Will lenders need access to our case management system?

For WIP/disbursement facilities and litigation portfolios, detailed reporting or secure data extracts are common. Consistent, high-quality data is critical to credit assessment.

What business finance options are available specifically for UK solicitors and law firms?

Q: Can law firms get unsecured finance?

Yes. Many practice loans, VAT loans, and premium finance options can be unsecured, although personal guarantees may be requested. Larger amounts or higher risk profiles can require security.

Q: Can I finance my PI insurance premium?

Yes. Premium finance allows you to spread your annual professional indemnity insurance cost into monthly repayments. Lenders assess insurer rating, premium size, claims history, and risk profile.

Q: Is government-backed support available?

Some lenders offer eligible facilities under schemes such as the Growth Guarantee Scheme. Availability, terms, and accredited providers change over time.

Short answer: specialist finance built for law firms’ cash flow, cases and growth

UK solicitors and law firms can access a range of specialist and general business finance, including working capital loans, VAT and tax funding, professional indemnity (PI) insurance premium finance, disbursement and work-in-progress (WIP) funding, litigation finance, asset and IT leasing, invoice and aged-debt finance, overdrafts, and partner capital loans. These facilities are designed to reflect the way legal practices bill, collect fees, manage case pipelines, and maintain regulatory requirements. Eligibility, rates, and terms vary by practice area, SRA status, trading history, and the quality of your WIP, debtor book, and professional indemnity cover.

Best Business Loans does not lend directly; we help you navigate to suitable lenders and brokers for your specific needs. Submit a Quick Quote to check eligibility and get introduced to relevant providers without obligation.

Who this guide helps

This page is for SRA-regulated UK practices, ABSs, LLPs, and incorporated law firms across common areas such as conveyancing, family, private client, corporate, dispute resolution, personal injury, clinical negligence, immigration, and legal aid. It also supports specialist boutiques and multi-branch firms seeking to invest, stabilise cash flow, or fund strategic change.

Updated for 2025

Information checked October 2025. Finance availability and criteria can change; always confirm current terms with any provider before proceeding.

Compliance note

All information is intended to be clear, fair and not misleading. We make no promises of approval or lowest rates, and borrowing always incurs costs and risks; security or personal guarantees may be required.

In one line

Law firms can fund cash flow, case costs, tax, insurance, equipment and growth using specialist facilities that map to how legal services earn and recover fees.

Core finance types tailored to solicitors

Working capital and practice loans: Unsecured or secured facilities to support day-to-day operations, recruitment, marketing, or office moves. Terms are typically 6–60 months, with affordability tied to fee income and historic performance.

VAT and corporation tax loans: Short-term loans to spread HMRC liabilities over 3–12 months. Useful when quarter-end VAT hits alongside seasonal fee volatility or delayed completions.

Professional indemnity insurance premium finance: Spread your PI premium over monthly instalments to preserve cash at renewal. Lenders will consider insurer, premium size, claims history, and practice risk.

Funding your cases and receivables

WIP and disbursement funding: Revolving facilities against qualifying WIP and recoverable case outlays, most common for PI, clinical negligence, group actions, and litigation. Lenders review matter ageing, settlement profile, and case management reporting.

Litigation finance: Non-recourse or limited-recourse funding for claimant portfolios or specific cases, covering counsel fees, expert reports, and disbursements. Repayment is linked to case outcome and agreed waterfall structures.

Aged-debt and invoice finance: Advances against billed but unpaid fees for corporate, commercial, or conveyancing work. Criteria include debtor quality, concentration, and assignment ability under engagement terms.

Assets, IT and fit-out

Asset finance and leasing: Spread the cost of case management systems, document automation, servers, laptops, telephony, and office refits. Residual-value structures can keep repayments lower.

Vehicles and pool cars: Hire purchase or lease options for fee-earners and support teams, including EVs to meet sustainability targets. Finance may be ring-fenced from core borrowing.

Refurbishment and fit-out finance: Fund reception upgrades, meeting rooms, accessibility improvements, and collaboration areas that enhance client experience and staff retention.

Public-backed support

Growth Guarantee Scheme (GGS): Government-backed guarantee on eligible facilities via accredited lenders. Availability and eligibility change over time; providers will assess turnover, trading history, and purpose.

Which options suit your practice area and goals?

Conveyancing and property: Consider VAT loans for fluctuating completions, invoice finance for billed fees, and IT leasing for search integrations and digital onboarding. Refurbishment finance can support client-facing improvements.

