July 11, 2024 Elemental appointed to take over Company Secretarial division
Elemental, the integrated UK corporate services provider, has been selected by London law firm Howard Kennedy to take on its company secretarial division. Elemental will work with Howard Kennedy to expand and modernise its company secretarial offering for clients effective from July with a commitment to engage exclusively with Elemental for new requirements until 2026.
The strategic partnership with Elemental will see the transfer of Howard Kennedy’s existing company secretarial clients to Elemental. Howard Kennedy is working closely with Elemental to ensure a seamless and orderly handover of clients.
Elemental was chosen as the preferred provider by the law firm after a competitive process. The decision was influenced by the corporate services provider’s background in corporate legal work, their integrated offering and strong reputation for client service.
Gillian White, Partner and Head of M&A at Howard Kennedy said:
“We are delighted to be partnering with Elemental whose expertise will ensure our clients continue to receive excellent, state of the art ongoing support with their company secretarial related needs and related, ancillary services. We are committed to the seamless transition of our company secretarial division and close ongoing relationship with Elemental.”
Nick Lindsay, Managing Director of Elemental, said “From the outset, it has been clear that both firms align closely in terms of values, emphasising tailored services and straightforward client communication. We very much look forward to working together and expanding the offering for Howard Kennedy clients.”
Nick observes that there has been a broader trend in the industry prompting a fresh look at compliance outsourcing. “Whereas delivering services for clients efficiently has always been a reason to look externally, what we are increasingly seeing is Operations teams exploring ways to mitigate the potential risks associated with Trust and Company Service Providers (TCSP) tasks.”
Both the SRA and HMRC have previously identified TCSP activity as one of the top three risk factors for law firms concerning anti-money laundering (AML), with the former re-iterating guidance in its most recent sector risk assessment in March this year. According to the latest HMRC data, the number of SRA-regulated lawyers registered with HMRC as Trust or Company Service Providers (TCSPs) has decreased by 12%, from 3,976 in November 2020 to 3,489 in June 2024 signalling a shift away from TCSP related activity.
Looking ahead, Elemental predicts the Economic Crime and Corporate Transparency Act (ECCTA) will only add to the pressure for law firms to follow Howard Kennedy’s example. Elemental’s MD added “ECCTA will drastically increase the workload for already busy compliance teams, at the same time as increasing the penalties for getting it wrong even if unknowingly.”
ENDS
About Elemental
Elemental is an integrated corporate services provider that specialises in supporting law firms and corporate service providers. They are an independent UK specialist, and the CGI awarded them Service Provider of the Year 2021 and again in 2022. In 2024, they were named as one of the fastest growing companies in Europe in the Financial Times 1000 annual rankings.
Visit www.elementalcosec.com
About Howard Kennedy
Howard Kennedy is a London based law firm offering straightforward legal advice to their clients. With more than 65 partners and 450 people in total, the firm is well placed to assist entrepreneurial businesses, ambitious clients and HNW individuals on domestic and international matters, whatever the legal challenges they face. Howard Kennedy also advises major corporates who find the firm’s straightforward approach a compelling alternative to larger less personal firms.
Visit www.howardkennedy.com.
