3 Best Commercial Litigation Funding Services for Small Businesses in 2025

Navigating a commercial lawsuit can be a defining challenge for any small business, often threatening the very cash flow needed to keep operations running. This roundup evaluates the top funding providers equipped to help business owners maintain financial stability during protracted legal battles.

With legal battles stretching for months or even years, the financial strain of a commercial lawsuit can become overwhelming for a small business. Fortunately, commercial litigation funding offers a crucial lifeline, providing non-recourse capital that allows business owners to pursue justice without draining company resources. This financial tool levels the playing field, ensuring that a company's legal strategy is dictated by merit, not by the depth of its pockets. As the litigation finance industry continues to expand, with a recent report valuing the global market at over  $16 billion in 2024, a push for greater transparency and regulation is underway. This makes choosing a reputable and clear-cut funding partner more important than ever for business leaders. 

How We Selected the Best Commercial Litigation Funders

When a small business is embroiled in a lawsuit, selecting the right financial partner is critical. Our evaluation focused on the providers best equipped to support business owners through these challenging periods, as 82% of small businesses cite cash flow as a major concern even without legal pressures. We prioritized companies that offer clear, non-recourse terms, ensuring that the funding is a strategic asset, not a liability. Key factors included approval speed, funding caps suitable for diverse business needs, a strict non-recourse structure, fee transparency, and specific expertise in commercial cases. These criteria helped us identify funders who not only provide capital but also act as a stabilizing force, allowing businesses to maintain operations and focus on achieving a just legal resolution.

Tribeca Lawsuit Loans

Tribeca Lawsuit Loans stands out as a premier provider of commercial litigation funding, particularly for small businesses needing swift and transparent financial support. Specializing in pre-settlement funding, Tribeca offers non-recourse cash advances from $500 to $2 million, giving business leaders the capital needed to cover legal fees and operational costs. With an industry-leading approval time of 24 to 48 hours and a 94% approval rate, Tribeca excels at providing immediate relief from financial pressure. A key advantage is its straightforward qualification process, which is based solely on the merits of the legal case, not on credit scores or employment history. This ensures that a company’s financial past doesn't hinder its ability to pursue a strong claim, a critical factor when traditional bank loans may not be accessible during litigation.

The company’s commitment to transparency is reflected in its use of simple, capped, non-compounding fees with no hidden charges, a critical factor in an industry where regulatory scrutiny is increasing. As states like New York enact laws to protect consumers, Tribeca's client-first approach and adherence to state-specific regulations offer peace of mind. By providing essential lawsuit loans on a non-recourse basis, Tribeca Lawsuit Loans shoulders the financial risk, allowing business owners to continue their legal fight without jeopardizing vital company capital. If the case is lost, the advance does not have to be repaid, making it a truly risk-free solution for maintaining business continuity during litigation.

Burford Capital

As the world's largest publicly traded provider of legal finance, Burford Capital is a dominant force in the industry, specializing in high-value commercial disputes and arbitration. Founded in 2009, Burford caters primarily to large corporations and top-tier law firms, leveraging a permanent capital model that allows it to deploy substantial funds quickly for complex cases. For small businesses with significant, high-stakes litigation, Burford offers unmatched financial firepower and sophisticated legal expertise. Its team includes former litigators from major law firms, providing clients with not just capital but also strategic insight into cases that often involve millions in potential damages. Their services extend beyond single-case funding to include portfolio financing, where they fund a collection of cases for a law firm or company.

While their typical funding amounts may exceed the needs of an average small business dispute, their proven track record and public accountability make them an essential choice for companies facing substantial commercial claims. Recent discussions about regulating foreign investment in U.S. lawsuits, such as the proposed Protecting Our Courts from Foreign Manipulation Act, highlight the importance of working with established, publicly traded firms like Burford that adhere to high governance standards. This public status provides a layer of transparency and reliability that is increasingly valued as the legal finance industry matures. With over $5 billion committed to legal finance, their capacity to handle large-scale disputes is unparalleled.

LexShares

LexShares has carved a unique niche in the litigation finance market by creating a platform that connects accredited investors with commercial legal claims. Founded in 2014, the company uses a proprietary mix of machine learning and legal expertise to vet cases, offering a tech-forward approach to funding. This model democratizes access to litigation finance, allowing a broader pool of investors to participate in an asset class once reserved for institutional players. This approach aligns with the broader trend of alternative investments growing, with the market expected to reach $36.5 billion by 2028. For small businesses, LexShares provides working capital for a variety of commercial disputes, including intellectual property, contract disputes, and anti-competitive claims.

Their investment minimums on the online marketplace can be as low as $5,000, making them accessible for smaller-scale funding needs. Like other top providers, their funding is non-recourse. However, its approval process can take up to a week and involves an assessment of the applicant's creditworthiness, which differentiates it from funders like Tribeca. Their innovative model, which ensures regulatory compliance through a FINRA-regulated broker-dealer, and focus on data-driven case selection make LexShares a strong choice for businesses with well-documented, profitable claims who value a technologically advanced evaluation process.

The Strategic Advantage of Litigation Funding for Small Businesses

For small businesses, which constitute nearly half of the nation’s private-sector workforce and employ close to 62 million Americans, a prolonged lawsuit can be an existential threat. Commercial litigation funding has emerged as a powerful strategic tool that rebalances the scales of justice. It allows business owners to convert a future settlement into immediate working capital, covering everything from payroll and rent to expert witness fees. This financial stability enables companies to reject lowball settlement offers and pursue a fair outcome based on the merits of their case. As the industry evolves, with ongoing debates in the U.S. and abroad over regulation and transparency, partnering with a funder that prioritizes clear, non-recourse terms is paramount. Ultimately, litigation funding empowers small businesses to protect their interests, preserve their capital, and continue to innovate and grow, even in the face of legal adversity.