When Commercial Lawsuit Funding Makes Sense

Commercial lawsuit funding is not for every business that is involved in commercial litigation. However, it may make sense for your business.
  • You Need Assistance with Cash Flow: A non-recourse commercial lawsuit advances provides an injection of cash into your business that does not have to be paid back out of your cash flow. You pay back the advance from the proceeds of your lawsuit settlement, and only if you win your case!
  • You Are Struggling to Keep Your Business Open: Some businesses in commercial litigation are forced to close their doors. As you know, losing your customer base and your employees will make it virtually impossible to restart your business once you win your lawsuit. Commercial lawsuit funding will allow your business to keep its doors open while your case works its way through the court system.
  • You Need Flexible Use of the Money: You can use your lawsuit funding proceeds any way you see fit. The cash can be used to cover overhead or payroll, or to purchase inventory or pay past-due obligations. The money is yours and there are no restrictions on how you spend it.
  • You Want to Negotiate from a Position of Strength: Commercial litigation is often a David­versus­Goliath proposition. A well-funded defendant can easily intimidate a smaller plaintiff. Also, the defendant will very likely make you a low-ball offer, hoping you need the cash, you will accept it, and they can avoid the larger settlement that would result from prolonged litigation.
  • You Want to Avoid Putting Personal Funds into the Business: Many business owners involved in commercial litigation are forced to put their own money into the business to keep it operational, and that can have both financial and tax consequences. Commercial litigation financing can avoid endangering your own finances to keep your business going.
  • The Bank Has Turned You Down: There is some truth in the old adage that banks only lend money to those who do not need it. If you cannot secure conventional bank financing, you can still apply for commercial lawsuit financing because the funding decision is not based on your business's creditworthiness, but on the value of your lawsuit!
  • You Used Up Your Credit Line: If you are maxed out at the bank, commercial lawsuit funding may be your only financing option until your cash flow and debt-to-equity positions improve.
  • You Want to Preserve Your Credit Line: You may want to use commercial lawsuit funding so you can keep a line of credit for emergencies or as a revolving source of cash that you draw upon and then pay down as your cash position fluctuates.

There are no application fees, and once you apply for funding, you are under no immediate obligation to LawMax. Once an Underwriter has reviewed your application, he will let you know if there will be any underwriting fees involved in evaluating your funding request. At that point, you can determine how you want to proceed.

Apply on-line or call LawMax at 1-877-253-5531 and apply over the phone.


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