A new study reveals majority of lawyers in the trade bloc believe regulatory changes, new service lines and a 'more positive outlook' will lead to law firms expanding
Opportunities for law firms in the Pacific Alliance countries - namely Chile, Colombia, Mexico and Peru - are booming with new research showing that 83 per cent of law firm partners based in the trade bloc expect their firm to grow in the coming year.
The rise of the Pacific Alliance countries - which have been dubbed 'The Pacific Pumas' - is clearly exciting investors and law firms alike. The four countries combined represent the eighth biggest economic power in the world and contribute 38 per cent of Latin America and the Caribbean's total GDP. The alliance is also responsible for 50 per cent of Latin America and the Caribbean's total trade and attracts 45 per cent of its foreign direct investment.
A new study conducted by Iberian Lawyer showed that four out of five partners in the Pacific Alliance anticipate that their firm will grow in the coming year. And this growth will not be insubstantial - the majority (52 per cent) of partners expect their firm to grow by at least seven per cent in the next 12 months, with 18 per cent of all partners anticipating growth of at least 10 per cent.
What is driving this growth? Not fee rises apparently - none of the participants identified bigger fees as a contributory factor. Instead, more than a third of respondents (39 per cent) highlighted "regulatory changes", with 27 per cent of survey participants saying "new service lines" were stimulating growth and 27 per cent claiming "a more positive outlook" was responsible. Other factors highlighted by respondents included "infrastructure investment", the greater presence of "multijurisdictional clients" and the potential for more litigation.
The majority of respondents expect investment from outside the Pacific Alliance to be the main generator of business. A total of 56 per cent of participants said they anticipated that most of their law firm's growth would be generated by business from regions outside the Pacific Alliance.
Corporate and M&A was the practice area most frequently identified as having growth potential in the coming year - 60 per cent of respondents expect this type of work to increase in the next 12 months. A total of 54 per cent of participants anticipate...