of persons carrying on legal activities, including the Bar Standards Board (“BSB”), the Solicitors Regulation Authority (“SRA”) and the ILEX Professional Standards Board (“IPS”). 2. This appeal concerns the lawfulness of the Board’s decision on 26 July 2013 to grant a joint application by the BSB, SRA and IPS for approval of alterations to their regulatory arrangements, under Part 3 of Schedule 4 to the 2007 Act. The alterations gave effect to the Quality Assurance Scheme for Advocates (“the scheme”), which provides for the assessment of the performance of criminal advocates in England and Wales by judges. 3. The appellants are barristers practising criminal law. They seek judicial review of the decision on a variety of grounds, all of which were rejected by the Divisional Court and the Court of Appeal: [2014] EWHC 28 (Admin) and [2014] EWCA Civ 1276 respectively.
    [Show full text]
  • The Charter – a Short History
    The Charter – a short history The Mindful Business Charter was born out of discussions between the in house legal team at Barclays and two of their panel law firms, Pinsent Masons and Addleshaw Goddard, along the following lines: The people working in their businesses are highly driven professionals; We do pressured, often complex, work which requires high levels of cognitive functioning; We thrive on that hard work and pressure; In amongst that pressure and hard work there is stress, some of which is unnecessary; When we are stressed we work less productively, and it is not good for our health; and If we could remove that unnecessary stress, we would enable people to work more effectively and efficiently, as well as be happier and healthier. They also recognised that the pressure and stress come from multiple sources, often because of unspoken expectations of what the other requires or demands. Too often lawyers will respond to requests for work from a client with an assumption that the client requires the work as quickly as possible, whatever the demands that may make on the individuals involved, and whatever the impact upon their wellbeing, their families and much else besides. The bigger and more important the client, the greater the risk of that happening. The development of IT has contributed to this. As our connectivity has increased, there has been an inexorable drift towards an assumption that simply because we can be contactable and on demand and working 24/7, wherever we may be, that we should be. No-one stopped to think about this, to challenge it, to ask if it was what we wanted, or what we should do, or needed to do or if it was a good idea, we just went with the drift, perhaps fearful of speaking out, perhaps fearful that if we took a stand, the client would find another law firm down the road who was prepared to do whatever was required.
    [Show full text]
  • Partnership Law (LC 283; SLC 192)
    The Law Commission and The Scottish Law Commission (LAW COM No 283) (SCOT LAW COM No 192) PARTNERSHIP LAW Report on a Reference under Section 3(1)(e) of the Law Commissions Act 1965 Presented to the Parliament of the United Kingdom by the Lord High Chancellor by Command of Her Majesty Laid before the Scottish Parliament by the Scottish Ministers November 2003 Cm 6015 SE/2003/299 £xx.xx The Law Commission and the Scottish Law Commission were set up by the Law Commissions Act 1965 for the purpose of promoting the reform of the law. The Law Commissioners are: The Honourable Mr Justice Toulson, Chairman Professor Hugh Beale QC Mr Stuart Bridge Professor Martin Partington CBE Judge Alan Wilkie QC The Chief Executive of the Law Commission is Mr Michael Sayers and its offices are at Conquest House, 37-38 John Street, Theobalds Road, London WC1N 2BQ. The Scottish Law Commissioners are: The Honourable Lord Eassie, Chairman Professor Gerard Maher Professor Kenneth G C Reid Professor Joseph M Thomson Mr Colin J Tyre QC The Secretary of the Scottish Law Commission is Miss Jane L McLeod and its offices are at 140 Causewayside, Edinburgh EH9 1PR. The terms of this report were agreed on 10 October 2003. The text of this report is available on the Internet at: http://www.lawcom.gov.uk http://www.scotlawcom.gov.uk ii THE LAW COMMISSION THE SCOTTISH LAW COMMISSION PARTNERSHIP LAW CONTENTS Paragraph Page SECTION A: INTRODUCTORY (PARTS I – III) PART I: INTRODUCTION 1 Partnership law reform in its context 1.1 1 The role of partnerships in the business world
    [Show full text]
  • Sexual Harassment in the Workplace
    House of Commons Women and Equalities Committee Sexual harassment in the workplace Fifth Report of Session 2017–19 Report, together with formal minutes relating to the report Ordered by the House of Commons to be printed 18 July 2018 HC 725 Published on 25 July 2018 by authority of the House of Commons Women and Equalities Committee The Women and Equalities Committee is appointed by the House of Commons to examine the expenditure, administration and policy of the Government Equalities Office (GEO). Current membership Mrs Maria Miller MP (Conservative, Basingstoke) (Chair) Tonia Antoniazzi MP (Labour, Gower) Sarah Champion (Labour, Rotherham) Angela Crawley MP (Scottish National Party, Lanark and Hamilton East) Philip Davies MP (Conservative, Shipley) Vicky Ford MP (Conservative, Chelmsford) Kirstene Hair MP (Conservative, Angus) Eddie Hughes MP (Conservative, Walsall North) Jess Phillips MP (Labour, Birmingham, Yardley) Mr Gavin Shuker MP (Labour (Co-op), Luton South) Tulip Siddiq MP (Labour, Hampstead and Kilburn) Rosie Duffield MP (Labour, Canterbury) Jared O’Mara MP (Independent, Sheffield, Hallam) Teresa Pearce MP (Labour, Erith and Thamesmead) were members of the Committee during this inquiry. Powers The Committee is one of the departmental select committees, the powers of which are set out in House of Commons Standing Orders, principally in SO No. 152. These are available on the internet via www.parliament.uk. Publication Committee reports are published on the Committee’s website at www.parliament.uk/womenandequalities and in print by Order of the House. Evidence relating to this report is published on the inquiry publications page of the Committee’s website. Committee staff The current staff of the Committee are Judith Boyce (Clerk), Luanne Middleton (Second Clerk), Holly Dustin, Tansy Hutchinson, and Shai Jacobs (Committee Specialists), Axell Kaubo (Inquiry Manager), Alexandra Hunter-Wainwright (Senior Committee Assistant), Mandy Sullivan (Committee Assistant), and Liz Parratt and Simon Horswell (Media Officers).
