Receivable Litigation Finance: LawCrust vs. Traditional Loans
Many people and businesses in India struggle to fight their legal battles because court cases are expensive and time-consuming. Traditional ways of paying for a lawsuit often increase financial stress. LawCrust’s receivable-based litigation finance changes that. It offers a new way to fund your case without loans, EMIs, or interest. It shifts the financial risk away from you and helps you recover what you are owed with confidence.
What Is Receivable-Based Litigation Finance
Receivable-based litigation finance means getting funds for your legal case based on the money or asset you expect to receive once the case is won.
For example:
- You have unpaid business invoices.
- You are waiting for an insurance claim or property compensation.
- You have a loan or debt that someone has not repaid.
In these cases, LawCrust funds your legal process so that you can recover your receivable amount without worrying about legal expenses. Once you win and receive your dues, you repay LawCrust as per a fair pre-agreed share of your recovery. If you lose the case, you do not have to pay anything back.
The Traditional Way: High Risk for You
Traditional funding options for lawsuits usually include bank loans or hourly lawyer fees. Both put the entire financial burden on you.
1. Bank Loans (Debt-Based Funding)
- You take a loan from a bank to pay your lawyer.
- You must repay the loan amount plus interest, even if you lose the case.
- Banks ask for collateral and check your credit score.
- Monthly EMIs and interest make the total repayment heavy and risky.
2. Hourly or Flat Fee Billing
- You pay lawyers directly as the case goes on.
- Your money is gone even if the case fails.
- It reduces your savings or blocks your business cash flow, limiting your financial freedom.
In both cases, you bear all the financial risk. Winning or losing, the costs stay with you.
LawCrust’s Way: Risk-Free Funding Based on Your Claim
LawCrust follows a receivable-based, non-recourse funding model. This means LawCrust invests in your case based on its strength and the amount you expect to recover.
Your receivable the unpaid money or asset is treated as the backing asset, not your property or personal collateral.
Key Differences Between LawCrust’s Model and Traditional Funding
- LawCrust: Takes full responsibility for the financial risk.
- Traditional Funding: The client bears the entire risk of loss.
2. Repayment
- LawCrust: Payment is due only if you win and recover funds.
- Traditional Funding: You must repay with interest, win or lose.
3. Approval Basis
- LawCrust: Approval depends on the legal strength and receivable value of your case.
- Traditional Funding: Approval depends on your credit score and collateral.
4. Impact on Cash Flow
- LawCrust: Positive effect, as all case expenses are covered by LawCrust.
- Traditional Funding: Negative effect, since you use your own money or take loans.
5. Cost Structure
- LawCrust: Charges a pre-agreed share from the successful recovery amount.
- Traditional Funding: Involves fixed EMIs, interest payments, or hourly legal fees.
6. Lawyer Selection
- LawCrust: Offers access to expert lawyers from its trusted partner network.
- Traditional Funding: You must find, hire, and pay your own lawyer.
Why LawCrust’s Model Is a Game Changer
LawCrust’s funding model changes how people and companies pursue justice in India.
- Risk Transfer: You don’t bear any financial risk. If you lose, you pay nothing.
- Focus on Case Strength: LawCrust funds only strong, genuine cases, ensuring fairness and quality.
- Cash Flow Freedom: Businesses can recover large receivables without blocking working capital.
- Access to Quality Lawyers: You get expert legal representation without upfront payments.
- Equal Access to Justice: Anyone, regardless of income, can pursue rightful claims.
This system turns your potential legal costs into an opportunity to recover what’s yours. It ensures that financial limits never stop you from seeking justice.
Frequently Asked Questions (FAQs)
LawCrust: Making Justice an Option, Not a Privilege
LawCrust Global Consulting Ltd is a leading legal and business consulting company in India. It provides receivable-based litigation finance to individuals, businesses, and organisations who deserve justice but face financial limits.
LawCrust funds genuine cases involving property disputes, business receivables, bank frauds, consumer matters, and insurance claims. By focusing on the value of your receivables, LawCrust pays your legal costs upfront and shares the risk with you.
Their mission is simple to make justice accessible, affordable, and achievable for all.