Annual legal practice survey

Size: px
Start display at page:

Download "Annual legal practice survey 2015. www.sagars.co.uk"

From this document you will learn the answers to the following questions:

  • What type of financial results are included in the FInse?

  • What is one benefit of using the Fee income survey?

  • What type of income bandings are the largest?

Transcription

1 Annual legal practice survey

2 Contents Foreword 2 About us 3 About the survey 4 Structural evolution 5 Are you growing your top line? 6 Fee income opportunities 7 Pricing structures 8 Reflection is looking in so you can look out with a broader, bigger, and more accurate perspective. Mick Ukleja and Robert Lorber Charge out rates 9 The profit incentive 10 Profit, salaries and employment costs 11 Gearing up 12 Overheads 13 Overheads finding the Goldilocks zone 14 Professional indemnity premiums 15 Are you chained down by your lock up? 16 Cash is king 17 Where does the money come from? 18 How healthy are the firm s finances? 19 Banking the legal sector 20 Who s carrying the can? 21 What s the risk? 22 Embracing the digital age 23 How can we help? 24 PAGE 1

3 Foreward Dez Derry, CEO, mmadigital online marketing specialists for the legal sector. As the CEO of a firm dedicated to helping law firms to stay relevant in the digital age, I see first hand how the face of legal services is changing. Just as the digital landscape has evolved and grown rapidly with consumers and businesses (not to mention employees) who are mobile, demanding and increasingly savvy to being sold to, so today s law firms are facing an ever changing landscape. There may be a more benign economic outlook than in recent years, but the pressures of regulation, potential new competition and increasing client expectations continue in full force. The results in this year s Annual Legal Practice Survey make interesting reading for all leaders and decision makers in UK SME law firms. There are many positive indications, especially for the leaders of the pack, but the challenges of generating profitable new fee income, managing working capital and enabling viable succession plans are coming into sharper focus. The results in this year s Annual Legal Practice Survey make interesting reading for all leaders and decision makers in UK SME law firms. As professionals, lawyers will hopefully appreciate more than most, the value of trusted advisers with relevant sector expertise and a forward thinking mind set. This is a great catalyst to revisit the challenges facing your firm and to take full advantage of the support of the advisers behind the survey. Going beyond headline financial results to consider the underlying profit drivers and key practice management issues, the survey is a valuable insight into how your peers are performing and where the biggest improvement opportunities for your firm might lie. The survey suggests that not too many firms in the SME legal marketplace are fully embracing the advantages that technology and a digital outlook can bring. So, if part of your strategic thinking considers how best to improve your brand identity and marketing techniques to help find your place in a crowded online marketplace, I hope you ll get in touch with MMA Digital too. Dez Derry mmadigital PAGE 2

4 About Sagars ANNUAL LEGAL PRACTICE SURVEY 2015 Sagars is one of the leading independent firms of chartered accountants and business advisers in Yorkshire. We re proud to have won a hat-trick of national awards but what really matters to us is building long-term relationships with our clients and giving them the very best advice. Our specialist legal sector team was established more than 15 years ago to provide tailored advice to the profession. Our team of 85, including five partners, has a 14-year average length of service and is a mix of home grown talent and senior advisers who ve joined us from the big 4 and national firms this ensures our clients enjoy a high level of expertise and a very personal service. We re proud that more than 90% of our clients come to us because they ve been referred by our existing clients, professional contacts or team members. We do far more than you might imagine for many of our legal sector clients, and there are a range of ways you could choose to take advantage of us! Whether or not we already provide your SRA audit, accounts preparation and tax compliance work, perhaps we could help you in one of these ways: Act as a sounding board or facilitator for your strategic discussions. Help you to develop and support your succession plans. Identify potential merger partners, buyers or acquisition targets and support you through the sale, acquisition or merger process. Review available options and/or provide practical implementation support for changing your firm structure / financing/ tax planning arrangements. Provide analysis and negotiation support for changes to practice finances. Produce cashflow forecasts and financial models for future scenarios. Provide impartial reviews, action plans and practical support to improve: lock up and cash flow management finance function operations fee earner compliance with Solicitors Accounts Rules requirements. Provide training and support for COFAs, and Solicitors Accounts Rules Training for fee earners Get in touch: John Beevers T: E: j.beevers@sagars.co.uk PAGE 3

5 About the survey Giving a snapshot of results and data from a range of firms drawn from the SME segment of the UK s legal marketplace, this survey is a great starting point for looking at your own firm s performance and approach. Participant firms are located across England and Scotland, with no London bias in the results. The charts here show the breakdown of firms by size (fee income) and nature of practice. Use the survey as a challenging discussion tool for your leadership team or as a wake up call to guard against the status quo Fee income bandings Larger (> 1.5m) Medium ( 0.5m - 1.5m) Small (< 0.5m) The survey includes data for 127 firms. The main analyses use the Small, Medium and Larger bandings shown alongside. For some analyses certain firms are excluded where no relevant data is available. Main practice area Mixed / general practice Family / criminal (mainly private) Personal injury Mainly legal aid Domestic conveyancing The majority of firms are mixed/ general practices. Niche or specialist firms include both established firms and some relatively new start-ups emerging from departments who have exited established firms. Other Commercial So what? All firms are different. And increasingly some of your competition will come from businesses (and potentially locations) not represented in this survey; however, comparing your firm s performance to others is always a valuable exercise to identify risk areas, opportunities to improve, or to provide some validation that your strategic and operational approach really is working. Giving access to financial benchmarks combined with select practice management data, you can use the survey as a challenging discussion tool for your leadership team or as a wake up call to guard against the status quo. And if you d like a detailed analysis of how your firm s individual results compare, then please just ask us. PAGE 4

6 Structural evolution Recent years have seen considerable changes to practice structure. From our survey only three years ago, the profile has seen sole practitioners fall from 18% to 13% of participants, with partnerships now comprising only 44%, down from 54%. Mergers and consolidation within the marketplace have reduced the numbers of sole practitioners in particular. Our survey also sees a number of fresh niche firm start ups, illustrating the trend for specialist departments to come out of general practice firms to serve individual sectors with recognised specialists. Succession planning, cashflow management and tax planning have all been important drivers of structural change. Whilst the latest legislative changes may reduce the tax planning and cashflow advantages of LLP and Limited Company structures, other drivers remain and many firms need to seriously address longer term (or in some cases quite short term!) succession planning issues and to ensure that they are structured to allow sufficient investment and viable ongoing financial management.. many firms need to seriously address longer term (or in some cases quite short term!) succession planning issues In our survey: 6 firms are either already registered as, or have applied to become, an ABS (Alternative Business Structure). 5 firms have a non-lawyer principal (for some, this was the reason for becoming an ABS) QUESTIONS TO ASK How many of your current equity holders are due to (or would like to) retire within the next 10 years? Do you have a formal succession plan in place (agreed by all the current equity holders)? Have you reviewed your practice structure in the past 12 months? How will the latest tax legislative changes impact on the tax / cashflow effectiveness of your current practice structure? PAGE 5

7 Are you growing your top line? 63% of larger firms 64% of medium firms 57% of small firms showed a year on year growth in their fee income. With the economy improving, it s perhaps worrying that so many firms are showing static or reducing fee income levels. The variation in fee income changes from prior year performance across individual firms is striking. 46% of all firms are reporting fee income levels within 10% of prior year performance; however, the best and worst performing firms in this regard show much more dramatic changes. Of course, fee income growth doesn t necessarily equate to profit growth. 84% of firms showing year on year fee income growth also reported increased net profits; with 35% of firms reporting static or falling turnover achieving profit growth. In August 2014, the Law Society forecasted that the UK legal industry will return to pre-lehman levels of growth by the end of PAGE 6

