Snapshot of SME sentiment towards law firms ‘wake-up call’ for industry

A majority of Scottish small and medium-sized businesses do not get clear advice from law firms, according to a study conducted, ironically, by a prominent indigenous legal practice.

Chris Harte is the chief executive of Morton Fraser LLP. Picture: Contributed

The research released by Morton Fraser suggests that the country’s law firms face a substantial disconnect with the SME (small and medium-sized enterprise) community.

It reveals that more than four fifths (82 per cent) of Scottish SMEs do not always get crystal clear communication from law firms on their costs, and advice.

According to Morton Fraser, medium-sized businesses (between 50-250 employees) are less confident than larger companies in getting the clarity they want from law firms. Just 31 per cent said they always get clear advice and costings compared to 52 per cent of firms with 250-500 employees and 44 per cent of larger companies with more than 500 staff.

Chris Harte, chief executive of Morton Fraser, said: “This is a wake-up call for our industry. Businesses think that law firms are not yet sufficiently clear about the three most important elements of legal service: advice, language and costs.

“We must do more to break down barriers and improve the quality of communication with clients. It is particularly concerning that so few SMEs feel as though they receive clear advice from law firms, particularly on costs.”

The firm said it had polled hundreds of financial decision makers across Scotland. It has now launched a campaign designed to prompt a re-appraisal among the Scottish business community.

Harte added: “The clearer we can be about the advice we give, taking a confident stance on important issues, the easier it is for clients to act on our advice.”