Blackhurst Budd Solicitors has become an alternative business structure (ABS) to enable greater flexibility on ownership of the company as it looks to the future.
Historically law firms could only be owned and invested in by qualified Solicitors and external investment was not possible. In 2012 new rules came into effect, which enabled ‘Alternative Business Structures’ to be formed and these permitted investment by non-lawyers.
As of May 2020 there were 875 Alternative Business Structures in England and Wales and 10,300 law firms.
Warren Spencer, Managing Director commented:
“Converting to an Alternative Business Structure gives us an advantage when looking at future investment in the company. Previous rules meant that highly qualified members of staff such as Chartered Legal Executives or Licensed Conveyancers could never become shareholders.
The company will now have access to a larger pool of investment from external sources and the potential to offer a wider range of client services.”
The company now has five Directors including one non-lawyer.