8 Fee income opportunities? These metrics show a large range amongst individual firms, even those of a similar turnover indicating that there may be strong opportunities for many firms to improve. between the median fees per equity partner and fees per other fee earners is greatest in the larger firms, as these tend to operate with fewer equity holders to other staff (see also Gearing up on page 12). Comparing fees per equity partner with fees for other fee earners gives an indication of the equity leverage within firms. It s no surprise that the divergence Small firms Medium firms Larger firms Fees per fee earner* '000 Fees per equity partner '000 Max Min Median Max 441 1,346 4,964 Min Median * Excluding equity partners QUESTIONS TO ASK What are the main drivers behind any fall in our fee income? Downward pressure on prices? Reduced levels of activity? Is it department specific? Is our fee income growth profitable? Where do we see our future fee income growth coming from? Is our approach to pricing the right one for us and our client market? If we re losing clients (or not winning new ones), do we know what s influencing their decision? What does our competitor profile look like today? Are we meeting clients expectations (or wants) in the way we deliver services? And compared with our competitors? PAGE 7

9 Pricing structures Only 5 firms in our survey used fixed fee charging exclusively 37% of small firms never used fixed fee charging for any type of work Work types most commonly attracting fixed fees include PI, domestic conveyancing, family and commercial property The charts below show how the firms in our survey are making use of fixed fee pricing structures. The more complex the area of law, the less suitable it is for a fixed fee approach; however, clients are becoming much more discerning in their attitudes to pricing for legal services and will often look for alternatives which give at least some element of certainty or improved value, such as capped fees or split fixed / time based fees. New and potential entrants to the UK legal marketplace, particularly those with a non-core legal background and operating through ABSs, seem likely to increasingly use fixed fees for an expanded range of legal services. It will be interesting to see how this profile evolves in future years. PAGE 8

10 Charge out rates Time based charging remains the predominant form of pricing in the UK legal market the starting point for which are the charge out rates determined by firms Interestingly, there is a wide spread of charge out rates across all firm sizes. The highest rates are typically seen in some of the larger firms, but there are variations, particularly with some of the niche practices. The lowest charge out rates are seen in debt recovery or conveyancing firms. Of course, published charge out rates may be little more than academic if write-offs are high and/or fee earners fail to accurately or completely record their time spent. There is clearly a balance to be struck between charge out rates pitched too high and which may put clients off, and those which are too low to enable a firm to be fully rewarded for the value which clients place on their work. Firms with a strong brand, good reputation and real (or perceived) positive differences from their competitors can typically command premium rates. All practices All practices Highest partner charge out rate Max 340 Min 100 Median 212 Highest other fee earner charge out rate Max 295 Min 100 Median 201 Lowest partner charge out rate Max 275 Min 50 Median 195 Lowest other fee earner charge out rate Max 217 Min 40 Median 122 QUESTIONS TO ASK How do our charge out rates compare with those of our main competitors? Is our approach to pricing the right one for us and our client market? Are we making appropriate use of fixed fee charging, or other charging alternatives? Do all of our equity holders and other fee earners fully and accurately record their time? Do we know how our team is investing their non-chargeable time? Is our work being performed at the most appropriate level? Do we have targets or other incentives which encourage playing the system - perhaps to minimise write offs? PAGE 9

11 The profit incentive Only 4 firms in our survey reported a net loss (all small firms) 45 firms showed a lower profit compared with prior year (a mix of firm sizes) 56% of firms reported a net profit increase of more than 10% of prior year profit 2015 Small firms Medium firms Larger firms Net profit % Net profit per equity partner '000 Change from prior year net profit % Max 68% 71% 56% Min -28% 6% 1% Median 32% 25% 21% Max Min Median Max 680% 697% 512% Min -289% -213% -348% Median 22% 9% 16% Comparing these results with last year s survey: The reported change from prior year net profit % is notably stronger in the current survey. This is probably due to a combination of an improving economy together with the benefits of cost-savings and efficiency measures put in place by many firms during the recession. Although the squeezed middle appear to have benefited least. Median net profit per equity partner is fairly static compared with last year s survey across all firm sizes. 2013/14 Small firms Medium firms Larger firms Net profit % Net profit per equity partner '000 Change from prior year net profit % Max 68% 69% 50% Min -17% 0% -3% Median 27% 27% 23% Max Min Median Max 22% 25% 14% Min -31% -30% -14% Median -0.3% 0.8% -0.4% PAGE 10

12 Profits, salaries and employment costs Professional practices are people businesses, so it s little surprise that employment costs are the most significant cost for most law firms. This is particularly true for medium and larger firms when equity holder are typically a much smaller proportion of the total team. Individual firms employment costs will vary according to the mix of legal work to some extent, but the large variation between individual firms again shows that this is an important area to review to ensure that optimum performance is achieved. Small firms Medium firms Larger firms Employment costs as % of fees Max 88% 63% 69% Min 3% 11% 16% Median 29% 40% 44% Small firms Medium firms Larger firms Highest non-equity partner salary Equity profit share at same firm Highest non-partner salary ' ' ' Equity profit share at same firm There are equivalent opportunities in terms of salary levels for high performing fee earners across all firm sizes; although the potential for higher equity holder income is typically greatest in the larger firms. In a number of firms (particularly medium ones), non-equity partners and fee earners are taking home more than the equity partners who ' are risking their own capital in the business. Increasingly, firms are facing the challenge of high performing fee earners wishing to remain in salaried, non-ownership positions, rather than take on the risks and responsibilities of becoming a principal for potentially limited extra rewards.. firms are facing the challenge of high performing fee earners wishing to remain in salaried, non-ownership positions, rather than take on the risks and responsibilities of becoming a principal for potentially limited extra rewards. PAGE 11

13 Gearing up 7 firms reported redundancies this year 51 firms reported no change in headcount Headcount reduction in 4% of small, 33% of medium and 36% of larger firms Headcount increase in 26% of small, 29% of medium and 38% of larger firms Equity holder gearing here describes the average size of fee earner team for each equity holder in the firm (including the equity holders as fee earners too). The complexity of legal work impacts on the gearing or leverage levels. Only simple legal work, requiring little supervision and experience, can be done with high gearing. In any firm, gearing levels can be improved by effective systems and procedures. This ensures that work is carried out at the most appropriate level, minimises any duplication of effort and reduces the risks of things going wrong (from both a legal and client service perspective). Carrying out work at too a high a level typically means that recovery rates will be low. Higher charge out rates for more experienced staff and partners are wasted if they carry out simple work which can only be billed to clients at a lower rate. Small firms Medium firms Larger firms Equity holder gearing Max Min Median Fee earners & Partners as a % of total headcount Equity holders as % of total headcount Max 100% 100% 100% Min 13% 13% 32% Median 50% 50% 52% Max 100% 43% 67% Min 9% 4% 1% Median 25% 17% 10% QUESTIONS TO ASK Do we have the best mix of staff at different levels? Are partners and senior fee earners effectively delegating work to the most appropriate level? What opportunities are there to improve our systems and procedures? Are all our staff being fully and effectively utilised? What are their recovery rates? Is our time recording accurate and complete? Is our non-chargeable time used beneficially? How do we know? PAGE 12

