Mofo Report – BREXIT And the Impact on the Venture Capital Community
The process of Brexit and the implications for businesses will unfold over time. MoFo’s Brexit Task Force is coordinating Brexit-related legal analysis across all their offices and working with clients on their key concerns and issues.
In the run-up to the Brexit vote, the negative impact on access to capital and access to the best start-up talent were two of the most-talked-about topics relating to a ‘leave’ vote for the UK EC/VC community. Brexit uncertainty had, in fact, contributed to a softening of start-up funding in some of Europe’s tech hubs ahead of the referendum.
Now, with the votes counted and the results in, where does this leave EC/VC investment and access to funding and talent for Europe’s start-ups?
It should be noted that the UK currently remains a member of the EU and is likely to do so for some time as it negotiates the terms of exit and its ongoing relationship with the EU – the process is expected to take several years. The full implications of the Brexit referendum are therefore largely unknown and, in practical terms, many businesses, including start-ups and growth companies, may not experience immediate significant impact.
The UK is navigating uncharted territory, and the brief withdrawal provisions of the EU Treaty have never before been applied. What does appear to be more certain is that, while the process of Brexit will take time, companies around the world are rapidly evaluating what the UK’s new relationship with the EU might look like and what this will mean for them.
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Clients include some of the largest financial institutions, investment banks, Fortune 100, and technology and life sciences companies. The Financial Times has named the firm to its lists of most innovative law firms in Northern America and Asia every year that it has published its Innovative Lawyers Reports in those regions. In the past few years, Chambers USA has honored MoFo’s Bankruptcy and IP teams with Firm of the Year awards, the Corporate/M&A team with a client service award, and the firm as a whole as Global USA Firm of the Year. Our lawyers are committed to achieving innovative and business-minded results for our clients, while preserving the differences that make us stronger.
By Andrew Boyd,Murray Indick, Dirk Besse and Greg Joynson
SOURCE: Morrison & Foerster LLP, mofo.com