Our solutions
Disbursement Funding
Disbursement funding is a form of litigation funding that preserves your firm's cash flow for business growth, by carrying the outlays generated by open personal injury matters run on a no win no fee basis.
How can Disbursement Funding work for your business?
Law firms that offer no win no fee agreements on personal injury matters carry substantial outlays in the form of unbilled disbursements, usually to cover the costs of medical and other expert reports, filing fees, and other necessary expenses.
On a national average, Providior estimates that firms carry $200-$350k in outlays per personal injury practitioner at any one time. For a 4-practitioner firm, that can mean carrying up to $1.4 million in outlays at once, a substantial burden on cash flow.
We pay these outlays directly on your firm's behalf and recover the funded amount plus interest when the matter settles, keeping the capital in your business to fund growth in the meantime.
Our products
Need a funding solution tailored to your firm?
Providior's funding products were built by finding solutions to complex problems. If your funding requirements sit outside Providior ONE or Providior Premier, our team can work with you to structure a solution built around your practice.
Why would a personal injuries law firm use Disbursement Funding?
Personal injury matters, including motor vehicle accidents, medical negligence, workers' compensation claims, can run for years. For a firm funding these outlays itself, that means a significant amount of cash trapped on the balance sheet.
With Providior carrying that burden, your firm can direct a greater share of its cash flow toward business growth.
What can unlocked cash be used for?
Disbursement funding can release cash tied up in matter outlays, giving your firm greater flexibility to invest in business priorities such as:
Marketing initiatives that build brand awareness and generate a steady flow of new work.
Recruitment and talent development to increase capacity, carry more files and improve file velocity.
Technology that enhances productivity, efficiency and the quality of work delivered.
Succession planning, including equity transitions between incoming and outgoing partners.
A more structured approach to end of financial year planning.
The Disbursement Funding Process
01
Upload invoices
When invoices from medico-legal providers or other eligible suppliers are issued, these are uploaded into the Providior portal and are paid on the law firm’s behalf.
Loans assessed and issued
Each disbursement is issued as an individual loan, grouped under a matter reference for ease of reporting.
02
03
Interest & fees
The entire amount of the disbursement and any applicable fees and interest are carried to term so there is no monthly servicing of the loan facility required. Interest is calculated daily and accrued to the end of the loan term. This can be either the settlement date or the agreed loan term – whichever comes first.
Settlement
Where the settlement occurs prior to the end of the maximum loan term, interest is only charged to that date and is non-compounding.
04
05
Payout statement issued
Payout statements are available at any time in preparation for conferences and hearings.
Providior can share best practice knowledge on how to include disclosures around the presence and availability of funding to claimants in a firm’s Costs Agreement so that there is complete transparency in the process, avoiding any adverse feedback from claimants. There is no constraint on the selection of specialists, suppliers or vendors. Providior simply processes payment on valid disbursements.
FAQs
Some common questions about disbursement funding.
What is disbursement funding?
What is personal injury disbursement funding?
What is the difference between legal fees and disbursements?
How do litigation funders get paid?
Does disbursement mean I get money?
What types of disbursements can I fund?
Is disbursement funding available on a contingency basis?
Can I defer the cost of Medico-legal reports?
What is a disbursement payment?
Is the funding agreement with the law firm or the claimant?
How long does an application take to have approved?
What will my funding limit be?
What documents does my client need to sign?
Is the interest rate fixed?
What happens if a matter settles early and the funding is repaid?
Do you offer pre-settlement advances to our clients (claimants)?
What is the interest rate?
Does Providior offer disbursement funding to firms in Queensland?
Does Providior offer disbursement funding to firms in New South Wales?
Does Providior offer disbursement funding to firms in Victoria?
Does Providior offer disbursement funding to firms in South Australia?
Does Providior offer disbursement funding to firms in Tasmania?
Does Providior offer disbursement funding to firms in Western Australia?
Does Providior offer disbursement funding to firms in the Northern Territory?
Does Providior offer disbursement funding to firms in the Australian Capital Territory (ACT)?
Are there any fees?
Do I need to provide a property as security/collateral for the funding facility?
Do I keep control of my matters?
How long are the funding terms/loan terms for?
What happens if the matter runs for more than 3 years?
Do you provide funding for medical negligence files?
Do you provide funding for institutional abuse files?
Do you provide funding for work injury damages files?
Do you provide funding for motor vehicle accident files?
Do you provide funding for public liability files?
Do you provide funding for dust diseases files?
Do you provide funding for coal mine injury files?
Do you provide funding for class actions?
Do you provide funding for professional negligence matters?
Is there a limit to how much I can fund/borrow on my disbursements?
Do you offer WIP funding?
Do you fund Barrister's fees on personal injury matters?
When does the funding need to be repaid?
What documentation is required for an application?
What ongoing reporting is required by the law firm?
Is interest charged during the life of the disbursement loan?
Why do I need to provide a personal/director's guarantee?
If I use Providior's disbursement funding, can I still choose which medico-legal and specialist providers I use?
Does Providior use an approved panel of experts/specialists and medico-legal providers?
Do I need to pay medico-legal or IME invoices first and then claim back the money?
Do I still pay the invoices then claim back the money from Providior?
Can Providior pay invoices on my behalf?
How long does it take for invoices to be processed?
How can I obtain a payout statement on a matter?
Is there a limit per lawyer that Providior will lend on disbursement funding?
I have a bank overdraft. Can I still use Providior's disbursement funding?
What happens if a matter fails?
Do you have a write-off facility?