14 Overheads The table below shows the split of overhead costs by key areas (excluding employment costs). Median levels of spend are remarkably similar across all firm sizes for most overhead categories. For some firms (particularly small and medium practices), bad debts are a significant issue and represent a direct hit on net profit. This is an area which can be significantly improved with a greater focus on the client lifecycle from initial due diligence, expectation management, prompt billing through to active debt collection. Small firms Medium firms Larger firms Total overheads as % of fees Premises costs as % of fees Financing costs as % of fees Marketing & entertaining as % of fees Bad debts as % of fees IT costs as % of fees Training costs as % of fees Depreciation as % of fees Max 95.1% 66.5% 80.9% Min 16.6% 13.0% 13.2% Median 37.4% 31.1% 34.1% Max 22.6% 17.1% 13.8% Min 0.0% 0.0% 2.0% Median 5.3% 7.6% 6.1% Max 3.8% 5.6% 6.7% Min 0.0% 0.0% 0.0% Median 0.7% 0.7% 1.1% Max 21.6% 7.2% 14.2% Min 0.0% 0.0% 0.1% Median 0.5% 0.9% 1.9% Max 10.8% 21.6% 5.2% Min 0.0% 0.0% 0.0% Median 0.3% 0.6% 0.9% Max 5.7% 3.1% 5.3% Min 0.1% 0.1% 0.3% Median 1.4% 1.3% 1.5% Max 5.5% 1.1% 2.7% Min 0.0% 0.0% 0.0% Median 0.3% 0.3% 0.4% Max 16.1% 29.1% 7.2% Min 0.0% 0.1% 0.1% Median 0.9% 1.2% 1.4% PAGE 13

15 Overheads finding the Goldilocks zone The majority of firms have trimmed (or significantly cut back) overheads in recent years in response to the poor economic climate. It will be important for firms to keep costs under control and to look for further opportunities to improve efficiencies. However, there may be areas where increased overhead spend could pay longer term dividends through lowering the risk of mistakes and poor service or helping to generate income. Examples include training costs, IT spend and targeted marketing costs. Once again, effective succession planning is an important factor in getting this balance right equity holders who are shortly to retire may be tempted to cut back overheads excessively and to avoid investment in improved systems for the benefit of the firm in the medium to long term, as this may adversely impact profit in the short term. A specific overhead most firms are particularly interested in professional indemnity insurance is considered overleaf. Finding the Goldilocks zone for overhead spend can be tricky to do. Not too much, not too little, but just the right amount. QUESTIONS TO ASK Is our overhead spend aligned with our strategy and business plans? Are we taking a sufficiently long term view about our overhead spend? Is our spending fixed in certain areas by the way we operate? Could we/ should we make different choices? When did we last review our long term service and support contracts to ensure value for money? Who is responsible for managing our overhead spend? Who else can influence the spend and should be held accountable? Do we monitor the return on our overhead spend where we can for example, in marketing? Have we found the Goldilocks overhead zone? PAGE 14

16 Professional indemnity premiums Small firms Medium firms Larger firms Change in PI premium as % of prior year cost PI premium as % of fee income Max 356% 179% 174% Min 54% 32% 71% Median 102% 101% 100% Max 16% 12% 13% Min 0.5% 0.8% 0.2% Median 5% 3% 3% Professional indemnity premiums are a very necessary expense, but can sometimes represent a significant cost. Median premiums across all firm sizes have remained fairly static compared with prior year, although some individual firms have experienced considerable changes. A firm s claims history, systems and the areas of law practiced all strongly influence PI premium levels. Firms should seek to actively manage their PI risk and ensure strategic decisions take this into account. The impact on ongoing PI premiums is sometimes a barrier to merger or acquisition if one party has a poor claims history or operates in a riskier area. Comparing the cost as a percentage of fee income shows small firms to fare worse than medium and larger ones. QUESTIONS TO ASK Thinking about your practice what keeps you awake at night? Which departments are the most risky from a PI perspective? Do we get sufficient return from high risk areas of law to justify the additional PI costs incurred? Do we have a culture which encourages people to admit and share their mistakes, and to learn from them? Have our brokers explored the market fully to get us the best cover at the best premium? Can we rely on the insurers we have in place? What rating do they have? Do we have the right levels of cover? PAGE 15

17 Are you chained down by your lock up? Small firms Medium firms Larger firms Max WIP days Min Median Max Debtor days Min Median Max Total lock up days Min Median Controlling your lock up (combined work in progress and debtors) is the crux of effective cash flow management. There will be variations on what is realistic dependent on the particular legal sector, but the best firms perform substantially better than the rest and demonstrate just how much can be achieved. The survey results capture a snapshot of firm s lock up at the year end and may show a more flattering outcome than is achieved throughout the rest of the year when fee earners are perhaps not nagged quite as vigorously into some year end housekeeping! It s clear that consistently keeping on top of things throughout the year, and having an consistent focus on this vital area, will pay further dividends. The vast majority of firms have the opportunity to improve their performance in managing lock up, with direct positive impacts on both cash flow and profitability. In the good old days, firms were able to make the levels of profits where cashflow management didn t need to be a priority. Those halcyon days have gone. Getting the law right is vital, providing good client service is important, but firms are unlikely to ever be sustainably profitable unless they effectively manage work in progress and debtors. Aside from the obvious cash flow implications, the longer firms take to bill for services, the harder it is to charge maximum value and the higher the risk of incurring write-offs and bad debts. However much they are supported by specialist admin staff, fee earners must take responsibility for managing their lock up (right from initial client management to final collection of monies). The vast majority of firms have the opportunity to improve their performance in managing lock up, with direct positive impacts on profitability. PAGE 16

18 Cash is king 39% of all firms had available cash* of less than 5% of fees 45% of all firms showed an overdraft position 9% of all firms had a negative year end cash book position which exceeded their overdraft facility. * available cash defined as office account balance (if positive) plus any available overdraft. Small firms Medium firms Larger firms Year end office account balance '000 Year end available cash '000 Year end available cash as % of fees Max ,340 Min ,032 Median Max ,340 Min ,282 Median Max 161% 127% 31% Min -20% -11% -9% Median 13% 10% 6% A small number of firms showed a negative cash book year end position which exceeded levels of agreed overdraft borrowing. Low levels of available cash as a percentage of fee income render firms illequipped to cope with, for example, a temporary fall in fee income or a slowdown in billing or collection. For firms with a very poor available cash position, the threat of serious financial difficulty is very close. Small firms currently show a much better position compared with a median of only 5% in our previous survey. Medium and larger firms have remained at very similar levels. If there is no available cash, a practice will need to either negotiate additional external borrowing or ask equity holders for a capital contribution. Pressures on practice cash flows and limited available cash, are a key risk factor in frauds where solicitors are tempted to dip in to the client account to prop up ailing practice finances. The SRA has identified the misuse of money or assets as a current priority risk. We have also seen a number of firms where financial difficulty has been a contributory factor leading to mis-use of client money. PAGE 17

19 Where does the money come from? 90% of larger firms 64% of medium firms 51% of small firms had some form of on-balance sheet external borrowings 53% of all firms had outstanding fixed term loan debt Small firms Medium firms Larger firms Total external borrowings '000 Total external borrowings as % of fees Max ,290 Min Median Max -43% -29% -72% Min 0% 0% 0% Median -0.2% -2.6% -9.1% Medium and small firms are more likely than larger firms to have equity capital funding on balance sheet and/or to rely on off-balance sheet finance through individual partner loans. This form of off-balance sheet funding is increasingly coming under pressure from some banks. Whilst traditional bank funding remains the primary source of finance in the legal sector, Alternative Business Structures open the way to access additional forms of funding or investment and it does seem likely that other sources of external finance will be accessed by some firms in the coming years. The greater the amount of equity holder capital which can be introduced and retained, the less reliance firms will need to place on external borrowings. Larger firms show the lowest levels of median partner capital as a % of fees which corresponds with the larger firms having the highest median levels of external borrowings. Small firms Medium firms Larger firms Total on balance sheet partner capital as % of fees Max 188% 71% 80% Min 0% 0% 0% Median 32% 27% 17% PAGE 18

