Attorney Funding for Law Firms: Non-Recourse Litigation Finance
Attorney funding provides contingency-fee law firms with immediate capital based on pending settlements and trial outcomes. This is firm-level financing, not client funding. Unlike traditional business loans, this litigation finance is non-recourse. Your firm repays only if the case resolves successfully. If the case does not result in a recovery, you owe nothing.
This non-recourse attorney funding helps plaintiffs’ attorneys manage cash flow during long contingency cases. Firms use these funds for case costs, expert witness fees, payroll, and operational expenses while waiting for settlements to close. ECO Pre-Settlement Funding has provided law firm litigation finance nationwide since 2014. Call 800-961-8924 to discuss your firm’s funding needs.
What Attorney Funding Is and What It Is Not
Attorney litigation funding is an advance on your expected attorney fees from pending cases. It is not a loan in the traditional sense. Your firm does not make monthly payments. You do not provide personal guarantees. The funding company advances capital and receives repayment only from case proceeds.
This differs from plaintiff funding, which provides cash directly to injured parties. Attorney funding goes to the law firm, not the client. It also differs from law firm lines of credit, which require monthly payments regardless of case outcomes.
Approval depends on the strength of your pending cases, not your firm’s credit score. Underwriters review case details, settlement demand, liability, and expected resolution timeline. If the case appears likely to settle or result in a favorable verdict, your firm qualifies for funding.
Why Law Firms Use Attorney Funding
Contingency fee practices face unique financial challenges. Cases often take months or years to resolve. During this time, firms must pay for depositions, medical record retrieval, expert reports, and other case preparation costs. Staff salaries and office overhead continue regardless of when cases settle.
Attorney funding addresses these cash flow gaps. Your firm receives capital immediately instead of waiting for case resolution. This allows you to:
- Accept more cases without worrying about upfront costs
- Hire expert witnesses who strengthen case value
- Continue operations during settlement delays
- Negotiate from a position of strength rather than financial pressure
- Expand marketing efforts to grow your practice
Many firms use this financing strategically. Rather than settling cases early due to financial strain, attorneys can wait for better settlement offers. This often results in higher case values that offset the cost of funding.
How Attorney Funding Works
The application process takes less than one week in most cases. Here is how it works:
Step 1: Submit Application
Call 800-961-8924 or complete our online application. Provide basic information about your firm and the cases you want to fund.
Step 2: Case Review
Our team reviews case summaries, fee agreements, demand letters, and other documentation. We assess liability, damages, and expected settlement value. This review typically takes 2-3 business days.
Step 3: Funding Offer
If your cases qualify, we extend a funding offer. This includes the advance amount, repayment terms, and cost structure. You review the agreement with no obligation to proceed.
Step 4: Documentation and Funding
Once you sign the agreement, we wire funds to your firm’s operating account. Most transfers complete within 24-48 hours. You can use the capital immediately for any business purpose.
We require minimal documentation compared to bank loans. No business plans, tax returns, or financial projections. The focus stays on case strength, not firm credit history.
Types of Cases We Fund
Law firms across multiple practice areas use attorney funding. The following case types commonly qualify:
Personal Injury Cases
Car accidents, slip and fall claims, premises liability, and medical malpractice cases. These cases often involve significant medical treatment and extended settlement negotiations. Funding helps cover expert medical reviews and deposition costs.
Wrongful Death and Catastrophic Injury
Cases involving fatal accidents or permanent injuries require extensive investigation and expert testimony. Funding allows your firm to build the strongest possible case without financial constraints.
Mass Torts and Product Liability
Large-scale litigation involving defective products, pharmaceuticals, or medical devices. These cases demand significant upfront investment in research, medical experts, and document review. Attorney funding provides the capital needed to pursue these complex claims.
Class Action Lawsuits
Class actions often take years to reach settlement or trial. Funding helps your firm maintain operations during extended litigation without depleting working capital.
Commercial Litigation
Business disputes, contract claims, and intellectual property cases. These matters involve substantial discovery costs and expert witness fees. Funding ensures you can pursue cases thoroughly regardless of their duration.
