How banks look at a practice
Banks typically underwrite a practice’s financial statements, collateral, credit history and cash flow. A practice with a lot of revenue tied up in unsettled injury cases can look weaker on paper than it really is, because those balances are real but not yet paid.
How receivables funding looks at it
Receivables funding looks at the receivables themselves: the cases, the documentation and the attorneys behind them. That makes it a different kind of review, and one that suits a practice whose strength is in what it is owed.
Things to compare
No one answer fits every practice. Compare on these points:
- What the lender or funder is evaluating
- What is pledged or sold, and what is required if a case does not settle
- How fees and costs are charged
- How long the process takes and what documents are needed
- Whether you are comfortable with the agreement after your advisor reviews it
Talk it through
If you are weighing options, we are glad to explain how funding would work for your practice. Request a review. This page is general information, not financial advice.
This page is general information, not legal, tax or financial advice. Any funding is subject to review and a written agreement.