Alternative business structures

The end of the first alternative business structure failure moved a step closer today after In-Deed Online plc announced plans for a reverse takeover by an e-learning company. AIM-listed In-Deed was the first listed company to buy a law firm.

Leading insurer Markel is to enter the legal market after today announcing a deal to buy the owner of alternative business structure Lewis Hymanson Small. The Solicitors Regulation Authority has given approval for the change of control.

An eviction business that was originally set up as an alternative to solicitors has now become an alternative business structure (ABS) regulated by the Solicitors Regulation Authority to help it stand out against unregulated competition.

A personal injury practice with offices in the north-west and midlands has become an alternative business structure (ABS) so that a top businessman can take a stake in the firm.

A law firm spin-off which helps insolvency practitioners to process financial mis-selling claims against financial institutions, has been granted an alternative business structure (ABS) licence.

A Manchester law firm has launched a joint venture alternative business structure (ABS) with one of its major insurer clients. Meanwhile, the transitional exemption from ABS licensing currently afforded to not-for-profit organisations has been extended indefinitely.

Brilliant Law, the alternative business structure that was set up with investment from BetFair founder Bert Black, has just received a further seven-figure cash injection. One of the new investors, lawyer turned investment banker Jag Mundi, has also joined as a non-executive director.

The trust that solicitors engender among their clients should be leveraged, with other services operating under legal professionals’ banner within alternative business structures, according to the head of one of the newest ABSs.

The chairman of the Legal Services Board has criticised the “continuing spats” between the Law Society and Solicitors Regulation Authority. David Edmonds also praised the improvements made by the SRA to the process for licensing alternative business structures.

An alternative business structure with access to clients with assets of more than £13bn has been launched by the Country Gentlemen’s Association, whose members who are mainly landowners, farmers, and retired military personnel.

The country’s first alternative business structure and largest conveyancing business revealed strong annual results yesterday. Premier Property Lawyers – which became an ABS on 6 October 2011 – is part of My Home Move, which also has a panel management operation.

Capita, the outsourcing giant that yesterday announced plans to buy a law firm, remains on the acquisition trail and is also looking for a top-20 law firm to partner with, Legal Futures can report.

Outsourcing giant Capita plc has reached a conditional agreement to acquire Optima Legal Services pending the grant of an alternative business structure licence.

New business structures are more productive and innovative than traditional law firms, Legal Services Board research has found. It also said that alternative business structures are “starting to have an impact” on some parts of the market and collectively have a 5% market share.

The Solicitors Regulation Authority has rejected potential alternative business structures on the basis that the aim was really to continue illegal referral fee arrangements, it emerged this week.