As the country’s phased lockdown puts a myriad industries under financial strain as they are unable to head back to the workplace, financing specialists Taurus Capital has created a funding resource for local law firms.
The money that has been pooled together amounts to R300 million, with it designed to assist with current delays and limitations at the courts, deeds office, Road Accident Fund and other legal bodies, the organisation says.
“We understand the inner workings of all types of law firms because our business was built on an appreciation of the commercial intricacies applicable to this sector. This allows us to consider value which traditional lenders overlook. Our solutions are tailored to each firm’s needs, with facilities from R250 000 to R30 million available to firms ranging in size from boutique to large multi-partner firms,” Taurus Capital, Elad Smadja, explains.
“While our funding provides working capital to sustain a law firm during periods of economic contraction, it is also used to cover acquisition and disbursement costs to take on matters. Funding allows firms to pursue growth opportunities for expansion and succession or to meet seasonal requirements like tax and bonuses,” he adds.
Taurus says law firms can apply for funding when needed to deal with any sort of uncertainty that springs up under current conditions, adding that its resource will work much like a pre-approved bond would for property buyers.
The organisation adds that capital can be secured within 24 hours of a signed loan agreement, also noting that it is a non-binding funding solution that legal practices can use, and pay for, only if required.
“In contrast to standardised approaches to funding, we appreciate the unpredictable, lengthy and illiquid nature of these legal businesses on account of our exclusive focus on this sector. The way we see it, we enter into long-term partnerships with our clients that usually extends well beyond the provision of finance,” concludes Smadja.
To find out more about the funding pool, head here.[Image – Photo by Bill Oxford on Unsplash]