Kain Knight, one of the UK’s largest professional firms of costs lawyers, has formed a strategic alliance with VFS Legal to help law firms better manage cash flow by raising finance against their drafted bills.
Under the arrangement, Kain Knight’s clients will be able to apply for funding from VFS Legal against bills that have been drafted and served. This offers law firms a cost effective solution with monthly interest only payments until settlement, which improves the cash flow of the firm, thereby allowing the business to move forward while improving the settlement negotiating position.
Peter Petyt, Chief Executive Officer of Kain Knight, said: “VFS Legal is playing a vital role in providing a cost-effective source of funding to our clients. VFS understands the needs of our market extremely well and knows that law firms often wait many months, even years, for their bills to be settled. This is why it has created an innovative product that helps bridge the funding gap without the need for a firm to renegotiate its existing banking facilities. We are delighted to be introducing VFS Legal to our clients.”
Norman Kenvyn, MD of VFS Legal, added: “SRA interventions are on the rise and no matter how profitable a law firm may be it is the actual cash flow that is critical to enable the practice to move forward. It is well noted how the financial climate is changing with many banks reducing the funding options that are being made available and alternative solutions are required to bridge the cash flow gap. VFS Legal can provide a cost effective and flexible solution to this growing problem and we are delighted to be working with Kain Knight to provide this valuable service.”
About Kain Knight:
Kain Knight is one of the UK’s leading firm of Costs Lawyers. It has been established since 1976. It deals with the widest spectrum of legal costs from small criminal and family matters to high value, high profile complex commercial cases. Kain Knight is involved with all aspects of solicitor costs that are controlled by both statute and common law. The firm deals with every conceivable type of legal matter, which touches upon the subject of the assessment and award of legal costs. Clients include a broad range of law firms, specialist insurance companies and government departments with an emphasis on commercial litigation, personal injury work and general costs work.
About VFS Legal
VFS is a specialist finance company that only provides funding for law firms. A fresh thinking approach with a unique product offering, we are a principal advancing funds from our own resources directly for the benefit of the law firm. Funding draft bills is our primary focus but the launch of our new disbursement funding service has meant that we are able to work with our partners in providing cost effective and flexible solutions to their clients.