RCD - Rousaud Costas Duran is having the best period in its history, according to managing partner Adolf Rousaud, who says this is partly because, unlike some competitors, the firm is run as a meritocracy that gives the biggest rewards to its most talented lawyers
Business has rarely been better for Spanish law firm RCD –
Rousaud Costas Duran. Indeed, managing partner Adolf Rousaud
indicates that it is going through its own golden age: "The
first quarter of 2017 was the best in the history of the
firm". RCD's financial data suggests that it is undergoing
a period of rapid growth – revenue grew by 24 per cent last
year to €25.5 million. And this followed a sustained period of
year-on-year billing increases. "In the past three years, we
have experienced annual growth rates above 20 per cent," says
Rousaud.
With billing on the rise, the firm has been in a position to make a
sizeable investment in the form of a new office in Valencia, which
opened in September this year. It's the firm's third office
– it also has operations in Madrid and Barcelona – and,
explaining the move, Rousaud highlights the "strong economic
growth experienced by the region in recent years".
Specifically, RCD sees a major opportunity to expand its tax
practice in Valencia – to this end, the firm hired tax
partner Borja de Gabriel, a native of the Valencian Community, from
MA Abogados.
In addition to tax, Rousaud says that the pharmaceutical, insurance
and sports sectors are practice areas that are undergoing
significant expansion. He adds that, not only is there increased
regulatory work in these areas, but also M&A, employment and
financial crime-related matters. Meanwhile, Rousaud says the
firm's growth is partly attributable to transactional work in
foreign markets including Asia, and "especially
China".
Smart companies
Rousaud also believes serving innovative technology-focused
companies is an area of activity that has huge potential for law
firms. "The economy has great opportunities in the area of
innovation because the country [Spain] is a very attractive place
for locating the headquarters of smart companies," he
explains. Seizing opportunities such as these has led to a dramatic
increase in headcount at the firm since it was established 14 years
ago – back in 2003, the firm had three partners and seven
professionals in total; today it has more than 250 lawyers, of
which 31 are partners.
The firm has recruited a further two partners – in addition
to Borja de Gabriel – in the last year. The new arrivals
included Jesús Martrat, formerly an in-house lawyer at
pharmaceutical company Almirall, who joined RCD's pharmacy and
privacy practice. Also joining the firm's regulated markets
practice as a partner was former state lawyer Carlos
Hernández Rivera – who was previously Director General
for the Regulation of Gambling, a role connected to the Spanish
Ministry of Finance.
Fitting in
What is the philosophy behind RCD's recruitment strategy?
"We have a well-defined philosophy, with very clear values,
and a firm culture that is very well internalised throughout the
organisation," says Rousaud. "The first element we value
in people who join the firm is the personal fit and technical
training, more than the business fit, because that guarantees the
stability of the firm – we believe this philosophy is crucial
to our success."
Rousaud also says the firm places a great deal of emphasis on the
need for its lawyers to have an entrepreneurial spirit, and claims
that this approach distinguishes RCD among its competitors.
"We focus on attracting talented individuals who want to
participate in a project that is growing constantly, as well as
professionals with an entrepreneurial philosophy," he says.
"Traditional firms have a very rigid structure that somehow
does not facilitate this type of meritocracy – for us age is
not a factor, it's about knowledge, experience and
skills." Rousaud claims that, unlike some rival firms, RCD
gives the biggest rewards to those lawyers who have the most
ability and talent. These rewards include promotion to the
partnership on the basis of performance rather than seniority.
"Age is not a factor, it's about knowledge, experience and
skills," says Rousaud. "We have, with a lot of effort,
built a meritocratic firm in which our professionals develop a
career – it is a great source of pride that many of our
partners started as junior lawyers in the firm. All these factors
make us a very attractive firm for graduates and other senior
profiles."
The firm also has a strong commitment to the use of technology as a
means of improving its efficiency, according to Rousaud. "We
are currently collaborating with Signaturit, a start-up dedicated
to the development and utilisation of an online platform that makes
it possible to electronically sign legal documents," he
adds.
With regard to the outlook for the coming year, Rousaud says that
real estate, hotels, technology and industry are the sectors that
will lead the economic recovery. "These sectors will offer
companies the most business opportunities," he explains.
"Specifically, in the technological sector there will be great
opportunities and our country is also a leader in pharma and
biotechnology." Rousaud adds that many Chinese businesses are
interested in investing in Spain, which they also see as a bridge
for investing, and expanding, in Latin America.
Falling behind Portugal
In addition, Brexit represents an opportunity for Spain, in the
view of Rousaud. "Now, more than ever, concerns about the
consequences of Brexit are in the spotlight as the European Union
and the UK are preparing for negotiations regarding the exit,"
he says. "As a result of this, there are opportunities with
London-based financial companies looking for existing, and
CNMV-approved, regulatory schemes enabling them to operate from the
EU." Rousaud adds that, from the perspective of tax and also
related to Brexit, there are "some political movements to make
the tax system more attractive for UK nationals residing in this
country [Spain]". However, Rousaud adds the caveat that Spain
has fallen behind some of its rivals in this respect. "Other
EU countries such as Portugal, Switzerland and Belgium are ahead in
terms of these policies." It should also be pointed out here
that some partners at Barcelona law firms say foreign investors are
now more cautious about investing in Barcelona due to the political
uncertainty in Catalonia.
One of the biggest challenges law firms now face is finding the
best way to collaborate with each other on both domestic and
international matters, Rousaud says. "As the delivery of the
best service to clients is key, law firms need to be able to
collaborate with other partners in order to provide a global and
tailor-made service adapted to their clients'
needs."
However, many firms are aware of the need to provide tailor-made
services to clients, so why should they choose RCD as their legal
service provider? "We were established with the clear aim of
transforming a deeply conservative sector into something more open
to society, in which clients and potential clients understand the
reasons behind our advice and the legal solutions that we
offer," says Rousaud. "We are still very committed to
this. We are committed to a transparent and ethical vision of law.
We are people-oriented, in terms of both our clients and the
professionals within our organisation."
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