Closing your Practice: An Interview with Kelly Shaw, former principal at Shaw & Co Solicitors

Can you share a little bit about your journey to starting your own practice and what you valued about being a principal?

My journey to starting my own practice was a combination of opportunity and a desire for independence. After working as an associate for a number of years, I felt that I had the experience to go out on my own. Starting from the beginning without an existing client base was difficult but I am lucky that word of mouth and referrals quickly built a client base.

I valued the autonomy of being a principal – the ability to set my own hours, shape the firm’s culture, and make decisions that I felt were in the best interest of my clients. It was a chance to build something from the ground up and see my vision for a firm come to life.

What brought you to the decision to cease acting as a sole trader and join another firm? Was there a particular turning-point?

The decision to close my practice was not an easy one, and it didn’t happen overnight. It was more of a gradual realisation that my priorities were shifting. I wanted more flexibility in my life, and it felt that it was the right time to explore a new chapter. There wasn’t one single turning-point but a series of smaller movements that made me consider what I wanted in the future. It was about recognising that it was time for a change. With so many regulatory and technological changes happening it also seemed like a good time to step away from being a sole practitioner. It is very difficult to manage those things without the infrastructure and support of a larger practice.

Even at the point of realising I wanted a change I wasn’t sure that I was making the right decision but that came from finding a position that was the right fit for me. I had various interested parties, and I spoke with a number of people about options in moving forward after I closed my practice. However, from the first time I met with the directors at MKB Law I knew that this was an opportunity that I was genuinely interested in, and it offered me the change I wanted with the support of a larger practice. It was the chance to specialise in Matrimonial Law as Head of its Matrimonial Department and to have my existing clients from other practice areas looked after by colleagues within the firm. The firm was interested in retaining the relationships I had built with clients over the years and that was important to me.

How long did the process of closing your practice take?

The entire process from the initial decision to close to the final closing took approximately four months. However, that was just the closing of the physical doors of the office - the accountant’s final report for the Law Society of Northern Ireland and final taxation of cases for legal aid, as well as recovery of fees, is still ongoing. I think the advice I would give to anyone considering the process is to be patient and be prepared for things to take longer than you initially anticipate.

What were the biggest obstacles or issues you encountered during the process?

The biggest obstacles were definitely in the details. Preparation of all of the files, financial records and administrative paperwork was a huge undertaking. With the best preparation in the world, you are ultimately reliant on third party companies and providers as regards the closure or transfer of accounts and you are reliant on clients replying to you. It was definitely a challenge clearing the client account funds to enable the closure of the office. Not all clients responded promptly with consent to transfer their files or with bank details to enable the return of monies held on account. The office could not close until the client account was clear and therefore this was probably the most difficult part of the process as I could not control the timing.

What support did you have in the process?

I was very lucky to have great support throughout the process. My bookkeeper’s and my accountant’s advice and support were invaluable. The Law Society of Northern Ireland was very helpful in answering queries as they arose and I was also in the very lucky position to have support from my new firm MKB Law throughout the process. MKB had experience of joining with other sole practitioners’ firms previously and had a wealth of advice and moral support which was of great assistance. They also assisted in the archiving, destruction and transfer of files. I cannot imagine having to have dealt with the process without the support of a firm with that technology and infrastructure behind them.

How did you manage the relationship with clients and/or colleagues throughout? Was there any particularly challenging?

I found the most difficult part of managing relationships to be the timing of the announcement to clients and colleagues. I wanted to give clients plenty of notice about the upcoming changes, but I also didn’t want to cause unnecessary stress for existing clients. I obviously wanted to retain a relationship with clients and for them to want to transfer their files with me to MKB Law, in Belfast. It was a very delicate balance to strike.

Is there anything that in hindsight you would have done differently?

In hindsight I would have had an exit plan before I ever intended to use it. I would have started the process of organising my records even earlier. I would also have spent more time networking with other principals who had closed their practices. There is very little information readily available on the process, and I think I could have benefited from some peer-to-peer advice before I began the process. The difficulty is you do not want to spread the word that you are considering closing until you have made the final decision to do it.

You advertised your practice anonymously through the Law Society of Northern Ireland website and weekly E-nformer email. Is there anything you can share about advertising it this way and the interest that it generated?

I can recommend advertising anonymously through the Society’s website. It allowed me to gauge interest and options without alerting clients prematurely. This method helped me control the flow of information and maintain confidentiality. However, I ultimately made the decision to join MKB Law, which was searching for a new Head of its Matrimonial Department.

This has been a big transition in your legal career. How do you feel about the next chapter?

I am feeling very positive about the next chapter of my career, it is exciting to say the least. The opportunity to work in a boutique commercial practice while focusing solely on family and matrimonial matters was attractive. It was quickly apparent to me that MKB is made up of a strong group of lawyers and support staff who work collaboratively and collectively to service the needs of their clients. The collaborative and holistic approach really stood out for me during our discussions. It is definitely a different working environment for me. Going from a sole trader to being a part of a wider commercial team is something that I was considering for some time. I am passionate about family and matrimonial law and representing my clients remains the main motivator in my professional life.

Family law is evolving, however, and the changing commercial realities of running certain types of cases are at the forefront of your mind when taking on new instructions. It was important to me to balance the desire to provide representation to my clients with the commercial pressures that we all feel in the profession. With a strong commercial and private client background, MKB really was the perfect fit for me.

What advice would you give someone who is considering closing their practice?

My advice would be to start preparing well in advance. Get your financial house in order, organise your files, don’t hesitate to reach out to the Society with any queries you have, and talk to a professional you trust who has been through the process. Don’t underestimate how stressful the process will be and give yourself time to work through everything that will be required. Lastly be patient – the right opportunity will come along, and you will know it when it does.

If you are considering closing your practice, please remember there are certain regulatory steps you must take, including notifying the Society, returning client monies, and arranging a final Accountant’s Report. For guidance or support, contact the Society at records@lawsoc-ni.org

Kelly Shaw, Head of the Matrimonial Department at MKB Law