Professional Services

Professional Services

The legal services profession operating in the mid-tier market is currently in the midst of a perfect storm. Whilst the majority of UK business appeared to have weathered the post-recession storm with insolvencies down year-on-year (3,617 companies entered insolvency in Q2 2016 which was 4.2% lower than Q1 in 2016, and 2.7% lower than Q2 in 2015), the legal sector is facing increasing challenges, which will increase consolidation in the legal sector.

Challenges include:

  • Increased costs of Professional Indemnity Insurance (PII)
  • Jackson Reforms
  • Criminal Legal Aid
  • The recent introduction of the ABS which has led to increased competition
  • Lack of robust financial management

More insight in the particular challenges being experienced by law firms currently, as well as our credentials can be found here : Legal Sector Credentials Quantuma

Assignments in the last 2 years have included:

  • Breakups,
  • Going concern sales,
  • Re-banking arrangements; and
  • General advisory

No other team in the UK has had more exposure to the distressed legal market than Quantuma, which now acts for a range of clearing Banks in respect of distressed legal practices as well as acting for second tier lenders, insurers and creditors specific to the legal sector. Quantuma were recently appointed Joint Administrators of KWM EUME LLP – the largest ever law firm collapse in Europe.

Relationships matter

The SRA:

Quantuma has developed a strong relationship with the SRA as a result of its numerous instructions. The relationship and the SRA’s confidence in Quantuma has been developed as a result of progressing a model of extensive communications and reporting updates which are provided to the SRA both pre and post appointment. This has meant that the SRA has never intervened on a matter under the control of Quantuma.

Other professionals:

Quantuma hold excellent relationships with every major professional adviser in the distressed law firm sector. You can therefore be sure that when you work with Quantuma you work the only the most experienced of advisers to the legal sector.