FAQ for Business Clients

Professional Fee Funding Plan

What is ASK accreditation?

An accredited law firm has entered into a formal agreement with ASK and has adequate financial standing to offer extended credit. ASK does not assess or warrant the quality of advice or service.

How do I set up my Professional Fee Funding Plan?

Your ASK accredited legal adviser will be able to provide you with a Business Credit Agreement. If not yet accredited, advise your legal adviser to go to the 'For Solicitors' section of our website and contact ASK using the form provided. Facility is only offered through multi-partner firms.

How long does the facility remain in place?

Each invoice is repaid over 12 months, but multiple invoices can be administered under a credit agreement. ASK will establish a repayment plan for each invoice that is countersigned by both law firm and client under the same direct debit agreement.

How are credit charges set?

Credit charges are set out when a client enters into the Business Credit Agreement. ASK can amend charges by giving reasonable notice, but the repayment profile remains fixed for any one invoice.

Can I repay early?

Early repayment is permitted without penalty and by giving one month’s notice.

How do the costs compare to alternative funding?

It is similar to other unsecured facilities including business credit card facilities and ASK charges a competitive rate suitable for most businesses. Most other funding requires security and an extensive credit approval process.

Isn’t this just for businesses struggling to pay bills?

It is suitable for most businesses, even large and well capitalised ones. Most companies enter into leasing agreements and other monthly payment options such as insurance premium funding. Using an ASK plan, a business reduces working capital requirements.

How does this compare to factoring?

This is not factoring. ASK effectively loans the client the money to pay the law firm, so the debt is paid. In factoring, the law firm is lent only a percentage of the outstanding debt and the limit on credit terms is 90 days.

Does the law firm get commission?

No commission is paid to the law firm, which benefits from an earlier cash payment.