Licensed Body Authorisation | Alternative Business Structure (ABS) Guidance

What is Licensed Body Authorisation?

A Licensed Body, also known as an Alternative Business Structure (ABS), is a law firm that allows non-lawyers to have ownership or management roles while providing regulated legal services. To operate as an ABS, firms must obtain Licensed Body Authorisation from the Solicitors Regulation Authority (SRA).

Is an ABS Right for Your Firm?

An ABS structure can offer law firms greater flexibility, access to external investment, and the ability to diversify their services. However, obtaining SRA approval requires careful planning and adherence to strict compliance measures.

How MAR Legal Can Assist with ABS Authorisation

We guide law firms and businesses through the Licensed Body Authorisation process, offering:

Application Support – Helping firms prepare and submit ABS applications to the SRA.
Regulatory Compliance Planning – Ensuring firms meet SRA compliance and risk management requirements.
Business Structure Advice – Assisting firms in structuring their ABS to maximise efficiency and investment potential.
COLP & COFA Guidance – Supporting Compliance Officers in fulfilling their regulatory duties.
Ongoing Compliance Management – Providing continued support to maintain SRA compliance after authorisation.

Key Considerations for Licensed Body Authorisation

Ownership & Management

How non-lawyer stakeholders will be involved in your firm’s operations.

SRA Suitability Test

Ensuring key personnel meet SRA “fit and proper” criteria.

Financial & Risk Management

Developing policies to comply with SRA financial and risk management requirements.

Client Protection Measures

Implementing systems to safeguard client interests and maintain ethical standards.

Further Information on SRA Compliance

SRA Compliance New Firm Authorisation The SRA Transparency Rules

Get Expert Guidance on ABS Licensing

Becoming an ABS can be a strategic move for law firms, but the authorisation process can be complex. MAR Legal offers tailored guidance to ensure a smooth transition to ABS status while meeting all SRA regulatory obligations.

Contact us today to learn how we can support your firm in obtaining Licensed Body Authorisation and maintaining regulatory compliance.