Preference is strong for professionals
from law firms due to diversified exposure and fungibility across legal
intricacies, she said.“Momentum gaining around public policy, litigation,
regulatory affairs and ESG (environmental, social and governance standards) are
stimulating hiring a full-time senior resource,” Vikamshi added.
The central government's increased focus
on digital payments and the Reserve Bank of India’s new digital lending
guidelines are among some of the reasons many of these startups are looking to
ramp up their legal teams, said experts.Nilasha Mukherjee, managing consultant
at search and advisory firm Vahura, said fintech startups are trying to reduce
reliance on external counsels and depend more on internal legal talent to
tackle the continuing regulatory overhang.
“The demand for litigators with criminal
law expertise is rising, and in-house legal advice is critical for the
development of innovative products,” she added.Amit Nawka, partner deals &
startups at PwC, said: “Most of these companies have by and large tech brains,
but now with strengthening regulations, companies are looking for senior legal
and regulatory experts to help them out.”
“Quite a few fintech startups have
become reasonably large in the last 2-3 years. All this time there was a lot of
emphasis on the tech aspect and there was a thin line between whether these are
tech companies or regulated financial services entities. While these companies
were maturing, regulatory bodies were also trying to understand the business
models and their implications. In the initial years, regulators let these
businesses play out and now they are coming up with regulations,” Nawka added.
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