Conversion of law firms to become Limited Liability Partnerships ('LLPs')

We have vast experience of amending the structure of law firms, and LLP conversions in particular, which are becoming popular again as the tax advantages of limited companies are not as great as they once were. LLPs are also more suitable to larger law firms.

The conversion process includes:

Initial face to face assessment meeting to consider the implications and benefits of conversion. Assistance with decision to convert.
Attendance at planning meeting to provide our 12 page conversion checklist that details every task that needs to be undertaken; to allocate those tasks to specific people at the law firm or at Armstrong Watson; and to set deadlines for those tasks to be completed.
Provision of a soft copy of the checklist, updated by Armstrong Watson on a monthly basis with accompanying notes of tasks that are required to be completed in the following month.
The following are usually carried out, but are subject to the allocation of tasks in the planning meeting.
Provision of the SRA application forms for the company to become a recognised body, with suggestions on how to complete the forms.
Creation of the LLP.
Review of the SRA forms prior to submission to the SRA.
Preparation, or review, of integrated financial forecasts and business plan prior to submission to the SRA.

Contact our Legal Sector Partner, Andy Poole, on 07828 857830 or andy.poole@armstrongwatson.co.uk to discuss how we can help you.

What is it?

A managed service to convert law firms to LLPs

Who is it for?

Sole practitioners or partnerships of all sizes in all locations.

What are the benefits for your firm?

You will reduce your exposure to risk
You will retain business flexibility
You will be compliant
You will future proof your business and ease succession

What do I have to do?

Attend two hour assessment meeting, two hour planning meeting. Provide regular updates to Partners. Action points from the planning meeting.

What are the deliverables?

Conversion of your law firm to a Limited Liability Partnership (see the detailed process above).

What is the cost?

£1,755 plus VAT and disbursements for the initial assessment meeting. £2,050 plus VAT and disbursements for the planning meeting and provision of the conversion checklist. The above are the fixed fee payable in advance cost options. Additional fees to be agreed in advance following the planning meeting. All services will be provided remotely via video conferencing, however, options are available for face to face if required.

How long will it take?

Six months.

Our experience

Armstrong Watson has experience of converting and setting up a number of law firms as LLPs in the past few years.

What our clients say

We engaged with Armstrong Watson in 2019 to assist with our conversion from a traditional partnership to an LLP. We’re based in Buckinghamshire and the Armstrong Watson Legal Sector team that were assisting us with the LLP conversion are based in the far North of England, but this did not affect the support we received with all meetings being carried out over teleconference (way back in mid-2019). As part of the LLP conversion, we also engaged with AW’s Legal Sector team for our SRA Accounts Rules work. Although the intention was always to carry this out remotely, given recent circumstances, there would have been no choice in any case! The process was simple and easy with very little disruption. The AW team let us know in advance what we were required to deliver for them to undertake their work and when, and they facilitated this through the use of a share file. Requests for additional evidence and information were done via email allowing us to collate what they required at times convenient to us rather than disrupting the working day, and the final meeting to discuss their findings was held again via teleconference. Finally given that this work was being undertaken in March 2020 mid-pandemic there was no interruption to the service provided.

Paul Gardener, Partner, JGA Legal LLP (trading as J Garrard & Allen)