Frequently Asked Questions

How much will you advance?  We can advance anywhere from $100,000 to $25 Million, depending on the underlying value of the case(s) submitted by your Firm; and, depending also upon the creditworthiness of the principal(s) of your law firm.

What are the Qualification Requirements? 

1.  The law firm must be a Partnership, LLC, or Corp.  We cannot fund Sole Proprietor firms. 

2.  The case portfolio must have anticipated contingency fees in excess of 5X the advance amount.  Example: A $100,000 advance will require the firm to pledge a case portfolio having total anticipated contingency fees of $500,000 or more, to secure a $100,000 advance. 

3.  If approved, we require any existing credit lines to be paid off with our credit line.  Our lien must be in first position.

What documents are required? We look at cases the same way you do: we evaluate liability, damages and the defendants' ability to pay. In addition, we will require copies of your Law Firm's retainer and/or referral agreements. In the case of Recourse Advances, we will also require detailed financial statements from both the law firm and the partners of that firm guaranteeing the Advance.

What are the advantages of a Non-Recourse Advance? A non-recourse advance frees up your Law Firm's capital that would otherwise be tied up in case costs. In addition, by using non-recourse advances, you protect your personal and business assets because you do not pledge those to us. Your Firm can use our funds for any purpose whatsoever: Case Development Costs such as Expert Witnesses; Advertising; or any Other Expenses to help expand your Law Firm's practice.

In addition, we do not require any monthly interest or principal payments on these advances, since repayment of these advances are entirely contingent upon the successful resolution of the cases securing the advance. In this way, we are able to help you even out your firm's precious cash flows. Finally, many states allow Law Firms to pass on to clients a portion of the fees paid by the Law Firm related to the advance, significantly reducing the cost to the law firm of such advances.

What are the advantages of a Partial or a Full Recourse Advance? A Full Recourse Advances can provide significantly greater funding to your firm because we evaluate your cases and advance funds against expected contingency fees. Recourse and Partial Recourse financings are generally structured when a law firm has a need for $1MM or more in financing, and is able to make monthly interest payments on its borrowings. In these situations, because we take a pledge of collateral and in addition receive personal guarantees from the law firm's lawyers, the risk on such advances is lower and we are therefore able to offer lower financing rates.

Can I get a bank loan? If your Law Firm qualifies for a bank loan, we encourage you to consider the loan carefully since our funding rates are typically higher than a bank's. However, most banks do not have the expertise to lend against cases because they have no idea how to value them. In addition, they will virtually always require personal guarantees and a pledge of all the assets of the Law Firm.

Whether we structure Recourse or a Non-Recourse Advance for you, our primary program benefit is that we evaluate and advance funds against the Law Firm's primary assets: the contingency fees and costs due from pending cases-leading to significantly greater funding for your law firm. In addition, in the case of a non-recourse advance, there are no monthly interest or principal payments, and the advance is only repaid if there is a recovery on the case (s) pledged to us.

Do I need to make monthly payments? In the case of a Non-Recourse Advance, the answer is No. The full amount of the advance plus fees are owed at the time of a successful resolution of the case (s) pledged to us as collateral. In the case of a full or a partial Recourse Transaction, the answer is Yes.

Why should I choose LawsuitCash.com? We can provide you with significantly greater funding than traditional lenders. We offer excellent and timely service, and can provide you with many references from satisfied law firms around the country. Let us solve your financing problems so that you can do what you do best: bring in cases and see them through to their best conclusion. In the case of Non-Recourse Financings, we will provide your Law Firm with working capital without tying up all of your cases, and without putting your partner's personal assets at risk.

Will you be involved in my firm's cases? No. We have no involvement in the management and decisions regarding your Law Firm's cases.

How do I apply? Simply fill out the Inquiry Form and one of our attorney funding specialist shall contact you or contact us toll free at 1.877.721.2274.

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