    [Show full text]
  • Barriers to the Legal Profession
    Barriers to the legal profession Rosaline Sullivan July 2010 1 Introduction “Increasingly, children‟s success at school determines their success as adults, determining whether and where they go to college (university), what profession they enter, and how much they are paid” (Buckham and Lee, 2002). The provision of legal services at the highest levels and in the most prestigious firms is dominated by white, male lawyers from the highest socio-economic groups. Our belief is that such an outcome does not occur as a result of overt discrimination but instead barriers to entry and progression occur over the lifetime of individuals seeking a career in law from initial education, to training, to gaining experience within a law firm. This paper explores each stage that an individual follows in pursuing a career in law and the evidence that can help explain the socio-economic characteristics of lawyers we see in England and Wales. Overall purpose of research The Legal Services Board (LSB) has been formed to reform and modernise the regulation of the legal services market place in the interests of consumers. One focus of the LSB‟s first year was on “promoting access to a diverse profession”. In 2010/11 the LSB extends this area of focus to “developing a workforce for a changing market”, enabling us to consider more widely what consumers and procurers of legal services need, want and should be able to expect from the legal workforce. Promoting a legal workforce that is open to the widest pool of talent is recognised across the sector and government as a priority area.
    [Show full text]
  • This Is a Publication of the Stair Society. This Publication Is Licensed by Thomas H
    This is a publication of The Stair Society. This publication is licensed by Thomas H. Drysdale and The Stair Society under Creative Commons license CC-BY-NC-ND and may be freely shared for non-commercial purposes so long as the creators are credited. Thomas H. Drysdale, ‘The Stair Society: The Early Years’, in: Stair Society 52 [Miscellany V] (2005) 243–267 https://doi.org/10.36098/stairsoc/history.1 The Stair Society was founded in 1934 to encourage the study and advance the knowledge of the history of Scots Law, by the publication of original works, and by the reprinting and editing of works of rarity or importance. As a member of the Society, you will receive a copy of every volume published during your membership. Volumes are bound in hardcover and produced to a high quality. We also offer the opportunity to purchase past volumes in stock at substantially discounted prices; pre-publication access to material in press; and free access to the complete electronic versions of Stair Soci- ety publications on HeinOnline. Membership of the society is open to all with an interest in the history of Scots law, whether based in the UK or abroad. Indivi- dual members include practising lawyers, legal academics, law students and others. Corporate members include a wide range of academic and professional institutions, libraries and law firms. Membership rates are modest, and we offer concessionary rates for students, recently qualified and called solicitors and advocates, and those undertaking training for these qualifica- tions. Please visit:
    [Show full text]
  • Law Society Complaints Procedure Uk
    Law Society Complaints Procedure Uk Die-hard Norris controlling all. Mikhail cry menacingly. Disliked Neel beshrews giocoso. Bonuses have otherwise been accounted for. Scotlandwho should make responsible for complaints handling. Directing the complaint for our attorneys. Scottish legal advice, apologise or law. We are law society complaints procedure details provided and the complaint arising from the use. Our Complaints Policy Cognitive Law. Income to and Corporation Tax payment also frequently relevant. What regulating body that complaint in law society or the procedures in the information in all your membership, which is acting for complaint is needed for? If this procedure of complaint please contact law society or advising or chief managing partner responsible for loss of completing his views on. All firms of solicitors in England and Wales will missing a complaints procedure. If you know and complaints committee in law society to providing it should be bound to. The law society about our central register and completions take longer practising in terms of the ssdt is found. If, for heart reason, Mr Gibbins is unavailable, please contact Dr Laura Brampton instead. Terms and conditions Hughes Solicitors. They will then the law charge you any solutions agreed method, then you are only if you become final responsibility for you of an independent? It just fail to illustrate how speaking the times most lawyers are now it comes to refer service and pick some believe them are talking to workshop a nasty attack when competitors who grieve this seriously enter the market. If you are law society complaints procedure before continuing instructions on the complaint? The reality is, consistent most cases, very different.