20 How healthy are the firm s finances? The SRA s report, Steering the course: Research into the characteristics of law firms in financial difficulty (2014), identified the following indicators and characteristics which proved helpful in assessing the probability and/or actual presence of financial difficulty within a firm: Lead indicators (economic, market and cultural factors which influence day-to-day operation of the business): Poor financial and business management (including mergers and acquisitions) Partner leaving Adverse economic circumstances Firm carries out a single work area SRA Accounts Rules breaches Lag characteristics (often present in firms already in financial difficulty): Failure to pay debts Misuse of client money Poor standard of service Issues with Professional Indemnity Insurance and Practising Certificate renewals. QUESTIONS TO ASK Are all principals engaged in taking responsibility for the financial management of the firm? Do we have the right management and financial information available to keep track of our finances and enable us to act on problem areas early on? Is our management and financial information available in an accessible form? How quickly is it produced? Is our longer term strategy supported by sufficient capital investment in our practice? Are we investing enough to secure the successful future of the firm? Thinking about our business plans, what do we anticipate our cash requirements be in the next 12 months? In the next 3 years? How does our current financing structure fit with our succession plans? How do we monitor our ongoing compliance with banking covenants? How accountable are fee earners for managing their WIP and debtors profile? What is our typical level of available cash? Are we forced to actively manage our payments to suppliers, rather than simply being able to pay when those debts fall due? How much headroom do we have to cope with setbacks in fee income generation or cash collection? PAGE 19

21 Banking the legal sector The charts below illustrate the main bankers for firms in our survey both for all firms and, separately, for Scottish firms only. RBS/ NatWest continues to dominate as the main banker, but a number of other players are becoming increasingly active. Adviser evidence is that the market is churning. Some banks are looking to reduce exposure to the sector and being increasingly aggressive on enforcing strict covenants and in making off-balance sheet individual partner finance more difficult to obtain. Profitable, well managed firms will always be able to find suitable banking facilities, but firms with less good results and who struggle to effectively manage cash flow may find it increasingly problematic to source funding. PAGE 20

22 Who s carrying the can? 75% of firms have the Managing / Senior Partner as COLP 66% of firms have the Managing / Senior Partner as COFA Percentage of firms which have the same person filling both roles 32% of larger firms 53% of medium firms 86% of small firms There are a lot of very busy Managing Partners about! The Compliance Officer for Legal Practice (COLP) and the Compliance Officer for Finance & Administration (COFA) are pivotal roles under the Solicitor Regulation Authority s Outcomes Focused Regulation. Firms must ensure that persons entrusted with these roles have sufficient time, resources and seniority to carry them out effectively. As individuals, COLPs and COFAs must be satisfied that they have effective systems and procedures in place to allow them to meet their responsibilities. COLP responsibilities Managing/ senior partner Other equity partner Other non-equity partner Practice manager/financial controller COFA responsibilities Managing/ senior partner Practice manager / financial controller Other equity partner Other non-equity partner Cashier / accounts manager PAGE 21

23 What s the risk? 51% of firms had no risk register in place 23% of firms maintained no formal breaches register As the chart below demonstrates, there is considerable variation in the quality and comprehensiveness of the risk registers employed by the 49% of firms who do actually have one! Particularly if you re a COFA or a COLP, you should be particularly worried if your firm has no formal breaches register. Risk register status Comprehensive, up to date & monitored Comprehensive, not regularly updated/monitored Standard (not tailored), monitored Standard (not tailored), not monitored Very limited None The SRA s Risk Outlook is regularly updated and highlights the priority risks to law firms from the Regulator s perspective. At November 2014, these priority risks were: Current priority: Misuse of money or assets: Money laundering: Bogus firms: Lack of a diverse and representative profession: Failure to provide a proper standard of service: quality of legal services to vulnerable consumers Other priority: Breach of confidentiality: Information security and cybercrime Lack of independence Failure to act with integrity or ethics: improper or abusive litigation PAGE 22

24 Embracing the digital age Whilst virtually all firms have a website of some description Only 6% of firms have any secure client access available on their site for receiving instructions, accessing documents and/or case tracking 5% of firms do not use case management software Only 2 firms do not use off-the-shelf legal accounting software Perhaps it would be more accurate to say that the firms in our survey are giving the digital age a formal handshake, rather than embracing it! There were no really dominant players in the IT providers to the firms in our survey. Going forward, the extent to which firms do adopt and embrace technological advances both in delivering services and in operating the mechanics of a legal practice, is likely to become an important differentiator between successful firms and the alsorans. Digital advances bring both opportunities and threats security breaches and cybercrime are a growing dangers for law firms. It is vital for firms and their staff to be aware of the risks and to ensure that preventative measures are in place and kept up to date. QUESTIONS TO ASK Do you see technological innovation primarily as an opportunity or a threat? To what extent do you use (or would you be willing to rely on): online legal research services? drafting automation software? case management software? practice management software? client document and case management portals? Can your staff operate remotely? If remote access is technologically enabled, how do you manage the individual and team implications of out of office working? How aware of the risks of information security and cybercrime is your firm? (The SRA has identified cybercrime as one of its priority risks) What precautions do you take to protect the information and money held by your firm? Do you have an effective (and tested) disaster recovery plan? How much have you invested in your IT systems in the last three years? What are your plans for the next three? PAGE 23

25 How can we help? We do far more than you might imagine for many of our legal sector clients, and there are a range of ways you could choose to take advantage of us! Whether or not we already provide your SRA audit, accounts preparation and tax compliance work, perhaps we could help you in one of these ways: Act as a sounding board or facilitator for your strategic discussions. Help you to develop and support your succession plans. Identify potential merger partners, buyers or acquisition targets and support you through the sale, acquisition or merger process. Review available options and/or provide practical implementation support for changing your firm structure / financing/ tax planning arrangements. Provide analysis and negotiation support for changes to practice finances. Produce cashflow forecasts and financial models for future scenarios. Provide impartial reviews, action plans and practical support to improve: lock up and cash flow management finance function operations fee earner compliance with Solicitors Accounts Rules requirements. Provide training and support for COFAs, and Solicitors Accounts Rules Training for fee earners and cashiers. Offer VAT advice and fee earner training on sector specific VAT issues (eg land & property). Carry out a benchmarking comparison tailored for your firm. PAGE 24

tap into the BUsiness protection market.

tap into the BUsiness protection market. BUsiness protection research tap into the BUsiness protection market. Most businesses have key individuals that are essential to it s survival. In fact our research with the Institute of Directors shows

More information

2014 Financial Benchmarking Report - Law Firms

2014 Financial Benchmarking Report - Law Firms Second survey 2014 Financial Benchmarking Report - Law Firms A significant analysis of the current legal market natwest.com/business After five years of challenges it will be interesting to see how legal

More information

LexisOne. LexisOne. Powered by Microsoft Dynamics AX 2012. EnterpriseSolutions

LexisOne. LexisOne. Powered by Microsoft Dynamics AX 2012. EnterpriseSolutions LexisOne Powered by Microsoft Dynamics AX 2012 LexisOne LexisOne powered by Microsoft Dynamics AX 2012 from LexisNexis goes beyond traditional practice management software currently available to legal

More information

Growth Strategies for Law Firms VIV WILLIAMS

Growth Strategies for Law Firms VIV WILLIAMS Growth Strategies for Law Firms VIV WILLIAMS PUBLISHED BY IN ASSOCIATION WITH Chapter 1: Current market conditions ALL LAW firms should consider growth and what exactly it means to them at some stage.

More information

The Armstrong Watson Legal Sector Benchmark. Annual Report for 2013 February 2014. www.armstrongwatson.co.uk/legalsector

The Armstrong Watson Legal Sector Benchmark. Annual Report for 2013 February 2014. www.armstrongwatson.co.uk/legalsector Annual Report for www.armstrongwatson.co.uk/legalsector Annual Report for Contents Page Commentary 1 2 Fee income and profits 3 Overheads 4 People 5 Charge out rates 6 Working capital 7 Annual Report for

More information

Sources of finance (Or where can we get money from?)

