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 the payment process for disbursements?
How do I keep track of payments?
What happens when a file settles?
What happens when a file fails to settle?
How does the loan agreement work?
How does the Providior funding system work?
Is my information secure?
