Startup Funding Espresso -- Litigation Funding
Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. Litigation funding provides investments to businesses seeking to litigate a lawsuit.\xa0 Lawsuits come from businesses suing other businesses, tenants suing landlords, startups defending their intellectual property claims, and more. The one pressing the lawsuit needs funds to carry it through the courts.\xa0 Investors receive a return when the business wins the lawsuit and pays the investor back from the settlement. Private equity raises funds from investors and then applies them to various lawsuit cases. These funds charge a management fee and carry to the fund. The fund follows the venture capital model.\xa0 They only pay the investors in the event they win the case. The fund sees hundreds of lawsuits, but only backs a small percentage of them. Each lawsuit must payout at least five times the original investment. To join these funds, the investor must be accredited. Crowdfunding could also be used to source funds for litigation funding. Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.Let\u2019s go startup something today. ___________________________________ For more episodes from Investor Connect, please visit the site at: \xa0 Check out our other podcasts here: \xa0 For Investors check out: \xa0 For Startups check out: \xa0 For eGuides check out: \xa0 For upcoming Events, check out \xa0 For Feedback please contact info@tencapital.group\xa0\xa0 Please subscribe, share, and leave a review. Music courtesy of