Let’s get together

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  • Consolidation problems

    Well here's two factors for you.

    First, many firms now take a short term view. They lay off staff - hitherto described in glowing terms on their website - rather than take reduced drawings. With a revolving door reputation they are seen as wanting your clients but not much else. Who really wants to merge with them?

    Second, there are premises problems. Lay offs leave office space unoccupied which is hard to sub-let in a downturn. If you have gone open plan - to boost profits for the partners - that space is also hard to divide up. But the boomtime has left firms saddled with 5 or 10 year leases that they cannot walk away from. So they are stuck.

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