New Delhi-based legal technology startup LegalPay launches a zero-interest credit line for enterprises, startups, individual business owners and freelancers to settle legal disputes while preserving their working capital.
The firm plans to disburse about Rs 200 crore in 2024 through its own non-banking finance company (NBFC) Padmalaya Finserve and other partner NBFCs.
Named Quick Settle, this structured financing is designed to streamline the resolution of legal disputes with a flexible 6–12-month repayment plan, enabling parties to resolve conflicts without depleting their working capital.
“Our vision is to bridge the gap between legal disputes and swift resolutions. By allowing defendants to manage their working capital efficiently through a zero-interest repayment cycle, we aim to foster a more conducive environment for businesses to thrive,” said Kundan Shahi, Founder and CEO of LegalPay. “This structured financing option enables defendants to settle claims seamlessly, alleviating the stress of legal battles without compromising their working capital.”
Founded in 2019, LegalPay has funded over 44,000 commercial cases and underwritten a staggering 92,000 cases nationwide. Currently, the company is managing over Rs 2,800 crores worth of claims.
Last year, the company closed a Rs 12 crore interim financing bond. The investment instrument in the fixed income category was launched in January last year and reported a coupon rate of 14% compounding annually.
