WILKINS KENNEDY has converted its partnership to a limited liability partnership from today.
The 21st largest accountancy firm adopted the new legal structure because it wants to make it easier to attract high calibre staff and partners as it continues its expansion plans.
It is argued that the traditional partnership structures leaves partners open to unlimited liability for any losses or legal claims for damaged from disgruntled clients.
In theory, partners could lose all their assets, including their home, any shares and car, in the event of an “Armageddon” legal claim from a client or a big loss – because of this the cost of personal indemnity insurance is higher than an LLP partner.
David Fenn, (pictured) managing partner Wilkins Kennedy, said: “An LLP is a more modern and transparent structure that is attractive to those new partners and teams that we take on to help our clients deal with the issues that their organisations face.
“We are a very financially strong and stable firm and part of the attraction of the LLP conversion is that interested parties will be able to look at our accounts and see how stable we are. That is useful for both our business partners and potential recruits.”
Founded in 1882 the firm now has 12 offices across the South of England with a turnover of about £28m, 56 partners and nearly 400 staff.
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