Sources of finance (Or where can we get money from?) Sources of finance (Or where can we get money from?) Why do we need finance? 1. Setting up a business 2. Need to finance our day-to-day activities 3. Expansion 4. Research into new products 5. Special

More information

Loans Mentoring Support. The Essential Guide to STARTING A BUSINESS

Loans Mentoring Support. The Essential Guide to STARTING A BUSINESS Loans Mentoring Support The Essential Guide to STARTING A BUSINESS To help you get to the stage where you can turn that business idea into a reality, we ve created this short guide of important aspects

More information

Financial stability for law firms

Financial stability for law firms Financial stability for law firms What are the signs? Strategy and planning Cashflow, profitability and financial reviews Is incorporation the way to go? Considering a merger? A White Paper Why financial

More information

LOOKING TO CHANGE ACCOUNTANTS?

LOOKING TO CHANGE ACCOUNTANTS? LOOKING TO CHANGE ACCOUNTANTS? 7 reasons why we are the firm to take... 2 WHAT DO YOU WANT FROM YOUR ACCOUNTANT? Before you make the decision to change accountants you really need to think about what you

More information

Guide to cash flow management

Guide to cash flow management Guide to cash flow management Cash flow management What is cash flow management? For a business to be successful, good cash flow management is crucial. Cash flow is the primary indicator of a business

More information

APRIL 2015. Economic Impact of AIM

APRIL 2015. Economic Impact of AIM APRIL 2015 Economic Impact of AIM Foreword AIM, which is 20 years old this year, has weathered several economic storms over the past two decades, but has remained true to its core purpose of providing

More information

AAR BENCHMARKING SURVEY 2015 SUMMARY REPORT

AAR BENCHMARKING SURVEY 2015 SUMMARY REPORT AAR BENCHMARKING SURVEY 2015 SUMMARY REPORT WELCOME TO THE LATEST SUMMARY OF AAR S BIENNIAL BENCHMARKING SURVEY. NOW IN ITS THIRD EDITION, THE SURVEY PROVIDES THE MOST ACCURATE AND UP-TO- DATE OVERVIEW

More information

Business-critical Insurance

Business-critical Insurance Business-critical Insurance Identifying those insurances that support the business and its strategy Guide 2015 Contents Introduction... 4 Categories of insurance... 5 Determining which insurance covers

More information

SETTING UP YOUR OWN LEGAL BUSINESS

SETTING UP YOUR OWN LEGAL BUSINESS SETTING UP YOUR OWN LEGAL BUSINESS CONTENTS Why do I want my own business? 2 Your business idea 3 Areas of competence and qualifications 4 Reserved legal activities 5 Practice rights 6 What can I call

More information

Law Firm Benchmarking 2015. Providing clarity in the legal sector

Law Firm Benchmarking 2015. Providing clarity in the legal sector Law Firm Benchmarking 2015 Providing clarity in the legal sector contents 1 Delivering profitability remains a challenge 2 Highlights from 2014-15 4 6 The regional view 8 Looking forward Law Firm Benchmarking

More information

The Changing landscape of Independent Law in SA Survey conducted by Activate on behalf of LexisNexis South Africa August 2014

The Changing landscape of Independent Law in SA Survey conducted by Activate on behalf of LexisNexis South Africa August 2014 The Changing landscape of Independent Law in SA Survey conducted by Activate on behalf of LexisNexis South Africa August 2014 Independent small law firms contribute significantly to the South African legal

More information

SMALL BUSINESS REPUTATION & THE CYBER RISK

SMALL BUSINESS REPUTATION & THE CYBER RISK SMALL BUSINESS REPUTATION & THE CYBER RISK Executive summary In the past few years there has been a rapid expansion in the development and adoption of new communications technologies which continue to

More information

ESOP Advantage. Employee Stock Ownership Plan

ESOP Advantage. Employee Stock Ownership Plan ESOP Advantage Employee Stock Ownership Plan E The Smart Way to Structure Your Business The most important business move you ll ever make - could be your next one. If you are an entrepreneur launching

More information

Chapter 2 Balance sheets - what a company owns and what it owes

Chapter 2 Balance sheets - what a company owns and what it owes Chapter 2 Balance sheets - what a company owns and what it owes SharePad is packed full of useful financial data. This data holds the key to understanding the financial health and value of any company

More information

Owner managed businesses: Bringing your corporate and personal goals to life

Owner managed businesses: Bringing your corporate and personal goals to life Owner managed businesses: Bringing your corporate and personal goals to life Owner managed businesses PRECISE. PROVEN. PERFORMANCE. Bringing your corporate and personal goals to life Dynamic. Ambitious.

More information

SAMPLE BUSINESS PLAN TEMPLATE <<COMPANY LOGO>> <<COMPANY NAME>> BUSINESS PLAN. <<Prepared by: >> <<Date>>

SAMPLE BUSINESS PLAN TEMPLATE <<COMPANY LOGO>> <<COMPANY NAME>> BUSINESS PLAN. <<Prepared by: >> <<Date>> SAMPLE BUSINESS PLAN TEMPLATE BUSINESS PLAN Table of Contents Page Confidentiality Agreement ii 1) Executive Summary 1 2) Company Description

More information

ASSET BASED LENDERS STAYING AHEAD IN AN EVER-CHANGING MARKET FEATURING THE NEW BDO ABL MONITORING DASHBOARD

ASSET BASED LENDERS STAYING AHEAD IN AN EVER-CHANGING MARKET FEATURING THE NEW BDO ABL MONITORING DASHBOARD i ASSET BASED LENDERS STAYING AHEAD IN AN EVER-CHANGING MARKET FEATURING THE NEW BDO ABL MONITORING DASHBOARD ii CONTENT MEETING THE CHALLENGE 1 THE BDO ABL MONITORING DASHBOARD 2 THE BALANCE SHEET MARKET

More information

Grooming Your Business for Sale

Grooming Your Business for Sale PRIVATE COMPANIES Grooming Your Business for Sale Plan for the Future but Be Prepared for the Unexpected KPMG ENTERPRISE 2 Grooming Your Business for Sale Grooming Your Business for Sale Plan for the Future

More information

COMPLETING YOUR PROFESSIONAL INDEMNITY PROPOSAL FORM A PRACTICAL GUIDE FOR SOLICITORS

COMPLETING YOUR PROFESSIONAL INDEMNITY PROPOSAL FORM A PRACTICAL GUIDE FOR SOLICITORS COMPLETING YOUR PROFESSIONAL INDEMNITY PROPOSAL FORM A PRACTICAL GUIDE FOR SOLICITORS page 1 Introduction This guidance is intended to be read alongside Lockton s 2014 Solicitors Professional Indemnity

More information

How To Understand The Growth In Private Health Insurance

How To Understand The Growth In Private Health Insurance COMPETITION IN THE AUSTRALIAN PRIVATE HEALTH INSURANCE MARKET Page 1 of 11 1. To what extent has the development of different markets in the various states had an impact on competition? The development

More information

BBA submission on the HM Treasury (HMT) Consultation Competition in banking: improving access to SME credit data

BBA submission on the HM Treasury (HMT) Consultation Competition in banking: improving access to SME credit data BBA submission on the HM Treasury (HMT) Consultation Competition in banking: improving access to SME credit data The British Bankers Association (BBA) is the leading association for the United Kingdom

More information

The Essential Guide to: Risk Post IPO

The Essential Guide to: Risk Post IPO S TRATEGIC M ARKETS G ROWTH The Essential Guide to: Risk Post IPO Embracing risk for reward Introduction So you ve made it you have taken your business public. It s been a rollercoaster ride and you have

More information

Contents Foreword 1 Introduction by Patrick Reeve Executive summary 1. Business confidence and growth ambitions 2. Availability of finance

