LSUC Spot audit and Law Firm Accounting experts
The Law Society spot audit is a mandatory item in a lawyer’s lifetime and practice. Consistently, lack of legal bookkeeping and records lead to Law Firms getting fined by the Law Society.
When you turn is up to be spot audited by the Law Society, here is what you need to look for:
- your trust accounts are maintained up to date and is accurate.
- the legal bookkeeping reports are prepared in accordance with the Law Society’s by-laws.
- and, your legal bookkeeper has the experience and ability to handle the audit.
For over ten years, we have helped many barrister & solicitor law firms go through the LSUC spot audit with great success. We can do the same for you.
Our spot audit review will remove your risk of non-compliance. Our post-audit engagement helps you correct items noted by the auditor.
Let BBS Accounting and Bookkeeping do the legal firm trust accounting.
THE LEGAL BOOKKEEPER’S ROLE
There is a prevalent notion among practitioners that the bookkeeper’s role is akin to that of a data entry person with a basic understanding of bookkeeping. However, the person you employ will not only be responsible for the day-to-day posting of transactions for your trust and general accounts, but is usually delegated the more important role of conducting month end procedures that include the preparation of the monthly trust bank reconciliations, billing and accounts receivable work, payment of client disbursements and office accounts, preparation of periodic financial statements and monitoring cash flow for your business.
Some lawyers have only a vague notion of what the bookkeeper does for their business, and may hire a friend or relative for this job without careful deliberation or a review of their qualifications. All too often, the Law Society becomes involved in law practices where bookkeepers have not performed their duties due to improper supervision by the lawyer. As many lawyers have experienced, changing bookkeepers can be expensive, time-consuming, and may lead to costly administrative suspension by the Law Society if books and records are not kept in accordance with the Rules. There may even be a requirement by the Law Society to hire a public accounting firm to rebuild the records.
Law Society Rules emphasize that it remains the lawyer’s personal responsibility for ensuing the books and records are kept in accordance with the Rules whether or not any duties are delegated to a bookkeepeer.