Most Applications will follow the steps below. The CLC will discuss these steps with businesses in our meeting prior to the application stage.

Applicants should verify the types of business and services we regulate are the extent of the services they intend the proposed business to provide.

Step 1: An Expression of Interest

New Practice Applicants

Applicants should email the Licensing Team at licensing@clc-uk.org outlining key information about the business you intend to set up, listing:

1. the reserved and non-reserved legal activities the business intends to offer; and
2. the owners and their qualifications (if applicable); and
3. the key personnel and their intended roles; and
4. general information about the business, such as the source of set up funds (e.g. corporate or personal funds/sources of work)
5. if there is a predecessor or parent business, or any third-party investors/beneficial owners.

Switch/Hive Off Applicants

Applicants should email the Licensing Team on licensing@clc-uk.org outlining key information about the current business and the legal services intended to switch or hive off to CLC Regulation.

Step 2: Meet the CLC Licensing Team

Applicants are invited to attend a virtual Microsoft Teams Meeting with the CLC Licensing Team. It is important that BOOMs, Managers and Key Personnel attend this meeting because we will be discussing the investment and governance elements of your application, and the associated authorisations and licences required for any key personnel.

In this meeting we will cover:

1. Sources and Evidence of Investment and Financing
2. Practice Application Supporting Synopsis
3. An Organisational Chart
4. Transaction and Financial Forecast
5. Policies and Procedures

Step 3: Professional Indemnity Insurance

Proposed CLC Regulated businesses must obtain a quotation for Professional Indemnity Insurance (PII) Cover from an Insurer which is a signatory to the CLC Participating Insurance Agreement. The CLC encourages firms to seek quotes from more than one insurer.

Step 4: Complete and Submit All Application Forms

All Applications are made though the online platform, DocuSign.

All related applications must be submitted simultaneously, attaching all relevant supporting information.

DocuSign will email applicants from dse@eumail.docusign.net with a unique link to access the digital application form and instructions on how to complete this. 

After 28 days of the application form being sent should this not be submitted the link will expire. If the CLC has not received all associated applications within 28 days, it will treat the substantive practice application as withdrawn.

Please Note: Non-responsive applicants delay, and ultimately derail the practice application process. Please ensure all associated applicants are on notice to make their applications within 28 days of receiving the unique link from DocuSign.

Step 5: Completeness Review

A preliminary completeness review is carried out on all individual applications prior to the preliminary completeness review on the practice application.

At this stage in the process, we are looking to identify BOOMs, Managers, HoLP, HoFA, MLRO or CLC Licence Applications that cannot be accepted due to not meeting the standard eligibility criteria, or for having a material omission.

If none are found, the practice preliminary completeness review will be carried out.

Step 6: Screening

All licence/authorisation applications are subject to Fit and Property Screening. This incurs a non-refundable screening fee. 

Giant Screening is the Third-Party Screening Agent used to carry out all our screening checks. Giant will contact applicants directly for DBS consent and ID&V documentation. Applicants are required to compete a facial recognition as part of the ID&V process.

Declare Adverse Information: Applicants must declare, and then substantiate the facts of any declared adverse information including satisfied and spent adverse events. The absence of documentation to substantiate a declared adverse event, and any satisfied or spent adverse event, will render an application incomplete. This may include obtaining documentation from third parties in advance of applying.

Step 7: Determining Application Acceptance

At this stage we are looking to identify any BOOM, Manager, HoLP, HoFA, MLRO or CLC Licence Applications that cannot be accepted due to the following reasons:

1. Not meeting the standard eligibility criteria
2. Not meeting the CLC Fit and Proper test
3. Adverse information which was not declared and was deemed a material omission

We will write to each applicant to advise them whether their application has been accepted.

When an application is accepted a non-refundable administration fee will be charged. 

Step 8: The Substantive Application Review

Practice Applications will be subjected to the following reviews:

1. Ownership, Governance and Key Personnel
2. Operating Policies and Procedures (A Desktop Review by a CLC Inspector will be carried out)

3. Financial Viability, Sustainability and Forecasts

The Application Assessment will focus on the below areas:

1. Financial Information
2. The Practice Application Supporting Synopsis
3. Compliance of Policies and Procedures
4. Compliance and Regulatory Intelligence
5. Fit and Proper Assessments
6. Professional Status, Experience and Skills of Managers and Key Personnel

The CLC endeavours to process most individual applications within 42-days and non-complex Practice applications within 90-days. 

Individual applications submitted as part of a practice application (to be licensed as a CLC Recognised Body or as an ABS) will be considered and processed within the practice application timescale.  

The CLC reserves the right to charge additional fees, up to 14 hours’ charges at £80.00 per hour on applications containing adverse findings.

Step 9: Licensing Decision

The CLC Licensing Team will advise the applicants of our decision by email.

Decision Outcomes include:

(i) refusal to grant

(ii) minded to refuse

(iii) minded to approve

(iv) approved, i.e. granted

If the application is refused, we will write to you to explain the basis of our refusal. You have the Right to Appeal. 

How to Appeal

When approved we will set out the post approval steps necessary to realise the practical and legal arrangements necessary to issue the practice licence. This must be completed within three months of receiving our decision.

Please Note: This is unless it has been agreed at the outset that a deferred licence issue is required. This may be the case to accommodate restrictive covenants.

Refusing an Application: When minded to refuse the granting of a licence, the CLC will notify the Applicant of the grounds of its concerns and invite the applicant to make representations to address the concerns or to resubmit improved documentation within one month of the date of the notification.

Step 10: Annual Fees

When a CLC Licence is approved, i.e. granted, it will not be issued to the licensee until the Finance Team confirm to the Licensing Team receipt of payment for the appropriate Annual Regulatory Fees. 

Step 11: Post Approval Process

If approved, Applicants will be required to complete the final steps before the licence can be generated and issued:

1. Ask the PII broker to confirm to the CLC in writing:
   • the annual turnover figure provided for the purpose of calculating the annual premium;
   • that the premium has been paid or that a third-party financier agreement is in place for the payment of the premium; and
   • obtain the certificate of insurance from the PII broker (expiry date of 30 June)
   • (Please Note: The PII must incept before the practice licence can be issued)
2. Pay the upfront portion of the Annual Regulatory Fee and contribution to the Compensation Fund together with any fees associated to individual licences.
3. Complete and return the Direct Debit Mandate for the remaining amount owed for the Annual Regulatory Fee.
4. Provide copies of all branding and marketing materials, including letter heads and email footers.
5. Complete and sign a Cooperation Inspection Agreement and any final declarations associated to the key personnel.
6. Sign up to and have approved the CLC’s Secure Badge on the practice website. This must appear in a prominent place on the Practice’s website. The CLC Licensing Team will upon request email instructions on the installation of the Secure Badge once a website has been created.

Guidance Notes