Legal teams are among the most essential departments of a company, as any organisation should not only work towards their goals and objectives but also do so within the legal frameworks applicable to them. The legal department is involved in various aspects of business operations, whether it is acquisitions, customer complaints, or workplace conduct.

Given the importance of a legal department and the costs involved in having a strong legal team, most businesses are now opting to outsource their legal services. These are some of the key benefits of outsourcing your legal services.

Minimise costs

Reducing costs is one of the main reasons businesses outsource their legal services to a law firm in the UK. Setting up an in-house legal department and recruiting skilled personnel can be expensive and a business may not be able to invest heavily in their legal department.

However, this does not mean that they would not want the best legal team for their business, especially if they require a strong legal team when dealing with customer complaints that can escalate or plan on approaching other companies in hopes of expanding the business.

By outsourcing, a business can access corporate legal services without having to pay for an in-house team.

Industry expertise

Corporate legal services require the best in the industry and organisations will always look for industry expertise and skilled personnel for their legal team. However, recruitment, especially of the best in terms of legal professionals, can be costly and organisations may not be able to access external talent.

Law firms, however, have the capacity to hire skilled and experienced personnel who have the knowledge and resources to deliver top notch legal services and a business can access this level of expertise by outsourcing their legal services.

In addition to skilled personnel, outsourcing also gives companies access to the latest legal resources and any relevant software and tools. This will be extremely useful when preparing reports and managing legal files and documents.

Efficiency and productivity

An in-house legal department may not have access to all necessary resources or tools when carrying out various tasks. The team may also face various constraints, especially if it is a small team carrying out a range of tasks and activities. This may negatively impact the legal department’s productivity and they may not be able to carry out services efficiently.

With the company allocating funds and resources to the legal department, they may find it hard to increase productivity in other departments and overall efficiency in the organisation.

However, both these concerns can be addressed by legal process outsourcing services, with the company outsourcing their legal serving and allocating the funds and resources that would have been required for an in-house legal department to other departments, especially the core functions of the business.

This would increase efficiency and productivity within the organisation while also guaranteeing the organisation an efficient and skilled legal team.

Flexibility and scalability

Among the top reasons that a business should outsource their legal services is flexibility and scalability.

A company that is in the midst of expansion and negotiations, for instance, will require more legal support than they usually would. A company that is drafting company policy on various areas may also require more legal expertise than usual.

However, an in-house team cannot be scaled up and down to suit the company’s requirements, which means that a legal department may not be flexible to adapt to the changing requirements of the company.

An outsourcing law firm, on the other hand, can expand teams with the required expertise to suit the needs of the business and carry out the services they require.

Compliance

Businesses must work within all applicable legal frameworks when carrying out operations, transactions and negotiations. This is extremely important as non-compliance can come at a high cost to any business and the penalties can be severe.

Since regulations change over time and new laws are introduced, legal teams are required to keep track of any updates and ensure compliance. An in-house team may not have the resources to do this amidst other requirements, but a law firm providing outsourcing services can allocate the necessary resources to study regulatory changes and ensure compliance.

Published date - October 5, 2021