Contents Foreword 1 Introduction by Patrick Reeve Executive summary 1. Business confidence and growth ambitions 2. Availability of finance 2014 Contents Foreword 1 Introduction by Patrick Reeve 3 Executive summary 4 1. Business confidence and growth ambitions 4 2. Availability of finance 6 3. Management skills 8 4. Apprenticeships 9 5. Optimists

More information

SME Market Update April - October 2010

SME Market Update April - October 2010 1. Funding Market Are Banks Lending to SMEs Yet? Despite statistics from the British Bankers Association that banks are approving more and more new facilities, we are finding that it is still incredibly

More information

Enterprise Ireland. Finance 4 Growth Sourcing External Funding. June 2012

Enterprise Ireland. Finance 4 Growth Sourcing External Funding. June 2012 Enterprise Ireland Finance 4 Growth Sourcing External Funding June 2012 Cormac Mohan FM Accountants & Business Advisers cmohan@fmaccountants.ie www.fmaccountants.ie Agenda / Contents : Introduction Cash

More information

Finance for the non-financial manager

Finance for the non-financial manager Finance for the non-financial manager A Guest Article by Paul Lower January 2010 How to control working capital and cash flow The banking crisis, credit crunch and global recession have provided the backdrop

More information

for Analysing Listed Private Equity Companies

for Analysing Listed Private Equity Companies 8 Steps for Analysing Listed Private Equity Companies Important Notice This document is for information only and does not constitute a recommendation or solicitation to subscribe or purchase any products.

More information

In partnership with. Food & Drink A fresh approach to risk management

In partnership with. Food & Drink A fresh approach to risk management In partnership with Food & Drink A fresh approach to risk management A thriving sector... In these difficult economic times the Food & Drink industry is a refreshing example of a sector that is expanding.

More information

The Good, the Bad & the Ugly of the Australian Accounting Profession

The Good, the Bad & the Ugly of the Australian Accounting Profession 2015 The Good, the Bad & the Ugly of the Australian Accounting Profession Developed & produced by BENCHMARKING REPORT & PRACTICE IMPROVEMENT GUIDE FOR AUSTRALIAN ACCOUNTING FIRMS The leading publication

More information

Strategic Choices and Key Success Factors for Law Firms June, 2010. Alan Hodgart

Strategic Choices and Key Success Factors for Law Firms June, 2010. Alan Hodgart Strategic Choices and Key Success Factors for Law Firms June, 2010 Alan Hodgart The Association of Danish Law Firms 1 Huron Consulting Group Inc. All rights reserved. Huron is a management consulting firm

More information

Member Brief No 114 Selling a Recruitment Business

Member Brief No 114 Selling a Recruitment Business Camberley House 1 Portesbery Road Camberley, Surrey GU15 3SZ Tel: 01276 509306 Fax: 01276 761076 Email: info@labourproviders.org.uk Website: www.labourproviders.org.uk March 2013 1. Introduction Member

More information

When being a good lawyer is not enough: Understanding how In-house lawyers really create value

When being a good lawyer is not enough: Understanding how In-house lawyers really create value When being a good lawyer is not enough: Understanding how In-house lawyers really create value Contents Foreword... 3 Do you really understand how In-house lawyers create value?... 4 Why creating value

More information

How B2B Customer Self-Service Impacts the Customer and Your Bottom Line. zedsuite

How B2B Customer Self-Service Impacts the Customer and Your Bottom Line. zedsuite How B2B Customer Self-Service Impacts the Customer and Your Bottom Line Introduction For small to mid-sized businesses trying to grow and compete with their larger counterparts, having close relationships

More information

Improving access to finance for small and medium-sized enterprises

Improving access to finance for small and medium-sized enterprises Report by the Comptroller and Auditor General Department for Business, Innovation & Skills and HM Treasury Improving access to finance for small and medium-sized enterprises HC 734 SesSIon 2013-14 1 November

More information

RISK MANAGEMENt AND INtERNAL CONtROL

RISK MANAGEMENt AND INtERNAL CONtROL RISK MANAGEMENt AND INtERNAL CONtROL Overview 02-09 Internal control the Board meets regularly throughout the year and has adopted a schedule of matters which are required to be brought to it for decision.

More information

Income Protection Cover. A fresh approach to Income Protection with 5-star cover

Income Protection Cover. A fresh approach to Income Protection with 5-star cover Income Protection Cover A fresh approach to Income Protection with 5-star cover What should Income Protection offer you? If you are unable to work because of illness, injury or disability, we believe that

More information

The Strategic Importance of Current Accounts

The Strategic Importance of Current Accounts The Strategic Importance of Current Accounts proven global expertise The Strategic Importance of Current Accounts THE STRATEGIC IMPORTANCE OF CURRENT ACCOUNTS With more than sixty-five million active personal

More information

Key issues in bank lending

Key issues in bank lending Key issues in bank lending Introduction Welcome to Keynotes. Keynotes is a monthly event and publication to help early stage businesses get to grips with key legal issues. A bit about us Keynotes is brought

More information

Hilton-Baird s SME Trends Index

Hilton-Baird s SME Trends Index Hilton-Baird s SME Trends Index April 2012 Introduction WITH the Office for National Statistics confirming that the UK has slipped into its first double-dip recession for the first time since the 1970s,

More information

Retail Sector Labour Market Review September 2013

Retail Sector Labour Market Review September 2013 Retail Sector Labour Market Review September 2013 Contents Introduction... 3 Economic contribution and performance... 6 What constitutes the retail sector?... 6 Size and number of businesses... 6 Table

More information

Accountants: Tech your way out of the Recession!

Accountants: Tech your way out of the Recession! Accountants: Tech your way out of the Recession! Will Parker, UK Country Manager accountsiq Executive Summary We all know the old adage cash is king and in a recession, never a truer word can be said.

More information

Seeing you through refinancing

Seeing you through refinancing REFINANCING GUIDE Seeing you through refinancing hether you re moving home, renovating, or simply looking for a different home loan, refinancing doesn t need to be complicated. At QuickSelect we are interested

More information

CRM Systems and Deal Sourcing. A Special Report produced by Preqin and LexisNexis Enterprise Solutions

CRM Systems and Deal Sourcing. A Special Report produced by Preqin and LexisNexis Enterprise Solutions CRM Systems and Deal Sourcing A Special Report produced by Preqin and LexisNexis Enterprise Solutions September 2011 Methodology: Buyout firms across the world were sent a copy of the survey, which covered

More information

Costs of Operating SMSFs ASIC

Costs of Operating SMSFs ASIC May 2013 Costs of Operating SMSFs SYDNEY Level 1 2 Martin Place Sydney NSW 2000 T +61 2 9293 3700 F +61 2 9233 5847 MELBOURNE Level 20 303 Collins Street Melbourne VIC 3000 T +61 3 8621 4100 F +61 3 8621

More information

Invoice finance made simple

Invoice finance made simple Invoice finance made simple All you need to keep the cash flowing Your Invoice Finance Experts Your Invoice Finance Experts Contents This informative, easy-to-use guide has been put together to explain

More information

tutor2u tutor2u Interactive Business Simulations Finance: Cash Flow Management

tutor2u tutor2u Interactive Business Simulations Finance: Cash Flow Management Interactive Business Simulations Finance: Cash Flow Management Note: this interactive simulator is designed to be viewed using an up-to-date internet browser. Users must also have Macromedia Flash Player

More information

Setting the scene. by Stephen McCabe, Commonwealth Bank of Australia

Setting the scene. by Stephen McCabe, Commonwealth Bank of Australia Establishing risk and reward within FX hedging strategies by Stephen McCabe, Commonwealth Bank of Australia Almost all Australian corporate entities have exposure to Foreign Exchange (FX) markets. Typically

More information

Managing Your Career Tips and Tools for Self-Reflection

Managing Your Career Tips and Tools for Self-Reflection Managing Your Career Tips and Tools for Self-Reflection Your career may well be the primary vehicle for satisfying many of your personal needs, i.e. your need to feel a sense of belonging, to feel appreciated

More information

Mergers - Strategic Objectives of a Firm

Mergers - Strategic Objectives of a Firm Moving forward with mergers Nelsons Connect2Law Conference 4 October 2012 Andy Poole Legal Sector Director Armstrong Watson Moving forward with mergers Why mergers are back on the agenda How mergers can

More information

How do I start up as a Contractor?

