After the collapse of the property sector and related incomes, he reported that small increases in conveyancing revenue this year indicated that the worst of the crisis was behind us and that recovery was on the way.
However property and banking incomes remain down by between 70% and 90% since 2005 but there remains significant growth in probate, litigation and insolvency work. With revenues starting to pick up it’s time for practices to take another look at driving growth to stay competitive.
While organic growth is possible, many firms are choosing to merge. Mergers and acquisitions will make sense for many practices, with larger firms purchasing specialised firms while the smaller firms benefit from increased security and direct access to a larger pool of existing customers. Mergers offer various economies of scale and help to create a larger competitive footprint.
Growth presents the challenge of keeping a lid on overhead. Cost-effective technologies can streamline office tasks and sharing overhead (like office space) is also an option, especially for individual practitioners.