A momentous day for the legal profession!
Banks and supermarkets sell consumer legal services in England and Wales. The government says the Legal Services Act will offer more choice and better value to the public. But how do YOU really feel about this? Are you ready to see your craft turn into one of the most deregulated legal service markets in the world?
The reforms will undoubtedly and eventually result in forceful competition. Add to this the waning of customary channels of work i.e. legal aid and conveyancing, the struggle with cash flow as a result of a decline in turnover, reduced access to short-term finance, dealing with compliance matters and ever increasing hikes in Professional Indemnity Insurance Premiums and now ask yourself how the future looks? All too often, we hear that ownership and management of a law firm is just too much to bear. It is an overwhelming scenario and there’s no room for complacency.
Small practices are the worst affected.
If it’s too much to bare, we have a solution – you can sell your practice.
“It is vital to begin planning an exit at an early stage if it is to be a success”
The Institute of Chartered Accountants.
It is vital to begin planning an exit at an early stage if it is to be a success.
“Not getting the right price for your business when the time comes to sell is the biggest risk that owners face”
- Your law firm is worth more than the furniture, fixtures, equipment, and library
- You, your client files and goodwill have value
- However large or small your law practice, you can receive a premium for your practice.
- Not getting the right price for your business when the time comes to sell is the biggest risk that owners face
Law Mergers & Acquisitions will turn years of slog into real money.
With our commitment and expertise as your allies, you are assured the entire process of selling or buying a law practice will run smoothly and will yield the best results.
Law Mergers & Acquisitions offer a unique service. We will ensure when the time comes to sell your law practice, we:
- Assure you of a candid assessment
- Maximise the value of your business
- Streamline the selling process
- Relieve stress and minimise the strain
- Deal with your assignment in a professional and confidential manner.
We start by arranging a meeting during or outside office hours for a full, frank and open discussion. This will be at the clients’ premises.
You will be provided with a valuation of your practice. In order to arrive at our valuation, we refer to a host of items to include – financial data, market trends, age of practice, work type and other significant factors.
We will prepare a comprehensive Profile on your practice which will appeal to potential purchasers. We assist with negotiations ensuring you obtain the best deal possible.
It goes without saying that any enquiry or dealing with Law Mergers & Acquisitions is conducted in the strictest confidence.
Your enquiry will be handled discretely and professionally at all times. We are always on your side! We never challenge your ability as a solicitor and by the same token we are not averse to answer questions on how we arrive at our recommendations.
Why sell your law practice?
The most powerful motivators for seeking a practice sale are:
- A desire or need for a change in direction
- You may be an entrepreneur who has decided to sell your business at its peak
- You may be in financial difficulties or subject to possible SRA intervention
- In the event of a lawyer’s death or disability, the lawyer’s family can benefit from the sale of the law practice.
We acknowledge selling your law practice may be a traumatic experience. We will guide you through the complex field of potential pitfalls.
It is paramount to secure the best deal possible and the most profitable exit strategy.
How can I find a buyer for my practice?
There are three main ways to sell your law practice:
- First, you can approach a local firm
- Second, place an advertisement in the legal press
- Third, instruct Law Mergers & Acquisitions.
1. Approaching a local firm
If you are aware of interest from another practice, a direct approach is one way of disposal. This method is not without its drawbacks:
- You may not achieve a clean break
- You may not receive a fair value for your practice
- Promoting your own practice often results in word often getting out in the locality. Consequently, if Completion falls through, the practice name can become tarnished, “They’ve been trying to sell for ages….??? Staff become anxious and may leave.
An advertisement in the press may result in response. Some will be genuine. Some will not. Much of the response will be from those who wish to see your accounts and other sensitive information relating to your practice. We call these enquirers “armchair buyers??? i.e. they have no serious intentions of acquiring a law practice. Loss of confidentiality.
Confidentiality is difficult to maintain. All too often potential purchasers do not respect the necessity for confidentiality; they will often effect calls to your offices, speak to staff or even turn up unannounced. Some of these anomalies are deliberate. As with the direct approach, if a sale ultimately fails to materialise, your practice will acquire a blemished image.
3. Instruct Law Mergers & Acquisitions
Selling a practice is time consuming and arduous. The nature of our business is selling law practices all day, every day. We soon learn to identify the time wasters. As market leaders in this field, we know how to overcome pitfalls. In the long run, we save you time, money and provide you with peace of mind.
Our role in a sale of a law practice is pivotal. We oversee every step – synchronizing and orchestrating the various parties and ensuring that a sale ensues expeditiously, with the stress removed whilst maintaining confidentiality.