Business Loans for Lawyers
Small Business Funding for Lawyers
We know running your own business can be tough. That’s especially true with small law practices. Whether you’re running your own shop or you have a firm with a handful of teammates, Shield Funding is here to help you get the money you need to make it a success.
Lots of costs go into running a law practice. Some of them you might expect, like licensing. You know you’ll need to keep your license current. But what if you move to another state? Or decide to expand your territory to another one? That can put you in a tough spot.
And when you rely on clients to come to you, there’s always the chance that income will dry up for a bit. If you’re not prepared for that, it can put the business you’ve worked so hard to build in jeopardy. No matter what you need capital for in your legal endeavors you can get started with a small business loan from Shield Funding.
What Do I Need to Qualify?
Below is a list of the requirements to get approved for business funding with our most basic program. There may be additional factors that are considered, meeting these three requirements though gives you a very high chance of having your application approved.
How Do I Apply?
Applying has never been easier. You can either call our toll free number 24 hours 7 days a week at
Submit your online application by clicking apply below and entering a few basic details about your business.
Lawyer Business Funding Options
When you just need a “regular” loan, this is what you want. You can use these funds for anything, from making payroll to building a new facility. Need some expensive software and can’t pay for it? Want to upgrade your office? You can do it with a small business loan.
Because we offer up to $1,000,000 in small business funding, you can cover almost any cost that comes up. As long as you’ve been in business for two months and have monthly revenue of over $8,000, you can qualify for this type of loan.
Interest rates start at 5%, and loan terms range from 2–36 months. So you have the flexibility you need to cover whatever costs come up. Whether you need a small loan or a big one, we can help you even if you have bad credit.
When you go to a traditional lender for a loan, they’ll probably ask you to put up some collateral. If you can’t pay the loan, they’ll repossess that property to cover your missed payments.
That’s a terrible situation to be in. So we make sure it doesn’t happen. All of our loans are unsecured—you don’t have to put up any collateral at all. You can still get up to $1,000,000 in small business loans. We’ll never ask you to risk your business for it.
Most lawyers start their careers with a huge amount of student debt. And that can sometimes result in a bad credit rating. We realize that everyone makes mistakes, too. No matter what you did to get your bad credit, we’re still willing to work with you.
As long as your credit rating is 500 or higher, you can qualify for up to $1,000,000 in loans. With two months in business and at least $8,000 in monthly revenue, you don’t need a great credit rating.
And we won’t gouge you on the terms, either. You can get an interest rate as low as 12%, depending on your credit score, the length of the loan, and the specific terms. There’s no way you’d get those terms from a bank. If you could get a loan at all.
Over a third of lawyers are women. That’s a great start. But we’d love to see more female lawyers in the business, taking charge of and growing their law practices.
To that end, we offer small business loans specifically for women. They let female lawyers cover the expenses they need to run and expand their businesses. No matter what costs they need covered, these loans can help.
Well-qualified borrowers can get up to $1,000,000 with an interest rate as low as 12%. With two months in business, $8,000 in monthly revenues, and a credit rating of 500 or higher, you can qualify.
Financing Tips About How Lawyers Might Spend Additional Working Capital:
A Decent Office
Like most other businesses, you need to look professional when you’re practicing law. This isn’t like software engineering in Silicon Valley—you won’t see lawyers practicing in t-shirts and jeans. And your office needs to reflect that sense of professionalism.
In almost every case, that means having a physical office. You don’t need to choose a prime spot downtown like you might with a salon or a restaurant, but you’ll want an easily accessible office space where people can find it.
That could cost you a couple thousand a month, depending on where you live and where you choose to have your office.
You’ll also want to outfit your office with professional-looking furniture; a couch in the waiting room if you have one, a nice desk, a table for meeting clients, chairs, and so on. Even if you’re thrifty, you’ll want to budget at least $2,000 for all of that. It’s worth buying high-quality items.
You’ll also pay for utilities in your office, and if you work as much as most lawyers do, you might rack up a significant electric bill. That adds to your costs, too.
Your billing hours will cover this cost. But if you’re growing your business and expanding into a new office, or even moving your business to a new city, you may find that it’s more expensive than you expect. If that’s the case, getting a small business loan can help ease the pain of setting up your office.
You need a license to practice law in your state. The amount you have to pay depends on where you live, when you passed your bar exam, and other factors. In Texas, if you’ve been a lawyer for less than three years, you need to pay about $70.
In California, you’ll pay $430. That can be a burden if you’re having cashflow problems.
You might consider expanding your business into another state, which will require multiple licenses. That can get expensive, too.
In some cases—such as with a lapsed license—you may have to retake the bar exam. That can cost $1,000 in some states. And filing fees on top of that. And if you haven’t been practicing, that can be a big hurdle.
If you’re retaking the bar exam, you’ll need to study. A lot. That might mean paying for a prep course, which can cost several thousand dollars. All of these costs add up fast, and they often come when you’re in a tough spot.
Many bar associations require that you take part in continuing education programs (you can find out the requirements in your state from the American Bar Association). Even if they’re not required, it’s a good idea to stay up-to-date on laws and practices.
Those required credits can be expensive. You might be able to attend an online seminar for $100, or you may need to find a live session for $500. The costs change and vary a great deal based on where you live and the type of education you’re looking for.
Taking time away from your business to attend these classes means you’re not earning money (unless you go during a time when you wouldn’t usually be working, but that’s not always possible).
If the requirements come due at an inconvenient time, this could put a dent in your cashflow and make it more difficult to pay yourself and any employees. Ideally, you’ll have planned ahead to make sure you can complete the requirements without difficulty.
But things don’t always go as planned. And when they don’t, a business loan can be a big help in getting you through the tough period before you start earning again.
Software to Run Your Business
Some small businesses can get away with minimal software. But lawyers are serious about their billing hours, and that means they need top-notch software to run their accounts.
Not only do you need to have accurate billing software, but you also need great records for tax purposes. A lot of money changes hands when you’re running a law practice, and if you get audited you need to be able to show records for all of it.
Case management software can also be helpful in keeping track of various clients and the resources you need to serve them.
How much does that cost?
CosmoLex, a popular option, charges $69 per user per month. That might not seem like much, but when you add another user or two, it adds up. You’ll pay fees for credit card payments, too, which cuts into your profit.
In addition to case management and billing software, you need other business staples. A G Suite subscription adds to the cost, as does software and services like Microsoft Office, Dropbox, and backup software for your valuable files.
It might not seem like much at first, but over time the cost can be significant. If you’re growing your business, that cost is going to increase. Be ready for it.
Want to find out how Shield Funding can help you with the various expenses of running your law practice? Get in touch and we’ll look at your specific situation to find out which of our many private business loans can help you succeed in your business.