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Blackadders increases earnings after spin off

Blackadders estate agent in Dundee
Blackadders estate agent in Dundee

Dundee-based solicitors Blackadders saw their profits increase by 6% as it spun off the wealth management part of the business last year.

Blackadders Wealth Management LLP began trading on November 1, 2016 and in its first five months of trading recorded a turnover of £636,000 and a pre-tax profit of £229,000.

Meanwhile main business Blackadders achieved a turnover of £12 million and a pre-tax profit of £3m for the year ending March 31.

In the accounts, managing partner Johnston Clark noted that combining the results of the two companies showed a marked increase for the Reform Street business, which recorded sales of £11.7m and a profit of £3.1m in 2016.

He said: “Our long-planned objective of spinning out our wealth management business from this LLP came to fruition on November 1 2016 when Blackadders Wealth Management LLP began trading.

“This sister LLP will continue to provide a seamless service both to clients of this LLP and a wider client base.

“The overall position of both businesses is stronger and combined net profit has increased by 6% to £3,247,006.”

Mr Clark added that it had been an “important investment year” for the firm.

A merger with Boyle Shaughnessy at the start of the financial year meant it gained a footprint in Glasgow.

This led to two new members joining the limited liability partnership which had 26 members at the year end.

The average profit per member was £116,067 with the highest paid member receiving £209,406.

A total of 224 people were employed with Blackadders during the year compared with 192 a year earlier.

As well as Dundee and Glasgow, the company has offices in Perth, Forfar, Arbroath, Aberdeen and Edinburgh.

Partner Lindsay Darroch added: “The legal sector in Scotland is going through unprecedented changes with a number of mergers and firms failing.

“In an ever changing climate it’s important to have a strategy and a vision but it’s also important to have a degree of flexibility as well to adapt to changing circumstances.

“We are constantly looking at opportunities.”

Turning to the firm’s trading this year, Mr Darroch added: “We set ourselves a tough target for 2017/18 and so far we are hitting our targets which is a big increase on where we were last year at this time.

“We are very pleased with how it’s going.”

rmclaren@thecourier.co.uk