Login | April 10, 2026
New funding option available to some U.S. law firms
SHERRY KARABIN
Published: April 10, 2026
Many U.S. law firms face obstacles securing traditional bank loans due to factors such as unpredictable cash flow -- especially in cases where the firm operates on a contingency fee model -- and inflexible collateral requirements.
But in late February, the legal artificial intelligence (AI) technology company Clio unveiled a brand new financing option designed to help firms bridge their funding gaps.
Unveiled on Feb. 26 (https://www.clio.com/about/press/clio-capital-introduces-fast-flexible-financing-designed-exclusively-for-law-firms/), Clio Capital leverages performance data to provide eligible U.S. law firms quick and flexible access to working capital to help them stabilize cash flow and accelerate strategic growth.
Powered by Stripe and fully integrated into Clio’s Intelligent Legal Work Platform, Clio Capital employs a proprietary evaluation system to offer pre-qualified financing, allowing partners to avoid pledging personal assets or impacting their credit scores.
In the press release AJ Axelrod, vice president of payments and financial services at Clio stated, “For too long, the growth of law firms has been constrained by a financial system that is too hard to access, understand, and doesn’t speak their language.
“By leveraging our unique understanding of a firm’s business health through Clio Payments data, we are eliminating the friction of traditional lending. Clio Capital is a system of action for a firm’s finances, providing the liquidity needed to hire talent, upgrade technology, or scale operations the moment an opportunity arises.”
According to the release, a firm is able to accept an offer within minutes directly within Clio Manage, with the funds appearing in its operating account in as little as two business days, if approved.
Eligibility is based on a firm’s performance within the Clio ecosystem.
Those who utilize Clio Capital pay a single, fixed flat fee, with repayments made via weekly debits.
“By embedding this experience directly into our platform, we are helping firms move from a system of record to a system of action in every dimension of their business, ensuring they have the capital to compete and win in a rapidly evolving market,” stated Axelrod.
For those interested, Clio Capital is offered to qualified Clio Payments customers in the U.S. based on regional availability.
Firms are automatically evaluated for eligibility on a rolling basis.