Litigation Funding for Businesses
Westfleet Advisors assists with commercial litigation financing that is tailored to address your business needs. Through our extensive relationships and expertise, we enable your team to access the entire commercial litigation finance market from a single source. We manage the process of arranging litigation funding solutions while your executives focus on running the business.
What Is Commercial Litigation Finance?
Commercial litigation finance is a specialized type of financing that allows you to unlock the value of pending legal claims and generate liquidity to pay for the assertion or defense of the claims or for working capital purposes unrelated to the claims. Unlike other forms of financing, commercial litigation funding is only repaid upon a successful outcome of the underlying claim. This unique feature presents a variety of opportunities for your business.
Litigation is bad for business. Its expense and unpredictability present serious financial management challenges, and corporate legal departments are under increasing pressure to do more with less.
Facing major litigation expenditures, whether on the plaintiff or defense side, your business is confronted with the proposition of investing in a litigation outcome. How much capital should be allocated? What outcome can be expected? What is the anticipated return on investment? The expertise to answer these questions with confidence often lies outside a business’ core competency. Unfortunately, the uncertainty can result in decisions to forego pursuit of meritorious claims or to pay quick settlements to resolve weak claims.
Commercial litigation finance enables you to minimize the negative financial impact of litigation, providing greater capacity to monetize valuable legal claims and to defend those lacking merit. Use corporate litigation funding as a tool to defer legal expenditures to a successful resolution of a claim, essentially tying the amount of litigation expenditures to your satisfaction with litigation outcomes. Equipped with litigation funding solutions, you have additional options to increase profits, manage risks, and maximize shareholder value.
Corporate litigation financing offers many of the same financial benefits as a contingent fee engagement with a law firm, such as:
- Preservation of capital
- Reduction of budgetary pressures
- Increased P&L predictability
- Mitigation of litigation outcome risk
- Expanded options for working with preferred law firm
Litigation finance may be used for a variety of purposes, and each transaction is individually negotiated and customized. Click here to learn more about how commercial litigation financing can work for your business.