Litigation, PI, and clinical negligence: WIP/disbursement facilities and litigation finance align to case timelines. Underwriting focuses on success rates, ATE insurance, counsel arrangements, and matter data integrity.

Corporate and commercial: Invoice discounting or selective invoice finance can release cash from strong corporate debtors. Partner capital loans help with buy-ins, lockstep adjustments, and succession planning.

Legal aid and public sector

Legal aid providers may access working capital against evidenced claims and payments on account. Lenders assess CWA submissions, cash collection cadence, and audit history.

Family and private client: Practice loans can fund team expansion, digital marketing, and client intake systems. Equipment leasing helps modernise secure document handling and video consultation tools.

Dispute resolution and arbitration: Portfolio litigation funding or conditional-fee–backed facilities may be viable for predictable pipelines. Robust case vetting and reporting are essential.

M&A, expansion, and partner moves

Acquisition finance: Structured facilities to buy a book of business, merge with another firm, or open branches. Due diligence covers PII continuity, TUPE staffing, client account controls, and culture fit.

Partner capital and drawings smoothing: Loans to support new partner contributions or restructured profit shares. Managing tax liabilities and drawings during transition preserves firm morale.

Technology transformation: Finance for AI-driven search, drafting tools, and secure collaboration platforms can be bundled via software leasing or subscription financing.

When to combine products

Many firms blend a practice loan with PI premium finance, VAT funding, and a WIP facility. The right mix preserves headroom, avoids over-reliance on one line, and aligns repayments to inflows.

Typical terms, security, and eligibility for UK law firms

Core eligibility signals: SRA regulation status, clean client account controls, up-to-date PII, stable fee income, and at least 12–24 months’ trading for most unsecured facilities. Start-up practices may need security or partner guarantees.

Security and guarantees: Unsecured options exist, but lenders may seek debentures, charges over WIP/disbursements, or personal guarantees from partners or directors. Asset finance is usually secured against the equipment.

Data lenders may request: Filed accounts, management information, aged WIP and debtors, case pipeline reports, PII schedule, HMRC statements, bank statements, and case management system extracts.

What it can cost

Costs vary by risk, product, and term. Short-term tax or VAT loans typically carry lower total costs than long-term growth finance, while litigation funding is priced against risk and recovery waterfall.

Fees to consider include arrangement, documentation, early prepayment, and non-utilisation for revolving lines. Always request the full cost of credit and total repayment estimates.

Cash-flow alignment: Map repayments to your collection cycles, seasonal trends, and case timelines. This is especially important for practices with long settlement horizons.

Quick comparison table

Finance type	Primary use	Typical term	Security	Notes
Practice/working capital loan	Cash flow, hiring, marketing	6–60 months	Unsecured or PGs	Affordability tied to fee income
VAT or tax loan	HMRC liabilities	3–12 months	Unsecured in many cases	Paid directly to HMRC or to firm
PI premium finance	Spread PII renewal cost	6–10 months	Policy as security	Helps smooth annual spike
WIP/disbursement funding	Case costs and cash cycle	Revolving	Charge over WIP/disbs	Data and reporting essential
Litigation finance	Case or portfolio funding	Case-driven	Non-recourse/limited	Repay from proceeds
Invoice/aged-debt finance	Billed but unpaid fees	Revolving	Assignment of debtors	Best with strong corporates
Asset/IT leasing	Equipment, software, fit-out	1–5 years	Asset-backed	Preserves cash for growth
Partner capital loans	Buy-in, drawings smoothing	1–7 years	PGs likely	Align to profit share

Due diligence tips

Prepare clean, consistent MI with commentary on trends and one-off items. Document matter vetting, settlement assumptions, and ATE coverage for litigation portfolios.

Check engagement letters allow assignment for receivables finance, and maintain robust SRA Accounts Rules compliance. Clear reporting builds lender confidence and may improve terms.

Costs, risks, compliance—and FAQs for solicitors

Key risks to consider: Interest and fees add to total costs; variable rates can move over time. Security or guarantees increase personal and business exposure if repayments falter.

Regulatory considerations: Maintain SRA and AML compliance, accurate client money handling, and up-to-date PII. Finance should never compromise client care, independence, or confidentiality.

Clear, fair, not misleading: Compare offers like-for-like, understand early repayment terms, and ask for full cost breakdowns. Avoid excessive reliance on one facility or short-term fixes for structural issues.

FAQs

Can law firms get unsecured finance?

Yes, many practice loans, VAT loans, and premium finance options can be unsecured, though personal guarantees may be requested. Larger amounts or higher risk profiles may require security.

