LITIGATION FUNDING Risk-free capital, letting you focus on business

When your company lacks access to much-needed capital, it leads to a distracting, ineffective balancing act that separates your company or firm from the real core of its business.

Litigation funding offers law firms and commercial plaintiffs access to the capital they need without the risk of repayment if the case is lost. This non-recourse financing is used by law firms to offer contingency fee arrangements to clients without taking on the risk and expense of a loan from a bank. Litigation funding specialist firm Pravati Capital takes a unique approach to provide commercial plaintiffs and law firms with the bridge capital necessary to continue focusing on their business, cultivating client relationships and covering operating costs.

BENEFITS TO LAW FIRMS
With settlements and court cases taking months or years to finalize, law firms often find themselves in the unenviable position of needing capital. Litigation funding can bridge the distance between the time your firm files a complaint and receives a settlement. But it can do more than that. Litigation funding can help your firm with a variety of expenses, including:

• Offering flexible payment arrangements to clients
• Minimizing financial risk and spend
• Taking litigation expenses off the budget sheet
• Boosting marketing efforts
• Moving into lucrative practice areas while maintaining revenue-per-partner
• Acquiring smaller firms and/or expanding into new markets

Fighting a high-profile, precedent-setting case? Need immediate capital to expand the practice? Litigation finance can be used as a safety net to secure the practice’s future, as an interim measure that turns full-contingency matters into hybrid issues, or as a way to quickly ramp up business.

Twenty-eight percent of lawyers surveyed had relied on litigation finance to help fund cases.

– New Yorker, 2016

BENEFITS TO COMMERCIAL PLAINTIFFS

The capital infusion opportunities offered through litigation funding allow commercial plaintiffs greater
access to financial support than many of them can secure through traditional banking channels. The terms
drafted by our underwriters are flexible and customizable to a company’s specific needs. Our non-recourse
cash advances can help companies hold out for a larger settlement and continue to grow even while waiting
for settlements. Litigation funding for commercial plaintiffs can be used for:

• Securing expert litigators
• Managing litigation costs on the balance sheet
• Unlocking liquidity for ongoing working capital
• Reducing the likelihood and risk of premature settlement
• Financing all litigation expenses
• Growing the business while fighting against specious claims

Fighting intellectual property infringement? Working through contract disputes? Protecting trade secrets?
No matter what cases your company is fighting, litigation finance is your gateway to continuing business
operations and controlling the narrative of your financial reporting.

[Litigation financing is] a David-and-Goliath dynamic, a way to win otherwise unwinnable wars.

– Richard Levick, Forbes 2019

PRAVAT CAPITAL Litigation finance leaders
At Pravati Capital, the key to our success is in identifying cases that we know have a great chance at winning. We invest in cases that our team of expert underwriters identifies as having a high probability of success. Our investment consists of a non-recourse cash advance or line of credit against the anticipated settlement. As leaders in the litigation funding field, we’re proud of the partnerships we’ve created and the law firms and businesses we’ve empowered. We’re constantly looking for ways to help strengthen law practices and businesses and ensure success for their clients. If litigation funding isn’t right for your situation, recourse funding may be a better fit. Contact us today to learn more about our capital offerings.

The pursuit of social justice remains a sub-theme here, an important part of how the financiers see their role in the world.

– Richard Levick, Forbes 2019

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