Not even the most global law firms can be everywhere at once, so how do independent firms view the international market? How do they position themselves to compete and what is the key to finding a successful partnership with an overseas outfit? We invited five independent law firms from around the world to share their thoughts and experiences

Brazil: adapting to a new environment
Pedro Freitas, managing partner, Veirano
International law firm mergers are normal at a time of lower economic growth, with extra pressure on margins and costs. In addition, in the legal market there are new areas of practice in high demand, while the need for others has decreased. We see more regulations everywhere and more demand for compliance/investigations legal services, while capital markets, for example, still has room for recovery.

The legal profession has changed dramatically and rapidly in the 2010s and firms have to adapt to a very different environment. It is no simple task, as lawyers are conservative in their nature. In our market there is a mixture of concern, trying to understand the implications of such mergers and keeping an open mind to identify new opportunities and act quickly. 

For independent firms looking to select referral firms to work with internationally, it is critical to meet leaders of the law firm or of the practice area in person to be sure that you hold the same values. It is important to get their views on the challenges and opportunities in that market so that you can give a distinct point of view that will put you in a unique position and prove that you can add real value to your client with a pragmatic and hands-on approach.

Hong Kong: competence, character and competition
Keith Cole, executive partner, Deacons
We are known as a really strong domestic firm in Hong Kong, with reach into mainland China through our three representative offices there. Those jurisdictions are substantial markets. While we do occasionally lead on transactions that cross those borders, this isn't our main game: we have plenty to do on our home turf, and that is the area of our strength and competence.

In Hong Kong we are entrenched market leaders in several areas in which it would be difficult for new entrants to get critical mass. For work within the jurisdiction, for example in takeovers, initial public offerings and funds advice, we compete well against the international firms; in fact our market share is greater than it was 20 years ago.

The corollary of being known as a leading domestic firm is that clients that have overseas operations and which choose to use us in Hong Kong typically would not think of involving us in their international affairs. On those occasions when we do need to engage overseas lawyers or refer work, the 'four Cs' summary of a senior in-house counsel in Hong Kong come to mind: competence, cost, compatibility and character. To which we might add a fifth 'C': competition. Clearly we prefer not to refer work to firms that are substantial competitors in Hong Kong. However, the requirement of competence would trump that concern.

As large mandates outside our home jurisdiction are not a primary business objective for us, we don't have an issue with selling overseas advisers to clients; rather, helping clients obtain overseas advice periodically is just part of our service to them.

Sweden: expertise and reputation
Eva-Maj Muhlenbock, managing partner, Lindahl
Independent firms are still relevant in a global world. Lindahl is one of Sweden's leading law firms with approximately 400 employees working from our six offices around Sweden. Our strong growth in recent years is to a large extent a consequence of our clear focus on building competence in knowledge-based, innovative and high-technology industries such as life sciences, energy, and telecommunications, media and technology, resulting in national and international work in corporate, M&A and intellectual property for blue-chip clients.

Reputation is key to bringing in new business. By being an independent firm, we have had the opportunity to participate in cross-border projects within the sectors mentioned above and more, together with various other independent law firms, thereby expanding our network significantly. Cooperation with other firms strengthens our client offering as our clients get access to a broader network of international outfits and we get the experience of working with many different firms.

Nigeria: independents avoid client conflicts
Funke Adekoya, partner and head of the dispute resolution practice group, Aelex
International law firm mergers may cause concern. They tout themselves as being able to provide a seamless and 'same quality' service across many jurisdictions, and to an extent this is an attractive offering to the global client. On the other hand, global independents offer customised knowledge of the local terrain, which clients often overlook when briefing international firms.

However, the size of many international outfits presents an opportunity for global independents, as the independents are usually more able to avoid the client conflicts that often occur with international firms, and can result in them being unable to take on a new client or having to refuse otherwise acceptable instructions.

When global independent law firms are selecting referral firms to work with internationally, 'horses for courses' is always best. Independent firms are often better at representing clients operating in developing countries where specialised legal work requires local knowledge and 'hand holding' through regulatory procedures.

China: international associations
Jiang Jiang, partner/attorney-at-law, Hylands Law Firm
The question of how independent law firms compete against major international players is an interesting topic. Hylands Law Firm, as an independent, is one of the most international law firms in mainland China, with headquarters in Beijing and offices in Shanghai, Nanjing, Guangzhou and Hong Kong. Hylands is a member of many international associations – such as TerraLex, the International Trademark Association, the International Bar Association, the American Intellectual Property Law Association and Investing Across Borders – and so has a long history of working with other law firms through different networks.

Cross-referral is another important source of clients. Independents need to maintain good relationships with other firms so that they will consider using you when any need for legal services arises.

It is also important for independent firms to have competitive edge in some areas so that other law firms will bear you in mind. For example, Hylands has a strong reputation in intellectual property, international investment, foreign trade, entertainment and commercial litigation.

Referral by existing clients is also an important source of new clients. Independent firms need to keep their current clients happy and maintain a stable client base, as these clients will often refer you to their friends or business partners when they need legal representation in your jurisdiction.

Further reading: The future of independent law firms 2014 – online special