Post Settlement Funding For Attorneys
Attorney Post settlement funding is for law firms of all sizes. Once a legal case concludes, post settlement funding provides attorneys with an opportunity to get access to some of their attorneys fees right away by taking out an advance on the attorneys fees they are owed from a settlement for a fee.
Once a case settles or concludes and a judgment award is forthcoming, the contingency fees attorneys are owed can be sold to a third party litigation finance company like Balanced Bridge Funding. This allows the law firm to get access to their funds right away to pay bills, take on new customers, or expand into new law firm practice areas. Whatever the funds are used for, using Post Settlement Funding for attorneys allows easy and quick access to money you are owed rather than waiting for the defendant to pay you.
Balanced Bridge Funding specializes in post settlement funding for attorneys. Our approval process is simple and discreet.
What is Post Settlement Funding For Attorneys?
Post Settlement Funding for attorneys is a financial vehicle which allows a lawyer to get some of the contingency fees they are owed right away by selling what they are owed to a finance company at a discounted rate. This allows attorneys immediate access to the contingency fees they are owed instead of waiting for defendants to pay which can often take months.
To learn more about Attorney Post Settlement Funding, please check out our Blog post on Post Settlement Funding for Plaintiff Attorneys.
Why Do Lawyers Use Post Settlement Funding?
Reason #1: Take on New clients
Attorneys use Post Settlement funding to take on new clients – Lawyers often struggle with taking on new clients and cases because it is expensive, time-consuming work that could result in the firm struggling financially. Every new client a law firm takes on creates more work, which often means more expenses. If you are already short on cash to pay bills, it makes it harder to imagine taking on new clients, even if the payout “down the road” could be huge.
By taking out a post settlement funding advance, attorneys can keep cash in the bank, which they can then use to take on larger clientele or more projects than they would otherwise. T
Reason #2: Growth
The second main reason lawyers use post settlement funding is growth. Law firms are no different than any other business in that they need to grow and expand. Time spent waiting on money is lost time and may mean missed opportunities or taking longer to get to your goals. By using post settlement funding, attorneys gain access to their contingency fees faster, enabling them to continue growing their law practice.
Reason #3: Managing Cash Flow
The third main reason lawyers use post settlement funding is to help manage cash flow problems. It can take a long time to go through the legal process and then often, attorneys must wait for defendants to pay their contingency fees. Using post settlement funding helps attorneys get access to the funds they are owed which helps reduce cash flow struggles.
If you’d like to learn more about cash flow problems for law firms please read our blog post Cash Flow 101 for Law Firm.
How Does Attorney Post Settlement Funding Work?
Infographic – How Post Settlement Funding for Attorneys Works
Steps in the Post Settlement Funding Process
- Attorney has settlement in a case but will experience some delay before their contingency fee is distributed to them.
- Attorney applies for a post-settlement advance with Balanced Bridge Funding.
- Balanced Bridge examines the case. A determination is made on how much of the fee Balanced Bridge will purchase and how much will be advanced to the attorney.
- Balanced Bridge discusses the funding terms with the attorney and provides them with the agreement to review and sign.
- Once that is all completed, Balanced Bridge wires the advance directly to a bank account specified by the attorney.
This process is often completed in a day or two but can take longer. Once the fee is distributed, Balanced Bridge is sent its portion of the fee.
Is Post Settlement Funding a Loan?
Post Settlement Funding is NOT a Loan.
Although Post Settlement Funding is often referred to as a loan for lawyers, or settlement advances for lawyers, it is not a loan. Instead, the finance company is purchasing your pending attorneys fees from you and then they get their money from the attorney of record handling the distribution of funds from the case. The terms might seem semantical, but they matter.
Some states have passed bills just to specify that Attorney Post Settlement Funding does not in any way meet the criteria of a loan and cannot be called a loan. Example: In 2020, Utah passed HB 312 which specifically states post settlement funding does not meet the definition of a loan or credit.
Unlike a loan, attorney post settlement funding does not have monthly or interim payments to a lender. When your case finally pays out, your obligor pays Balanced Bridge Funding directly.
More About Post Settlement Funding From Balanced Bridge Funding
Does Balanced Bridge Funding offer Pre-Settlement Funding as well as Post Settlement Funding?
Balanced Bridge does not offer pre-settlement funding solutions for Attorneys at this time. We do offer post settlement funding; meaning, once your case has settled or concluded, and you are owed attorneys fees, we can offer you a settlement advance (if you qualify). But no, we do not offer pre-settlement funding options at this time.
Post Settlement Funding is a Non-Recourse Transaction
What if a defendant can’t pay – do I have to pay back my post settlement funding advance?
No, you do not. Post settlement funding is a non-recourse transaction. This means you don’t need to worry about what might happen if the defendant suddenly can’t pay your contingency fees — we accept all risk of non-payment, meaning that you will still get to keep the money from your settlement advance if the defendant goes bankrupt or is unable to pay for whatever reason.
Fast, Hassle Free Post Settlement Funding Application
In most cases, we can get your money in your hands in one week or less. Our application is simple, straightforward, and easy to complete. Remember, this isn’t a loan, so there isn’t as much paperwork to go through. In most cases, we can approve your application and have your money deposited into your checking account in a matter of days.
Get Your Contingency Fees Fast – Call Balanced Bridge Funding
Attorney Post Settlement Funding specialists at 267-457-4540.
Or to apply online, simply CLICK HERE and fill out our quick form application.