GMB - You participated in the panel “The Betting Boom in Brazil - what's next for the market?” at SBC Latinoamérica. What was that experience like?
Luiz Felipe Maia - It was a pleasure to be invited to this panel. It was a very enriching discussion, with the participation of big names in the industry, such as André Gelfi, Ângelo Alberoni, João Gerçossimo from EstrelaBet, Alexandre Fonseca and Leonardo from Okto. We exchanged ideas on the current scenario of the Brazilian market, which was extremely useful.
With so many companies interested in operating in the Brazilian regulated market, what is MAIA YOSHIYASU Advogados offering these companies?
Our firm has been operating in this sector for over 15 years, following all legislative and now regulatory developments. We provide support to several companies, assisting with applications for both federal and state authorizations. Recently, our focus has been on federal authorizations, and we have served clients in related sectors, such as payment methods and various providers. We have noticed a great demand from aggregators, developers, and KYC and localization providers, interested in continuing to provide services to clients who are now entering the Brazilian market.
Brazil presents a unique situation, as companies that previously operated in countries such as Malta, Curaçao and the Isle of Man, now face new tax challenges when working with Brazilian operators. To give you an idea: if the supplier wants to receive 100, the Brazilian company will have a cost of over 145 due to the extra taxation, which makes the international service more than 40% more expensive. This creates a competitive distortion. We have been working on international tax planning and transfer pricing structuring to help these companies establish themselves in Brazil in a competitive manner.
The regulation is attracting not only operators, but the entire industry chain to Brazil, right?
Exactly. This regulatory movement is creating an environment conducive to the full development of the industry in the country, which is very positive.
How would you assess 2024 for MAIA YOSHIYASU Advogados?
2024 was a very busy year for us, with an increase in work and new clients, which led us to expand the team to meet this demand. For 2025, we expect a change in our clients' needs, with a greater focus on setting up local operations and addressing regulatory and foreign investment issues. We are ready to support on all fronts, including litigation, tax advice and contracts.
We also expect growth in mergers and acquisitions, and we believe that the coming years will bring a process of consolidation in the sector. We have built a solid M&A team, led by my partner Plinio Yoshiyasu, and have strengthened our compliance area with specialized professionals to meet local demands. We are confident that 2025 will be even more relevant than 2024.
What are your projections for 2025?
We are optimistic. We know that it will be a major challenge for companies, as operating locally in Brazil is very different from operating from offshore jurisdictions, which have more flexible compliance and regulatory rules.
Operations in Brazil will require significant adaptation, especially considering the current political environment. Our goal is to help our clients navigate these challenges and achieve success in the Brazilian market.
Source: Exclusive GMB