Cases must show clear liability and substantial damages. Frivolous claims or cases with weak liability do not qualify. Our underwriting team evaluates each case individually based on its specific facts and circumstances.
Costs, Risk, and Repayment Terms
Attorney funding costs more than traditional bank loans because of the non-recourse structure. If your case does not result in a recovery, the funding company absorbs the entire loss. This risk affects pricing.
Rates vary based on case type, expected timeline, and funding amount. Most agreements charge a fixed percentage that accrues over time. The longer the case takes to resolve, the higher the total repayment amount becomes. All costs are disclosed upfront in writing before you sign any agreement.
Repayment Source
Repayment comes directly from case proceeds when the matter settles or results in a verdict. Your firm does not make monthly payments. You do not use personal or business assets to repay the advance. The funding agreement remains tied solely to the funded case.
Risk Profile
Because this is non-recourse financing, your firm faces limited downside risk. If the case concludes without a recovery, you owe nothing. Your personal assets, home, and other cases remain protected. This structure makes attorney funding safer than personal guarantees or traditional business debt.
Fee Agreement Considerations
Your client fee agreement must allow for litigation finance. Most contingency agreements include language permitting attorneys to assign fees or use litigation funding. Review your fee contracts to ensure compliance with state bar rules before applying.
Why Attorneys Choose ECO Pre-Settlement Funding
ECO Pre-Settlement Funding has worked with law firms nationwide since 2014. We understand contingency practice challenges because we speak with attorneys daily. Our team includes former legal professionals who review cases from a practitioner perspective.
Fast Underwriting Process
Most applications receive a decision within 3-5 business days. We do not require extensive financial documentation or lengthy approval processes. Our focus remains on case evaluation, not bureaucratic procedures.
Transparent Terms
We provide clear, written funding agreements before you commit. No hidden fees or surprise charges. You know exactly what repayment will cost at different settlement values before signing.
Flexible Use of Funds
Once funded, your firm controls how to deploy the capital. Use it for case costs, payroll, marketing, technology upgrades, or any other business need. We do not dictate fund usage or require spending reports.
Attorney-to-Attorney Communication
Our team understands legal terminology and court procedures. You speak with people who understand discovery disputes, Daubert motions, and settlement conferences. This makes communication efficient and reduces friction during the funding process.
Competitive Pricing Structure
We offer rates aligned with industry standards for non-recourse litigation finance. While not cheap, our pricing reflects the risk we assume when funding contingency cases. We work to structure terms that make financial sense for your practice.
Frequently Asked Questions About Attorney Funding
Does attorney funding affect my relationship with clients?
No. Attorney funding is between your firm and the funding company. Your client relationship remains unchanged. The funding agreement does not involve your clients or alter your fee arrangement with them. You maintain complete control over case strategy and settlement decisions.
What happens if my case settles for less than expected?
You repay the funding company from the settlement proceeds based on your agreement terms. If the settlement amount does not cover the full repayment, the shortfall depends on your specific contract structure. In true non-recourse arrangements, you owe only what the case produces. Review your agreement carefully to understand the repayment calculation.
Can I get attorney funding if my firm has no credit history?
Yes. Approval depends on case strength, not firm creditworthiness. We review liability, damages, insurance coverage, and expected resolution value. Startups and established firms qualify equally if their cases meet underwriting standards.
How quickly can my firm receive funding after approval?
Most firms receive funds within 24-48 hours after signing the agreement. Wire transfers typically process within one business day. The timeline from application to funding averages 5-7 business days, depending on how quickly you provide case documentation.
Request a Case Evaluation
If your law firm needs immediate capital to handle case costs or maintain operations during settlement delays, attorney funding may help. The evaluation process takes less than one week to complete. Our team reviews submissions quickly and provides honest assessments about whether your cases qualify for funding.
Call 800-961-8924 to speak with a funding specialist. Or complete our online application to receive a case evaluation within 48 hours. We handle inquiries confidentially and provide clear guidance on next steps.
ECO Pre-Settlement Funding works with solo practitioners, small firms, and large practices. Whether you need $25,000 or $500,000, we structure funding to match your firm’s specific situation. Reach out to explore your options.