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According to IBISWorld[1], commercial law services accounts for 32% of the Australian Legal Services Industry.
The commercial law services sector provides legal advice to businesses, mostly relating to major corporate transactions such as mergers and acquisitions and IPOs, and financing methods and taxation solutions. The top-tier law firms primarily provide services in this segment.
The business cycle, investment levels and overall corporate activity heavily affect demand for these services. Some commercial law services, such as those associated with bankruptcy and restructuring initiatives, are countercyclical. Due to the complexity of commercial transactions, legal firms that specialise in this area of law often command high premiums.
Over the past five years, this segment has increased as a share of industry revenue due to positive business confidence and growing demand from financial services firms.
Note 1: This information is reproduced from the IBISWorld Industry Report M6931 Legal Services in Australia February 2019 Kim Do
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