It has been two years since Promethean Corporate Services came to life as a full service legal and tax firm that offers cross border solutions. Having been reborn and rebranded from an earlier - and equally successful - iteration, the firm today forms part of a truly global set-up, with sister firms involved in media, capital raising and M&A as well as the provision of analogous services in Guernsey.

At its helm is CEO and Managing Director Jonathan De Giovanni, lawyer with a special focus on helping clients work within the Maltese regulatory framework to maximum benefit. Having also been an equity partner within the multi-disciplinary firm that preceded Promethean, no-one is better placed than Jonathan to lead an organisation which is at the forefront of the corporate legal sector.

“Promethean Corporate Services focuses on four pillars via our Malta and Milan offices. These are corporate, legal and tax, regulatory, global mobility, and trusts and generational planning. These sectors constitute the cornerstone of our services, and we ensure that these are complemented by the latest technologies, such as AI,” Jonathan starts off.

AI is quite the buzzword nowadays. But how does Promethean Corporate Services leverage it into successful results for clients? Jonathan explains that many business leaders today acknowledge that AI is fundamental to the success of their organisation. However, all organisations utilising the technology are faced with the same key challenges and are prone to the same core risks, irrespective of the industry or size of the provider. He shares insight about the way artificial intelligence has transformed corporate services in recent years and how Promethean Corporate Services has maximised this evolution.

“We may find ourselves in a situation where, rather than hiring four new associates each year, we bring on only two, because AI covers some of the functions at the basic task level. That said, a firm like ours needs subjectivity and consciousness to make ethical judgements, and an AI model will have challenges determining what is right and wrong in a specific situation. Therefore, rather than a complete replacement of human tasks, firms are implementing a mixed model, with employees working alongside AI technologies to validate and review accuracy of outputs and decisions,” Jonathan explains.

He adds that he expects AI to become a net job creator for professional services companies and all industries, with newly-created positions such as data architects and automation administrators - people who will design and implement AI solutions and test and train models - becoming available. Which is not to say that he doesn’t anticipate any challenges arising out of this new reality.

“Issues will crop up, of course, such as how to integrate human oversight, ensure transparency, mitigate bias and even making sure that the AI Algorithm is working as intended. Fundamentally AI doesn’t possess human-like consciousness, subjective experiences, and the ability to make ethical judgements. But many tasks within professional services firms do require that perspective,” Jonathan explains.

There is also client confidentiality to consider, as any data that is fed to many AI tools becomes an integral part of that database, resulting in potential privacy issues between the firm and its clients. What this means is that firms need to evaluate AI applications and where they can enhance operations.

“With AI strategies in place, there will be more time to spend on value-added activities instead of manual tasks that don’t drive value. And the time to act on AI is now,” Jonathan says, adding that in most cases, technology is not actually the starting point, rather data is.

“In the professional services industry, a few leaders are driving AI innovation with homegrown solutions or early-stage applications, but many firms are still in the planning phase. Promising platforms are on the horizon, and organisations are putting plans in place. The most fundamental step is to make sure one’s data structure and integrity is ready for emerging AI models.”

The topic moves from AI to another major pillar of Promethean’s business - global mobility and citizenship planning. How does the firm address modern challenges through dual citizenship or residence?

“A second passport can eliminate the hassles of continuous visa applications, offering greater travel freedom. In times of political or economic instability, a second citizenship can also provide a much-needed safety net. Other key benefits include access to better healthcare, education, and career opportunities. Entrepreneurs can tap into new markets and enjoy favourable tax regimes which would not be attainable otherwise. When considering these realities, we encourage clients to assess their goals, investment budget, desired speed of citizenship acquisition, and other personal preferences like geographic location and lifestyle considerations,” Jonathan says.

To achieve this, understanding the distinction between residency and citizenship is crucial. Citizens enjoy a permanent status with a full spectrum of rights, including political participation, and can pass on their citizenship to descendants. Residents, on the other hand, often must generally renew their permits and may face certain restrictions in terms of rights and benefits.

“Malta's dual pathway stands out in the Mediterranean, providing two distinct routes to residency and citizenship. Malta offers a blend of benefits, from mobility within the EU and Schengen Zone to business opportunities across the Commonwealth and CARICOM nations. For those seeking a global lifestyle, security, and expanded business opportunities, the Malta programmes represent the pinnacle of investment migration,” he says.

It is a point of pride that Promethean Corporate Services coaches clients in understanding that such initiatives are not merely administrative procedures but represent strategic economic catalysts with far-reaching implications.

“Investments accumulated via these programmes often channel into national development funds, financing critical infrastructure, public services, and developmental projects that benefit the broader populace,” Jonathan asserts.

Funds and investment services operations are another core practice for Promethean Corporate Services, with Malta having long been an established jurisdiction. Jonathan explains that, back in 2016, Malta introduced the Notified AIF (NAIF) regime leading to an increase in the industry’s popularity.

“As more offshore funds choose to move into regulated onshore jurisdictions, Malta is destined to gain momentum of a share of the business looking for an EU domicile. Malta also introduced the Notified Professional Investor Funds (NPIFs) Regime, a fast-track process for below threshold alternative funds/fund managers. Promoters benefit from lower setup, operational, and regulatory costs than fully licensed funds currently are subjected to. Malta is increasingly looking to entice private equity and private credit managers, a segment that traditionally gravitates toward larger jurisdictions.”

Which brings us to Promethean Corporate Service’s plans for 2024 in this regard. The firm, Jonathan says, is looking to focus and further promote value-added enterprises in Malta, whereby client companies are not mere consultancies or holding companies, but actual businesses with physical locations, local employees, and substance. This, he says, has become a key element in Malta, which inevitably increases costs, but also leads to an increase in the quality of what we are attracting in terms of business.

“Malta is growing in popularity as a destination jurisdiction for those individuals who are employed abroad but can be flexible in where they reside. Attracting such individuals is important as it brings key specialisations to Malta, growing the talent pool and subsequently providing a fertile ground for new corporate structuring through Malta. The same goes for the newly introduced Malta Start-up Residence Programme which offers residency to those looking to utilise Malta as a platform for European and International expansion. By combining the natural allure of Malta and the desire for Malta/EU Residence with attractive mobility schemes, Promethean looks to capitalise on these elements by providing both mobility services and dovetailing these services with those of corporate structuring and effective tax planning.”

Other key areas for 2024 include investments in biotech, DLT, data solutions and security, with the firm providing relevant ancillary services and a greater focus on data protection, civil litigation and impact consulting. Finally, the drive towards a solid AI ecosystem and a support system for increased adoption in both the public and private sectors is also expected to continue playing a substantial role in the services offered.

“Technological developments are allowing corporate services and legal providers to adopt such solutions and optimise their productivity. We have duly implemented such new systems and platforms that have helped us increase our performance, facilitate client acceptance and offer a much faster and more streamlined service,” Jonathan concludes.