October is a time for setting budgets for many law firms to ensure that they are equipped for the opportunities and challenges the next year will inevitably bring.
Compliance requirements are an increasing burden for law firms, and with a tidal change in the last 12 months from the threat of cybercrime, many legal practices are looking externally for additional help and support.
So with that increased burden comes increased costs – right? Not necessarily.
A Midlands law firm tracked the hours Legal Eye worked for one month and compared the results to the time taken by their internal resource. They found that the partner (COLP) responsible for managing compliance tasks, was losing a staggering £6,195 a month in fee income due to the time investment required in managing regulatory requirements of the firm. Instructing Legal Eye achieved an immediate saving for the firm, as well as streamlining their compliance procedures, without any disruption to the business.
So what are you budgeting for next year? The same areas as previous years? Or are you investing for the future?
Quality standards such as CQS are crucial to solicitors conducting conveyancing. They demonstrate to customers your commitment to quality, and from a business perspective, you cannot afford to lose them.
For conveyancing firms, one way of “recession proofing” your business is to build up the wills and probate department. With the advent of Purple Bricks and other online estate agents, the traditional 25% of conveyancing coming from local estate agents is a threat to the high street law firm, as much as it is to their agents. Probate sales are always well received by local estate agents and are a form of reciprocation which law firms can offer to their local introducers. Whilst WIQS hasn’t had the impact of CQS, and is unlikely to do so, it can be used to demonstrate to potential clients that you are offering a quality standard above that of other local firms.
Recently, law firms have started to experience a new competitor in the form of accountants. The ICAEW has now licensed over 250 accountants to conduct probate work, and predict many more to come. Law firms need to compete against this new threat to business.
So our message is, if you haven’t recently reviewed your compliance requirements, consider that now is the time to do so.
Legal Eye provide a spectrum of support services to all law firms, from gap analysis to identify where you are now, to fully outsourced compliance support. For a free, no obligation document compliance check, call Rhonda on 07702 074461 or email rh@legal-eye.co.uk
This article was submitted to be published by Legal Eye as part of their advertising agreement with Today’s Conveyancer. The views expressed in this article are those of the submitter and not those of Today’s Conveyancer.
