Litigation Finance for Private Equity & Venture Capital
Capital allocation constraints in private equity, venture capital and corporate venturing can leave valuable commercial claims unfunded in portfolio companies.
Use our litigation funding advisory to de-risk the litigation and our team’s expertise to boost your litigation strategy, all the while protecting capital ratios and eliminating “above the line” litigation expenses.
5 benefits of litigation funding for PE & VC portfolio companies
1. LITIGATION WITHOUT THE FINANCIAL RISK:-
Our funders meet the costs of litigation on behalf of the portfolio company on a non-recourse basis, including After-The-Event insurance premiums to cover adverse costs, eliminating the financial risk of pursuing commercial claims.
2. OVERCOME CAPITAL ALLOCATION CONSTRAINTS:-
Use this non-recourse finance to pay the legal costs, and keep your equity investment focused on delivering the portfolio company’s business plan. Such finance leaves capital ratios intact.
3. INDEPENDENT STRATEGIC SUPPORT:-
We are more than just capital advisors. We are a team of experienced litigators. We can provide valuable independent views on strategy.
4. FAVOURABLE ACCOUNTING TREATMENT:-
Such funding eliminates recurring external litigation costs, increasing underlying earnings/profits/bottom-line which may support a higher exit valuation.
5. SIMPLIFIED M&A:-
Transfer external litigation costs to litigation funders instead of the buyer, simplifying disclosures and the negotiation of related warranties. The buyer acquires a target with a potential monetary or strategic windfall if the litigation is successful, without inheriting any cash cost.
Why Private Equity & Venture Capital firms choose us
NON-RECOURSE FINANCE:-
Such finance is provided on a non-recourse basis – if the claim is unsuccessful, you owe nothing. The capital can be used to fund litigation or support business operations. Either way, capital ratios are left intact.
TAILORED SOLUTIONS ON FLEXIBLE TERMS:-
We provide advisory on finance tailored to the business’ needs. We can help raise funds for all or part of the fees or fund the ATE insurance premium or deed of indemnity.
LITIGATION WITHOUT THE FINANCIAL RISK:-
Litigation finance solutions can eliminate the downside of pursuing commercial claims.
LEVEL UP AGAINST YOUR OPPONENTS:-
Litigation capital and our strategic expertise restores the balance, promoting earlier settlements based on merits.
PARTNERSHIPS WITH LEADING LAW FIRMS:-
We have strong relationships with leading law firms and lower cost boutiques to fit the case if required.
INDEPENDENT CASE SUPPORT:-
We are a team of experienced litigators. When requested to do so, we can provide valuable independent advice on strategy.