find the latest legal job
Senior Associate - Litigation & Dispute Resolution
Category: Litigation and Dispute Resolution | Location: Melbourne CBD & Inner Suburbs Melbourne VIC
· Come work for a firm ranked in Lawyers Weekly Top 25 Attraction Firms
View details
Associate - Workplace Relations & Safety
Category: Industrial Relations and Employment Law | Location: Brisbane CBD & Inner Suburbs Brisbane QLD
· Employer of choice · Strong team culture
View details
Freelance Lawyers
Category: Banking and Finance Law | Location: All Perth WA
· Freelance opportunities through Vario from Pinsent Masons
View details
Freelance Lawyers
Category: Other | Location: All Adelaide SA
· • Qualified lawyer with a strong academic background
View details
Freelance Lawyers
Category: Other | Location: All Melbourne VIC
· • Qualified lawyer with a strong academic background
View details


This week's announcement by pre-settlement lender Ask Funding that Slater & Gordon and Trilby Misso have signed on to its disbursement funding facility, signals a move by firms to better…

This week's announcement by pre-settlement lender Ask Funding that Slater & Gordon and Trilby Misso have signed on to its disbursement funding facility, signals a move by firms to better manage their cash flows.

Australia's disbursement funding market is estimated to be worth approximately $300 million according to Ask Funding. Managing director Russell Templeton said this reflects the changing business of law and the importance now being placed on cash flow management.

Explaining how the disbursement market evolved, Templeton said in a market that does not allow contingency fees (as in the United States), Australian lawyers have found themselves having to churn their time on a no-win-no-fee basis - while also having to outlay money on behalf of their clients.

"The legal sector is currently relying on large overdrafts or partner loans to pay for disbursements required to run no-win-no-fee personal injury cases for clients, placing large imposts on cash flows and capital needed to fund growth," he said.

"The research that we've had done shows there is about $300 million out in funds that have been advanced by lawyers on behalf of their clients."

To overcome this, Ask Funding developed the funding facility, which allows firms to draw down funds into their trust accounts on an as-needed basis to cover personal injury case outlays until proceeds become available from case settlements.

Slater & Gordon and Trilby Misso add to a list of approximately 30 personal injury firms which have already taken up the facility - developed by Ask Funding only a couple of years ago.

And it is expected that other firms will follow suit, particularly since the global financial crisis as lawyers begin to focus more on the management aspects of their businesses.

"The banks have got a lot tougher because of the global financial crisis with respect to credit facilities being made available," said Templeton.

"The lawyers are also starting to realise they need to approach this in a far more business-like way and understand the benefits of cash flow."

Templeton adds that he believes his cash flow product will become the industry norm: "When you get two market leaders like Slater & Gordon and Trilby Misso taking up the product it sends a loud message to the industry that this the direction in which it's going."

- Briana Everett

Like this story? Read more:

QLS condemns actions of disgraced lawyer as ‘stain on the profession’

NSW proposes big justice reforms to target risk of reoffending

The legal budget breakdown 2017

lawyersweekly logo
Promoted content
Recommended by Spike Native Network
more from lawyers weekly
Oct 20 2017
Podcast: One of law’s most infamous alumni – in conversation with Julian Morrow
In this episode of The Lawyers Weekly Show, Melissa Coade is joined by The Chaser’s Julian Morrow....
Oct 20 2017
High Court overturns ‘excessive’ anti-protest legislation
Bob Brown’s recent victory in the High Court over the Tasmanian government was a win for fundament...
Oct 20 2017
Changes to Australian citizenship laws blocked
Attempts to beef up the requirements to obtain Australian citizenship were thwarted this week, after...
Allens managing partner Richard Spurio, image courtesy Allens' website
Jun 21 2017
Promo season at Allens
A group of lawyers at Allens have received promotions across its PNG and Australian offices. ...
May 11 2017
Partner exits for in-house role
A Victorian lawyer has left the partnership of a national firm to start a new gig with state governm...
Esteban Gomez
May 11 2017
National firm recruits ‘major asset’
A national law firm has announced it has appointed a new corporate partner who brings over 15 years'...
Nicole Rich
May 16 2017
Access to justice for young transgender Australians
Reform is looming for the process that young transgender Australians and their families must current...
Geoff Roberson
May 11 2017
The lighter side of the law: when law and comedy collide
On the face of it, there doesn’t seem to be much that is amusing about the law, writes Geoff Rober...
May 10 2017
Advocate’s immunity – without fear or without favour but not both
On 29 March 2017, the High Court handed down its decision in David Kendirjian v Eugene Lepore & ...