Market monitor

The financial performance of smaller law firms has improved over last year, with both fee income and profits up significantly above inflation, according to an annual benchmarking survey published this week. Very little increase in salary costs, improved lock-up, and reductions in both WIP and debtor days contributed to the positive picture.

A novel online family law service that uses experienced lawyers to mentor and manage clients through the legal process has gone live. Family Law Café is the brainchild of Joanna Toch, a barrister at Church Court Chambers in London, and she has secured financial backing from private individuals, including corporate lawyers.

The QualitySolicitors network is to enter a three-month trial to supply legal services to retail chain Nisa, as it pushes to exploit its national network. Nisa is the UK’s leading member-owned organisation, providing benefits to 1,300 independent food and drink markets.

One of the country’s largest personal injury practices has highlighted the benefits of being an alternative business structure owned by a large business after the write-off of a multi-million pound inter-company loan, and an £11m cash injection, helped it turn a huge loss into a profit in its last financial year.

A local authority in Surrey is eyeing up an alternative business structure so it can “commercialise” its legal services in the wake of a partnership with another council coming to an end. Our latest ABS round-up also includes a virtual firm looking for investment to expand, a major deal for a leading probate ABS and a heavyweight appointment.

An innovative Cardiff law firm has secured an alternative business structure (ABS) licence as it looks to private equity to expand what it offers the mergers and acquisitions market beyond legal services, with its corporate financier chairman also becoming a shareholder.

The country’s biggest conveyancing business, My Home Move, has consolidated its position by acquiring Advantage Property Lawyers, the sixth biggest conveyancer and a significant player in the north-east of England in particular. My Home Move will soon be pass the 100,000 completions a year mark as a result.

A second alternative business structure license handed to a FTSE-250 wealth management company has highlighted a law firm acquisition three years ago that went virtually unnoticed. It was given to Rathbone Trust Legal Services, part of Rathbone Brothers plc, a City institution with origins dating to 1742.

Co-operative Legal Services recorded a 22% jump in turnover in 2016 and tripled its profit as it continues to recover from the difficulties it experienced in previous years. The legal services operation is also to be brought together with the Co-op’s funerals business to create a Life Planning division.

A Bar Standards Board-regulated entity has acquired more than 800 clients in less than 18 months, which it claims makes it the largest in the country, by capitalising on barristers’ relatively new right to conduct litigation. It also said that having the involvement of barristers from the start of a case speeds them up.