Legal News
Legal firms told to innovate in face of ABS threat
31/10/2011
Solicitors have been told that innovation and teamwork are the only ways to combat the launch of alternative business structures (ABS).
Law firms looking to fend off threats from high street brands looking for a slice of the billion pound pie should collaborate and be creative, the Legal Futures conference was told.
Among the solutions floated at the conference included joint ventures, referral networks and share offerings.
Ajaz Ahmed, co-founder of Legal365.com said that maintaining the status quo was not an option ahead of the ABS launch.
He said: “Companies from outside of the law will be able to deliver legal services that many can’t even imagine.
“Law has been a protected industry for too long. It is a market worth billions of pounds and companies want a slice of it.”
He added that unless law firms genuinely “disrupt and innovate” they will fail, despite everyone thinking their business model is successful.
“You have to start with customer service and work back,” he said.
Among the innovators at the conference included the head of Everyman Legal, James Hunt, whose firm will be the first in the country to offer shares through Sharemark next year, and Jennie Pratt from Ashton KCJ, a legal practice that has formed a unique joint venture (JV) with an accountancy firm.
“Ashton KCJ Financial Planning was ABS-light,” Ms Pratt said about her firm’s JV with accountancy firm Price Bailey.
“We set up four years ago and the two sides provide different qualities for clients as well as providing a solid platform for both our firms. Should every legal firm explore the idea of a JV? Yes, I think so and those firms that say ‘not now’ should not forget the idea.”
