For two of Kyiv’s oldest local law firms, more changes besides branding are in store to adapt to a globalizing world bringing fiercer competition.
Magister & Partners, to be renamed Magisters by April, is preparing to open offices across the CIS over the next decade, said Chief Operating Officer Jason Bruzdzinski, noting the firm has an office in Moscow and will open a Tbilisi, Georgia firm this year.
In an unorthodox approach for a Ukrainian firm, Magister & Partners hired Bruzdzinski, an American, to lead the transformation.
The firm’s partners decided they “want to have a business man with experience in transformation and change management, with a business consulting background, to look objectively at what they’re doing,” Bruzdzinski said.
Previously, he served as a senior advisor for seven years for the MITRE Corporation, the largest US governmentfunded research and development center.
While Ukraine’s economy is booming, law firms have many chances to make gains in the tough competition, said Sergiy Shklyar, managing partner at Arzinger & Partners law firm.
Nowadays, Ukrainian companies are implementing Westernstyle business practices, and knowledge of foreign languages and foreign legislation is not an opportunity but a demand, he said.
“Companies that won’t be able to meet the new high standards will be reluctant to face the loss of clients,” Shklyar added.
Staffing at Magister & Partners’ Moscow office will increase from 45 staff members, including four partners, to six to eight partners and 65 to 75 attorneys.
“We’re looking to really develop in a careful, but progressive, manner toward building up our CIS base of clients,” Bruzdzinski said.
Since its establishment in 1997 as a trade law boutique, Magister & Partners grew from two lawyers to a 220member staff, including 12 partners and 120 lawyers, and revenue grew from about $46,600 in 1997 to $22 million in 2007, according to the firm’s decade report.
Major clients include GlaxoSmithKline, The International Finance Corporation, Viacom, and Yahoo! Inc.
Meanwhile, Asters’ February rebranding also coincides with plans for significant growth.
Cofounder Igor Shevchenko left the firm at the end of last year to head the Forum of Young Leaders of Ukraine, a national social project he established to unite youth for social and political change.
Asters aims to double to more than 200 employees in the next year, move to new class A office space and expand into Ukraine’s regions, the Autonomous Republic of Crimea in particular, said Oleksiy Didkovskiy, a senior partner and cofounder.
Merging and acquiring is also on the agenda with Asters.
“I think we will consider all options, except for selling ourselves,” Didkovskiy said.
Multinationals’ advantage over local Kyiv firms isn’t just about money, but corporate style, wealth of experience, expertise, traditions and customs, he said.
Asters will offer its lawyers some of what the multinationals have traditionally given: offshore retreats, seminars, and trainings, Didkovskiy said.
“This will add something all Ukrainian firms are lacking now,” he said.
In the last five years, Asters has grown from 12 lawyers in 2002 to more than 100 employees, including seven partners and nearly 60 lawyers.
Asters did not disclose yearly revenue.
Clients include Magic Circle law firms in London, CitiBank, Morgan Stanley, and Standard Bank.
