Law Firm Financing: Overview
BridgePoint offers a range of specialized financing solutions designed to meet the unique funding needs of contingency fee-based legal practices.
Drawing from our management team’s background in both law and investment banking, combined with our experience to date, financing law firms of all sizes across Canada, BridgePoint can quickly assess the inherent value of any law firms’ active contingency files – individually or as a portfolio – as the basis for our lending decisions.
Our lending methodology differs from that of banks and other traditional lenders, which fail to recognize the value of a law firm’s “work-in-progress”. We believe this to be a firm’s most valuable asset, and our loans are secured solely by future revenues generated from the realization of legal fees and disbursement recoveries – not lawyers’ personal assets.
KEY BENEFITS
Our loans enable our law firm borrowers to:
- Expand the size of their practice without sacrificing the quality of investments
made in each case; - Maximize the value of their clients' claims by accessing the highest quality experts
in a timely manner; - Generate a more stable and consistent source of cash flow to manage the peaks
and troughs in file settlement activity; - Match their cash flows by aligning debt servicing payments with file
settlement activity; - Maximize after tax profitability by enabling the deduction of financing costs in addition to the deduction of disbursements for tax purposes; and
- Offer lawyers greater flexibility to draw greater funds from their practices and realize on the value that they have created over time.
Click here to learn more about the Standard Features of our Law Firm Financing Programme.