Portfolio Financing

Portfolio finance solutions to sustain your law firm's growth.

Portfolio finance from Baker Street Funding is a valuable resource for litigation portfolio. Get strategic financing with simple interest rates, and certainty of execution. Meet your law firm’s needs and gain the flexibility to capitalize on growth opportunities with customized non-recourse funding solutions. Enhance your liquidity and use the capital for a broad range of purposes. We, like you, are in this relationship for the long term.

Portfolio litigation funding

With the global economic slump, law firms are under increased pressure to accomplish more with less for their existing clients and compete for new business in highly important disciplines such as litigation and bankruptcy. In this new normal, investment in litigation portfolios is a critical instrument for law firms, allowing them to offer their present clients inventive pricing alternatives as well as the resources to engage in profitable development prospects.

What is portfolio finance?

Portfolio finance is a type of financing related to utilizing leverage on a pool of cases in order to realize a portion of those future fees immediately. Apart from single-case finance, which involves a litigation finance company working with a client to pay a portion of all fees and expenses associated with a single case, investments for portfolio funding allow law firms to continue to be paid partially by the hour while focusing on ongoing growth and success. Capital is often supplied on a non-recourse basis, which means we bear the risk of loss and only receive a return if the transaction is successful.

How does portfolio financing work.

Once approved, our team will work with you to monitor the progress of the underlying cases, manage adjustments based on recovery and recoup the investment return. Please note that we do not control or influence litigation strategy or recovery in any way.

step 1 for funding

Submit your case

After submission and acceptance of the application, the party looking for funding will sign a non-disclosure agreement (NDA) with Baker Street Legal Funding.

step 2 funding

Pre-qualify

Then, the law firm and Baker Street Funding will develop a set of parameters (matters relating to a specific practice area, cases of a certain size, matters from a specific office). Then you will submit the portfolio of cases for consideration.

step 3 for funding

Evaluation

We will then work through a due diligence process with a focus on the underlying cases securing the portfolio.

step 4 for funding

Get capital

If the opportunity fits within our investment mandate, we will prepare a term sheet and execute a financing agreement. Once that agreement is signed, the capital will be deployed directly to you.

How it can work for you.

Portfolio financing lets you obtain capital while avoiding unnecessary risk. You can use a litigation portfolio arrangement’s funds in a variety of ways, and it isn’t limited to paying attorneys’ fees or covering the immediate costs and expenditures of the underlying conflicts. At Baker Street Funding, we regularly accommodate law firms that are new to this financing solution, along with those with higher leverage. We may arrange solutions if your legal practice requires an emergency capital injection or wants to level out revenue.

Litigation funding law firms

Finance operating costs

Portfolio financing works like any other form of corporate capital. Use it to support law firm operations, and get stability in unpredictable times.

Create new ventures

Legal finance for portfolios allows law firms to approach prospective and current clients with attractive fee agreements without having to individually negotiate the conditions of each issue. Competition is identified by more than half of attorneys as a serious business problem. This is especially true in times of economic uncertainty when clients want their companies to accomplish more with less.

Litigation advance
Portfolio litigation funding

Get partners ready for success

Even in a downturn, legal finance may provide developing partners with the resources they need to secure internal clearance and pursue solid cases.

Move to new billing structures

Move to new billing structures without raising risk exposure, whether you want to actively pursue additional cases on a contingent basis or satisfy specific clients' chosen fee structures.

Portfolio finance for law firms
Law firm portfolio finance

Compensate managing partners

Legal finance assists businesses in addressing the persistent difficulty of compensating partners who work on multi-year contingency situations without affecting other firm partners.

Best-in-class financing options for litigation portfolio.

Monetization

Portfolio monetization can provide a substantial amount of up front capital to law firms to help cover legal expenses, operating costs or expansion costs by collateralizing your future receivables.

Risk-share

Funding for risk share portfolios allow law firms to expand their current portfolios or for corporate plaintiffs looking to pursue additional recoveries. These portfolios consist of a number of large cases and the capital is used to pay fees and expenses as they occur.

Expense only

Financing for expense only portfolios help cover the financial cost of litigation. Law firms take a large amount of risk with contingency based fees and sometimes look to hedge the risk posed by case expenses. This type of portfolio helps alleviate the cash flow issue that many firms face.

Explore our financing solutions and capitalize on growth opportunities.

With Baker Street Funding, our sophisticated financing agreements are built to match the demands of your law firm’s daily operational and long-term objectives. Our extensive expertise helps assess the right solution for your current needs. To that aim, we play an important role in the expansion ambitions of top US law firms. Let us invest in your portfolio of cases and increase profitability and realization rate for the whole litigation practice. Solve complex challenges from opposing parties, fierce competition to domestic and international growth.

FAQ.

Investment in a portfolio of cases for law firms is on the increase in both old and new markets, and it will continue to play an important role in the legal finance industry’s expansion. This financing option allows you to decrease your own business risk and take on more cases without raising your overall exposure. It is becoming a more strong force in the legal services industry as more and more law firms recognize that getting non-recourse finance might boost their prospects in court.

Portfolio financing is now becoming more popular among law firms. However, many attorneys are still unaware of how it may assist their firms.

This type of financing enables law firms and businesses to group several cases under a single funding deal. Baker Street Funding normally provides capital on a non-recourse basis. We accept the investment risks and only profit if the litigation is successfully resolved.

Cross-collateralization often decreases the cost of capital, and the portfolio can contain a mix of claims and defense proceedings. Portfolio-based financing arrangements help law firms fund high-value recovery projects while also providing a powerful tool for developing new business sectors and pitching and winning new business.

Since our investment is in the law firm rather than the cases, you can use the capital for litigation-related costs or monetize a litigation value.

Some examples of how clients use the funds include larger strategic goals, employing competent lawyers, moving into new markets, making expansions, or addressing fixed fee overruns.

Portfolios often comprise a combination of high- and low-risk cases, as well as matters from other practice areas and defense matters. The good news is that the risk to investments is decreased since portfolios are cross-collateralized, meaning each case acts as collateral for the others in the portfolio. As a result, capital costs are often cheaper than when it is given on a case-by-case basis.

You will be looking at a non-recourse loan for a 1.5% to 2% simple rate per month.

Select a legal funding service to get started. 

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Litigation Funding

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Settled Case Loans

Surgery Funding

Or just call us at 888.711.3599 to apply.