What is an Alternative Business Structure (ABS)?

An alternative business structure is a firm that has non-lawyers in its ownership and management structure. This allows firms to involve key people who bring additional experience and skills. The non-lawyer can be involved through investment or as a partner or director.

An ABS arrangement can work where:

• an established lawyer-owned firm wants to take on a non-lawyer partner
• an established law firm wants its non-lawyer practice manager to become a co-owner
• a lawyer wants to set up a law firm with a non-lawyer partner/owner
• a non-legal business sees legal services as complementary and sets up a standalone business

CILEx Regulation welcomes applications from prospective firms whose:

• legal services are connected to the firm’s core business
• legal services are ringfenced in a separate company
• head of legal practice is a manager or owner

CILEx Regulation also welcomes applications from existing ABS firms seeking to switch regulator, click here.

If your question is not answered, contact us via our dedicated customer service enquiry form.