Why Solicitors Thrive as Consultant Solicitors Under a Regulated Virtual Firm Than as Regulated Freelance Solicitors

Introduction

The legal services market has changed dramatically in recent years. Traditional employment models are giving way to flexible, tech-enabled structures that give solicitors more freedom and clients better value. Two increasingly common models are the consultant solicitor working under a regulated virtual firm, and the freelance solicitor who becomes personally regulated by the Solicitors Regulation Authority (SRA).

While both models allow solicitors to work independently, they are not equal in terms of regulatory risk, commercial opportunity, or professional protection. This article explains why joining a regulated virtual firm as a consultant solicitor is generally a safer, more efficient, and more profitable route than becoming a regulated freelancer.

1. Regulatory Simplicity and Cost Efficiency

Becoming a regulated freelance solicitor means taking personal responsibility for full SRA regulation and professional indemnity insurance (PII). Freelancers must:

• Arrange and pay for their own PII that meets the SRA’s Minimum Terms and Conditions.
• Maintain robust compliance systems for anti-money laundering, file retention, data protection, and complaints handling.
• Keep extensive records and face SRA scrutiny on every regulatory aspect of their business.

In contrast, consultant solicitors working under a regulated virtual firm benefit from the firm’s existing regulatory framework. The virtual firm holds the PII, manages compliance, and handles client money through its accounts. Consultants can therefore focus on serving clients and building income without the administrative or financial burden of regulation.

2. Professional Indemnity Insurance Protection

PII is one of the greatest practical differences between the two models. Under the freelance model:

• Freelancers must obtain their own PII, which can be expensive and difficult to secure.
• Policies often exclude certain work types or clients, limiting flexibility.
• Claims attach directly to the individual solicitor, exposing them to personal liability and reputational risk.

By contrast, consultant solicitors are fully covered under the virtual firm’s master insurance policy. The firm’s established insurer relationships usually mean stronger coverage at lower per-capita cost, and the solicitor avoids direct personal exposure.

3. Administrative and Compliance Support

Operating as a freelance solicitor can be lonely and administratively heavy. You must manage everything yourself: client onboarding, conflict checks, file storage, GDPR compliance, complaint procedures, and audits.

A virtual firm, however, provides the infrastructure and support of a full-service law firm, compliance, accounting, IT systems, and professional supervision, while letting the solicitor retain flexibility and autonomy. This means far less risk of regulatory breach and far more time for productive work.

4. Brand Credibility and Client Confidence

Clients value working with an established, regulated law firm. A virtual firm offers the reassurance of:

• A recognised brand and SRA-authorised entity.
• Client account facilities for holding funds securely.
• Trusted quality control and management oversight.

Freelancers, even if technically regulated, may struggle to project the same level of credibility, particularly with corporate or institutional clients who require firm-level due diligence and client money safeguards.

5. Earnings Potential and Collaboration Opportunities

Consultant solicitors typically earn a high percentage (often 70–80%) of their billed work, with none of the overhead of running a firm. They also benefit from:

• Shared referrals from other consultants within the same network.
• Marketing and administrative assistance.
• The ability to scale up work quickly through collaboration.

Freelancers, on the other hand, operate entirely alone, bearing 100% of the responsibility for business development, client servicing, and administration. The result is often lower effective income and greater professional isolation.

6. Flexibility Without Exposure

Both models offer autonomy, but the consultant model provides freedom with safety nets. The solicitor can:

• Work from anywhere.
• Set their own hours and fees.
• Build their own client base.
• Yet still benefit from insurance, compliance cover, and peer support.

Freelancers have freedom too, but with no safety net. Every client relationship and regulatory duty rests squarely on their shoulders.

Conclusion

Becoming a regulated freelance solicitor may sound appealing for those seeking independence, but the hidden costs, regulatory exposure, and administrative burden often outweigh the benefits.

By joining a regulated virtual law firm as a consultant solicitor, you retain all the advantages of flexibility and autonomy without the compliance risks, personal liability, or financial strain of solo regulation.

In short, consultant solicitors under a virtual firm model enjoy the best of both worlds, independence and protection, while focusing on what really matters: delivering excellent legal services and growing a sustainable practice.

If you’re thinking about taking the next step in building your own legal business or simply want to explore what’s possible within the consultant solicitor model, I’d be delighted to have a conversation. Feel free to reach out for an informal chat, I’m always happy to share insights and help you plan your next move.

✉️ jonathan.lea@jonathanlea.net