How do I start up as a Contractor? guide for freelancers and contractors How do I start up as a Contractor? Your step by step guide to getting your contracting business off to a successful start Keeping one step ahead, from the start Starting

More information

DISBURSEMENT FUNDING

DISBURSEMENT FUNDING PRESENTATION TO:- The Society of Clinical Injury Lawyers DISBURSEMENT FUNDING Monday 25 th November Crowne Plaza, Birmingham Norman Kenvyn CEO Robert Norman COO VFS Legal:- a fresh approach and a unique

More information

Portfolio Management

Portfolio Management Portfolio Management Portfolio Management It is top management responsibility that requires the assessment of strengths and weaknesses of the current portfolio of businesses, in order to define the priorities

More information

SGW Accountancy Services Ltd. Accounting, stocktaking and consultancy services for the Licensed Trade

SGW Accountancy Services Ltd. Accounting, stocktaking and consultancy services for the Licensed Trade SGW Accountancy Services Ltd Accounting, stocktaking and consultancy services for the Licensed Trade SGW Accountancy Services Whether you re a managed house chain, or at local level, an owner, tenant or

More information

Choosing HOW you fund your business is just as IMPORTANT as the business you choose.

Choosing HOW you fund your business is just as IMPORTANT as the business you choose. Choosing HOW you fund your business is just as IMPORTANT as the business you choose. About Benetrends Benetrends has been helping visionary entrepreneurs successfully launch their dreams for nearly 30

More information

Benefits make up an important component of the employment. Employee Benefits in a Total Rewards Framework. article Business Case for Benefits

Benefits make up an important component of the employment. Employee Benefits in a Total Rewards Framework. article Business Case for Benefits article Business Case for Benefits Employee Benefits in a Total Rewards Framework Benefits represent one of the largest investments a company makes in its talent. However, our tendency can be to design,

More information

How To Fund A Cash Flow Strong Business

How To Fund A Cash Flow Strong Business STRUCTURE YOUR LABOUR HIRE BUSINESS SO CASHFLOW IS NEVER A PROBLEM EDGEVIEW DIRECT 1 REVENUE IS VANITY MARGIN IS SANITY CASH IS KING! - KEITH C. MACDONALD EDGEVIEW DIRECT 2 It s often touted as common

More information

SUPPLY CHAIN FINANCE. Extracting value from the supplier tail. A Purchasing Insight report in collaboration with Invapay

SUPPLY CHAIN FINANCE. Extracting value from the supplier tail. A Purchasing Insight report in collaboration with Invapay SUPPLY CHAIN FINANCE Extracting value from the supplier tail A Purchasing Insight report in collaboration with Invapay Supply Chain Finance and Working Capital Management are important tools for any business

More information

Share me. A Guide to Fleet Management

Share me. A Guide to Fleet Management A Guide to Fleet Management for Small Businesses 1 Contents Introduction 3 The true cost of vehicle downtime 4 The benefits of leasing and fleet management 5 Why Buy? - The official verdict 6 Fleet options

More information

Legal Private Practice Market Report & Salary Survey 2012/2013 Hong Kong

Legal Private Practice Market Report & Salary Survey 2012/2013 Hong Kong Legal Private Practice Market Report & Salary Survey 2012/2013 Hong Kong Introduction Welcome to the Taylor Root Hong Kong Private Practice market report for 2012/2013. Our report includes an appraisal

More information

Estate Agency. Helping you every step of the way

Estate Agency. Helping you every step of the way Estate Agency Helping you every step of the way Do you want help finding your next home? Whether you re buying or selling Halifax Estate Agents offers you a complete home moving service that offers outstanding

More information

CPD Spotlight Quiz September 2012. Working Capital

CPD Spotlight Quiz September 2012. Working Capital CPD Spotlight Quiz September 2012 Working Capital 1 What is working capital? This is a topic that has been the subject of debate for many years and will, no doubt, continue to be so. One response to the

More information

Insolvency. A vision for the next parliament. R3 manifesto for the 2015 General Election

Insolvency. A vision for the next parliament. R3 manifesto for the 2015 General Election 020 Insolvency 2020 A vision for the next parliament R3 manifesto for the 2015 General Election UK insolvency landscape The 2010 General Election was a turning point for the UK s insolvency landscape:

More information

APPENDIX Business Description Current Position of Company Financing Request

APPENDIX Business Description Current Position of Company Financing Request APPENDIX SAMPLE BUSINESS PLAN Introduction Business Description A brief description of your business; product type, industry and target market and competitive position as compared to your rivals Current

More information

The three most important things in retailing are location, location and location.

The three most important things in retailing are location, location and location. Location Introduction Most business studies textbooks can t resist starting a section on business location with the following phrase: The three most important things in retailing are location, location

More information

Strategic priorities for UK businesses

Strategic priorities for UK businesses Strategic priorities for UK businesses An independent report on the issues affecting today s CFOs Contents 03 04 06 09 10 11 Strategic priorities for UK businesses Executive summary The view from within:

More information

Business Interruption Factsheet

Business Interruption Factsheet Business Interruption Factsheet Business Interruption (BI) should be an essential part of your business insurance protection to provide cover against both loss of income and additional expenses you incur

More information

Conveyancing Thematic Study Summary Report

Conveyancing Thematic Study Summary Report Conveyancing Thematic Study Summary Report March 2013 Contents Introduction... 3 Why select Conveyancing as a theme... 3 Focus of study... 4 Our approach... 4 The Supervision function... 4 Supervision

More information

GUIDE TO BUSINESS FINANCE & BUSINESS FUNDING

GUIDE TO BUSINESS FINANCE & BUSINESS FUNDING GUIDE TO BUSINESS FINANCE & BUSINESS FUNDING M3 Corporate Finance M3 Corporate Finance is an independent corporate finance house focused exclusively on mid-market transactions. M3 offers specialist corporate

More information

REVIEW OF REFERRAL FEES. November 2006

REVIEW OF REFERRAL FEES. November 2006 The Hampshire Incorporated Law Society REVIEW OF REFERRAL FEES November 2006 Registered Office: da Vinci House, Basing View, Basingstoke RG21 4EQ Company Limited by Guarantee Registered in England No.55167

More information

THE FUTURE STRATEGIES FOR YOUR LAW FIRM

THE FUTURE STRATEGIES FOR YOUR LAW FIRM THE FUTURE STRATEGIES FOR YOUR LAW FIRM Practice Management The Legal Services Board ( LSB ) has opened the current market of legal practice to other regulated professions including Accountants, Surveyors,

More information

increased demand for banks to help companies structure their finances. 2016 EXPECTATIONS

increased demand for banks to help companies structure their finances. 2016 EXPECTATIONS Thailand IT WAS A TRANSITIONAL YEAR FOR THAILAND IN 2015 AS COMPANIES FOCUSED ON DRIVING DOWN COSTS DUE TO THE GENERAL SLOWDOWN ACROSS SOUTH- EAST ASIA, HOWEVER RECRUITMENT WILL REMAIN BUOYANT IN 2016.