    [Show full text]
  • Consultation Reponse
    CONSULTATION REPONSE To Law Society of Scotland’s Regulation in the 21st Century: Guarantee Fund October 2015 A. INTRODUCTION The SLCC welcomes the Law Society of Scotland’s consultation1 on the Guarantee Fund. In particularly, we are pleased to see that the findings of KPMG’s independent review have been considered and the Society are now considering implemented some of the recommendations. We believe that following the KPMG review and before that Sheriff Principal Bowen’s report on Consumer Protections in Conveyancing Cases, now is the right time to consider changes to the Guarantee Fund to ensure clients and others are protected by a sustainable, effective system. Some of the changes we discuss will involve changes to legislation and it is entirely appropriate that these changes are considered at the same time the Society is proposing wider changes to the regulatory framework2. B. ABOUT US The Scottish Legal Complaints Commission (SLCC) is in independent statutory body providing a single point of contact for all complaints against legal practitioners operating in Scotland. The SLCC investigates and resolves complaints about inadequate professional services; refers conduct complaints to the relevant professional body and has oversight of complaint handling across the profession. The SLCC operates independently of the legal profession and government and aims to resolve complaints early, efficiently and effectively and to improve complaints handling across the profession. Through this work we aim to improve trust and confidence in Scottish legal services. Our annual report3 and website4 have more information on our work. 1 http://www.lawscot.org.uk/media/555164/Regulation-consultation-Guarantee-Fund-2015.pdf 2 http://www.lawscot.org.uk/media/555161/Regulation-consultation-Entity-2015.pdf 3 http://www.scottishlegalcomplaints.org.uk/media/56936/slcc_annual_report_2013-2014_- _final_electronic_version.pdf 4 http://www.scottishlegalcomplaints.org.uk The consultation to which we are responding relates only to the solicitor’s profession in Scotland.
    [Show full text]
  • Guide to Starting a Practice | Law Society of Scotland
    Guide to starting a practice In association with 2 | Guide to starting a practice Contents 1. Business planning ................5 4. Risk management ..............12 • Business plan • Business continuity plan • Structure • Fraud and cybersecurity • Marketing, promotion and • Professional risk attracting business • Communication with clients • Practice and file management 5. Insurance and • Practice management course client protection ....................13 • Policy templates • The Master Policy for professional indemnity insurance • Additional cover 2. Finance and cashflow ...........8 • Client Protection Fund • Cashflow • Banking arrangements • PAYE/Real Time Information 6. Legal Aid ............................14 (RTI) Registration • VAT • Making Tax Digital (MTD) 7. Practice unit options • Corporation tax and income tax and information .....................15 • Account management software Checklist and contacts ...........19 3. Compliance ........................10 • Accounts rules • Anti-money laundering (AML) • Data protection and GDPR • Incidental financial business • Officers of the firm You can read the relevant rules and guidance on our website. Where possible, this guide also provides details of where you can find more information. Rule Law Society of Scotland practice rule Guidance Law Society of Scotland practice guidance Info More information Guide to starting a practice | 3 Guide to starting a practice Congratulations on taking the first step to setting up your own practice. While establishing your own firm can bring many rewards, it pays to spend time at the outset planning how your business will operate. You will want to ensure that your new practice complies will all relevant legislation, rules and regulations. This guide is designed to help you start out on the right path by getting you to consider some of the main requirements and relevant points for starting and operating a legal practice in Scotland.
    [Show full text]