Frequently Asked Questions

• What is a suitable business structure?

  A suitable business structure is one that accommodates the requirements of the practice, complies with the Legal Profession Uniform Law Application Act 2014 (the LPUL Act) and is approved by the Victorian Legal Services Board and Commissioner (VLSBC).

  It is highly recommended to seek specialist advice to assist the selection of an appropriate practice structure.

• What are the steps to starting a practice
  1. Choose the major business structure that best suits your practice objectives:
  2. Comply with regulatory requirements specific to your business structure. These include written notice to the VLSBC using the approved, structure-specific form  
  3. Consider whether to form a professional service trust (PST)  
  4. Outline an appropriate management system  
  5. Negotiate the contents of the partnership agreement (if applicable)

  Refer to the business structure checklist (pdf).

• What are the steps to buying an existing practice?

  While many practitioners begin a practice from scratch, another option is to buy an existing practice. 
  Before buying a practice:

  • Get essential information on the practice for sale from the owners
  • Explore the current client base for opportunities for expansion
  • Consider keeping the current owners as consultants or employees
  • Have the practice valued before purchasing
  • Understand the tax implications of the purchase

  Check the ‘Buying a practice’ Checklist