What’s the difference between WIP funding and litigation finance?

WIP funding is typically a revolving facility against eligible WIP and disbursements, repaid from settlements or billings. Litigation finance is often non-recourse and tied to case outcomes with a success-based return.

Do conveyancing-led firms qualify for receivables finance?

Yes, subject to debtor quality, billing practices, and concentration limits. Lenders may evaluate chains, fall-through rates, and seasonal volumes.

Can I finance my PI insurance premium?

Yes, premium finance spreads your annual PII cost into monthly repayments. Lenders assess insurer rating, premium size, claims history, and your firm’s risk profile.

Is government-backed support available?

Some lenders offer facilities under schemes like the Growth Guarantee Scheme, subject to eligibility. Terms, availability, and accredited providers change over time.

Will lenders need access to my case management system?

For WIP/disbursement funding and litigation portfolios, detailed reporting or secure extracts are common. Data quality and consistency are critical.

Can I finance an office refit or new IT platform?

Yes, asset finance, leasing, and fit-out finance can fund hardware, software, and refurbishment. Structures can align payments to productivity gains.

Do you work with start-ups?

We primarily help established firms. New practices may still find options where partners provide additional security or capital support.

How fast can funding complete?

Simple VAT or premium finance can complete in days. WIP or litigation facilities take longer due to case-level due diligence and data review.

Is Best Business Loans a lender or broker?

We’re an independent introducer using AI to match your firm with relevant lenders or brokers. We don’t offer loans directly.

Important notices

Borrowing is subject to status, terms, and affordability. Security and personal guarantees may be required, and your assets could be at risk if you fail to keep up repayments.

We aim to signpost options, not provide financial, legal, or tax advice. Always seek independent professional advice where appropriate.

How Best Business Loans helps UK solicitors—next steps and checks

Smart matching: Complete a Quick Quote and tell us your practice size, areas, funding purpose, and timing. Our AI guides you towards providers active in the legal sector and aligned to your needs.

Sector-aware introductions: We connect you with lenders or brokers who understand SRA regulations, PII cycles, and legal cash flow dynamics. You compare options and stay in control throughout.

Transparent approach: We don’t guarantee the lowest rate or an offer. We help you save time and make more informed decisions by introducing relevant, reputable providers.

How to prepare for a smoother process

Gather essentials: Last two years’ accounts, recent management information, aged WIP and debtors, bank statements, and HMRC schedules. For case-based funding, prepare matter lists and outcome data.

Explain your plan: Be clear about why you need funding, how it supports client service and growth, and how repayments fit your cash cycle. Strong narratives support approvals.

Keep compliance front and centre: Ensure PII is current, client money controls are robust, and AML/CTF procedures are documented. Lenders value evidence of good governance.

When to choose each product

Use VAT/tax loans to smooth HMRC liabilities; PI premium finance to preserve cash at renewal. Consider practice loans for growth investments or temporary cash gaps.

Choose WIP/disbursement or litigation funding to align financing with settlement events. Turn to asset finance for technology and fit-out where the asset secures the facility.

Blend facilities thoughtfully to avoid dependency and preserve headroom. Review covenants and early repayment terms before you sign.

Explore solicitor-specific routes

For deeper sector guidance and to start your market search, see our page on business finance for solicitors and law firms. You can then submit a Quick Quote for introductions to suitable providers.

Your information is handled securely and shared only with relevant finance professionals for your enquiry. There’s no obligation to proceed.

Start now to map funding to your case pipeline, client experience, and long-term goals. Better-matched finance supports better outcomes for your firm and your clients.

Key takeaways

UK law firms can access practice loans, VAT/tax funding, PI premium finance, WIP/disbursement facilities, litigation finance, receivables finance, asset/IT leasing, and partner capital loans.
Match finance to your practice model: conveyancing, PI/clin neg, corporate, legal aid, or disputes each favour different tools.
Prepare strong MI, WIP and debtor data, and compliance evidence to improve speed and terms.
Understand costs and risks, including security and guarantee requirements, before committing.
Best Business Loans introduces you to suitable lenders and brokers—fast, transparent, and with no obligation.

Important information

Best Business Loans is an independent introducer. We do not provide financial advice or lend money; we help you find and compare suitable finance providers.

Any examples are for illustration only and do not constitute an offer. Finance is subject to status, terms, and affordability; security or personal guarantees may be required.

Always check full costs, risks, and eligibility with the provider, and consider independent legal, financial, and tax advice before committing.