Prudent firms rush for LLP status

Law firms were quick off the blocks to register as limited liability partnerships (LLPs) following implementation of the legislation at the end of last week, even if accountants beat them to the line.Registration agents Jordans claimed that 18 firms registered their names at Companies House on day one of the new business vehicle, of which three were law firms.Leeds practice Shulmans was the first law firm to register (in ninth place overall), followed by Derby-based Robinsons, and Wimbledon firm Batt Holden.Big Five accountants Ernst & Young registered first, ahead of three other accountancy firms.

However, fear of being beaten to the registry by other firms, and therefore losing their trading names, seems to have motivated law firms as much as the immediate desire to trade as LLPs.Jeremy Shulman, managing partner of 12-partner Shulmans, said: Weve secured an LLP at Companies House to prevent anyone else doing it in our name.He added that the firm would continue trading as a partnership, though it was considering the change to LLP status.

He said: There are obvious advantages to trading with limited liability.Neil Barnes, managing partner of Robinsons, said the firm did not intend to make the transition to LLP yet.

This is a precautionary, prudent step, he said.

There are three other law firms named Robinsons inEngland and Wales.Christopher Wilson, senior partner of three-partner firm Batt Holden which specialises in commercial property and immigration work said that although the firm was looking at LLPs with a view to trading as one, this is not something for the next two weeks, or even for the next two months.Most of the 18 registrations were made by non-professional trading companies including training providers and marketing businesses.Jeremy Fleming