More information

BIBA Report on the Importance of Advice in the Small to Medium Enterprise Market

BIBA Report on the Importance of Advice in the Small to Medium Enterprise Market BIBA Report on the Importance of Advice in the Small to Medium Enterprise Market The best insurance is a BIBA broker www.biba.org.uk Member helpline: 0845 77 00 266 The FSA define advice as an opinion

More information

How credit analysts view and use the financial statements

How credit analysts view and use the financial statements How credit analysts view and use the financial statements Introduction Traditionally it is viewed that equity investment is high risk and bond investment low risk. Bondholders look at companies for creditworthiness,

More information

TRADING DISCIPLINE MODULE 6 MODULE 6 INTRODUCTION PROGRAMME TRADING DISCIPLINE

TRADING DISCIPLINE MODULE 6 MODULE 6 INTRODUCTION PROGRAMME TRADING DISCIPLINE INTRODUCTION PROGRAMME MODULE 6 TRADING DISCIPLINE The final module in our introduction programme discusses the importance of discipline as a trading tool and covers a number of ways to maintain trading

More information

Solicitors Professional Liability Proposal 2013-14

Solicitors Professional Liability Proposal 2013-14 Solicitors Professional Liability Proposal 2013-14 Proposer Details Practice Title(s) (including service companies) Principal Address line one Principal Address line two City and postcode Telephone number

More information

SOLICITORS QUALITY SPECIALIST BANKING FOR THE LEGAL SECTOR

SOLICITORS QUALITY SPECIALIST BANKING FOR THE LEGAL SECTOR SOLICITORS QUALITY SPECIALIST BANKING FOR THE LEGAL SECTOR Contents Choosing Lloyds Bank 1 Our switching service 2 Ways to bank 5 Simplifying payments and receipts 7 Business cards 10 Client money accounts

More information

THE NEW INTERNATIONALS. Updating perceptions of SMEs in an increasingly globalised world

THE NEW INTERNATIONALS. Updating perceptions of SMEs in an increasingly globalised world THE NEW INTERNATIONALS Updating perceptions of SMEs in an increasingly globalised world Contents Introduction 5 Born Global 6 International Futures 7 Supporting UK SMEs 8 UK Regions 9 Conclusion 10 About

More information

Creating and Maintaining a Professional Practice

Creating and Maintaining a Professional Practice Creating and Maintaining a Professional Practice Provided by The AIA Trust in coordination with Victor O. Schinnerer & Company, Inc. Starting your own firm is a challenge; structuring it to survive is

More information

How Do Health Exchanges Fit With Your Health and Welfare Benefits Strategy? by Randall K. Abbott

How Do Health Exchanges Fit With Your Health and Welfare Benefits Strategy? by Randall K. Abbott How Do Health Exchanges Fit With Your Health and Welfare Benefits Strategy? by Randall K. Abbott Public and private health exchanges have created new opportunities and new decisions for employers as they

More information

For personal use only

For personal use only Attention ASX Company Announcements Platform Lodgement of Open Briefing ASX ANNOUNCEMENT: 8 February 2012 CEO and CFO on Half Year Results and Outlook Open Briefing with and CFO Martin Brooke Talent2 International

More information

CommBank Accounting Market Pulse. Conducted by Beaton Research + Consulting November 2014

CommBank Accounting Market Pulse. Conducted by Beaton Research + Consulting November 2014 CommBank Accounting Market Pulse. Conducted by Beaton Research + Consulting November 2014 Contents Increasing confidence underpinned by strong economic outlook 2 Australian economic outlook 3 November

More information

Why Virtual Bookkeeping Will Save your Small Business

Why Virtual Bookkeeping Will Save your Small Business Why Virtual Bookkeeping Will Save your Small Business Virtual bookkeeping services are scary. They will not work. It s a common misconception of those who have not tried yet the various online accounting

More information

Introduction 3. Understanding the Measurement of Processing Costs 4. Cost per Trade Benchmarking Methodology 6

Introduction 3. Understanding the Measurement of Processing Costs 4. Cost per Trade Benchmarking Methodology 6 Table of Contents Introduction 3 Understanding the Measurement of Processing Costs 4 Cost per Trade Benchmarking Methodology 6 Cost per Trade Benchmarking Cash Products 7 Cost per Trade Benchmarking OTC

More information

Finance for Business Growth

Finance for Business Growth Finance for Business Growth A Presentation by Clive Lewis, Head of Enterprise, Institute of Chartered Accountants in England & Wales (ICAEW) Finance for Growth Businesses Presentation will cover: Do you

More information

The Office of Public Services Reform The Drivers of Satisfaction with Public Services

The Office of Public Services Reform The Drivers of Satisfaction with Public Services The Office of Public Services Reform The Drivers of Satisfaction with Public Services Research Study Conducted for the Office of Public Services Reform April - May 2004 Contents Introduction 1 Executive

More information

ABS s The Future for Law Firm Investment? (A) investment in law firms by non-lawyers, from individuals to large corporates; and

ABS s The Future for Law Firm Investment? (A) investment in law firms by non-lawyers, from individuals to large corporates; and slaughter and may BRIEFING august 2012 Jeff Triggs 1. Introduction 1.1 What is an ABS? ABS stands for the rather unexciting term Alternative Business Structure. It is a creature of the Legal Services Act

More information

Power your small business with cloud and mobile

Power your small business with cloud and mobile Power your small business with cloud and mobile Want your team to get more done without working more hours and spending a lot more money? Cloud and mobile technologies can help everyone work better, on

More information

TACKLING YOUTH UNEMPLOYMENT THROUGH ENTERPRISE

TACKLING YOUTH UNEMPLOYMENT THROUGH ENTERPRISE TACKLING YOUTH UNEMPLOYMENT THROUGH ENTERPRISE In partnership with: A report by The Prince s Trust and The Royal Bank of Scotland Group FOREWORD We have been helping disadvantaged young people to set up

More information

Legal Practice Management Conference 2014 Legal Support Network / The Royal College of Surgeons

Legal Practice Management Conference 2014 Legal Support Network / The Royal College of Surgeons Legal Practice Management Conference 2014 Legal Support Network / The Royal College of Surgeons clear practical advice Richard Palmer 19 May 2014 Re-examining your approach to procuring PII for your firm

More information

Your Options. A simple guide to available debt options

Your Options. A simple guide to available debt options Your Options A simple guide to available debt options Contents Welcome 3 Our Customer Service Charter 3 Protected Trust Deeds 4 Debt Arrangement Scheme 6 Sequestration 8 Debt Management Plan 10 Minimal

More information

Buying and Setting up a Business with a Post Office A Guide

Buying and Setting up a Business with a Post Office A Guide Buying and Setting up a Business with a Post Office A Guide NOTE: The information in this document is not intended as an exhaustive list of all the information you require in order to set up a business

More information

A target cost is arrived at by identifying the market price of a product and then subtracting a desired profit margin from it.

A target cost is arrived at by identifying the market price of a product and then subtracting a desired profit margin from it. Answers Fundamentals Level Skills Module, Paper F5 Performance Management June 2015 Answers Section A 1 C Divisional profit before depreciation = $2 7m x 15% = $405,000 per annum. Less depreciation = $2

More information

REPORT FOR RESOLUTION. SUBJECT: Treasury Management Annual Report 2009-10

REPORT FOR RESOLUTION. SUBJECT: Treasury Management Annual Report 2009-10 REPORT FOR RESOLUTION COMMITTEE: Council DATE: 14th July 2010 SUBJECT: Treasury Management Annual Report 2009-10 REPORT OF: City Treasurer PURPOSE OF REPORT: To report the Treasury Management activities

More information

WHAT THE RESEARCH TOLD US...

WHAT THE RESEARCH TOLD US... 1 INTRODUCTION In late 2014, we commissioned PFA Research to undertake independent research into the senior level job market, to gain a clear insight into how today s market works from a candidate and

More information

Leasing Points. The Benefits of Leasing Over Buying

Leasing Points. The Benefits of Leasing Over Buying Leasing Points The National Association of Equipment Leasing Brokers The Benefits of Leasing Over Buying To lease or to buy, that is the question faced by businesses across the country. Here are a few

More information