Professional loan gives a law firm funds to grow
Many businesses want to grow and develop, preferably without spending too much of their hard-earned cash. Even businesses with substantial liquid resources available to them need to seek out funding options from time to time, in order to even-out cash flow.
In August this year we had the opportunity to provide such a facility for a large and well-established law firm that specialises in personal injury, clinical negligence and commercial litigation claims. Despite having ample cash resources, their ability to grow was somewhat constrained by the availability of cash to acquire new long term case work. The long-term nature of these cases and a cash-collection cycle varying from 3 to 24 months means that maintaining a reserve of capital to mitigate any shortfalls is essential. United Trust Bank were able to assist with providing a loan specifically for the acquisition and disbursement costs of new cases that will be recouped over the next one to two years, which in turn allowed the firm to keep some of their existing capital in reserve.
The firm has a proven track record of delivering strong fees on the back of this type of case work, and with the supporting financial information, we were able to provide a loan approval for a sum that will support their future growth.
Loan: £220k over 24 months