Solicitors business loans — Documents lenders commonly request from UK law firms

Summary: When a UK law firm applies for business finance lenders typically ask for identity & company verification, recent financial statements and management accounts, bank statements and cashflow forecasts, client ledger and client account reconciliations, engagement/retainer letters and evidence of receivables, security/asset paperwork where relevant, professional indemnity and SRA compliance evidence, plus governance and ownership documents. Preparing a tidy, dated document pack and disclosing client-money arrangements upfront speeds decisions and improves the chances of a timely quote. Get Quote Now — Free Eligibility Check

Quick summary — At-a-glance checklist

• Identity documents for partners/directors (passport or driving licence plus proof of address)
• Company/LLP formation docs (Certificate of Incorporation, Companies House filings, PSC register)
• Signed statutory accounts or accountant-prepared accounts (usually last 1–3 years)
• Latest management accounts and year-to-date P&L (signed and dated)
• Business bank statements (typically last 3–6 months) — and client account statements where relevant
• Client ledger, client account reconciliation and trust controls (if client money is handled)
• Retainer/engagement letters, outstanding fee invoices, WIP reports or litigation/conveyancing pipeline
• Cashflow forecast and working capital analysis (rolling 3–12 months)
• Title deeds, valuations or asset schedules for secured facilities
• Professional indemnity insurance certificate, practising certificates, SRA registration details

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Why lenders ask for these documents

Lenders and brokers request documentation to complete essential checks: identity/AML; legal structure and ownership; historic performance and future cashflow; exposure to client money; security and recoverability; and professional/regulatory standing. Different product types (invoice finance, asset finance, term loans, property-backed loans) emphasise different documents — but the items above form the core pack most lenders expect.

The documents lenders commonly request (detailed checklist)

Company & identity documents

Why: Know-your-customer (KYC) and anti-money-laundering checks.

• Passport or UK driving licence for all directors/partners and any beneficial owners (usually >25%).
• Proof of address (utility bill or council tax dated within 3 months).
• Certificate of Incorporation (company) or LLP registration; Companies House filing history and recent confirmation statement.
• Persons with significant control (PSC) register extract.

Tip: Provide scanned colour copies and indicate the date when supplied.

Financial statements & management accounts

Why: Assess profitability, balance-sheet strength and historic trends.

• Audited or accountant-prepared statutory accounts for the last 1–3 years.
• Management accounts / interim P&L and balance sheet (most recent month and year‑to‑date).
• Notes showing directors’ loan accounts, related-party transactions and exceptional items.

Red flags lenders watch for: falling fee income, large director drawings, growing creditors or unexplained one-off items.

Bank statements & cashflow forecasts

Why: Verify receipts, spending patterns, client money flows and overdraft use.

• Business account statements (3–6 months) and any client/trust account statements.
• Clear explanation of any bounced payments, large transfers or unusual activity.
• Rolling cashflow forecast (3–12 months) showing expected receipts from client matters and planned disbursements.

Strong cashflow forecasting can significantly improve priced offers from lenders.

Practice-level documents: client ledger & client accounts

Why: Solicitors’ handling of client money materially changes lender risk — particularly for invoice finance and working capital facilities.

• Client ledger report and client account reconciliations (showing trust balances and unreconciled items).
• Details of any blocked client accounts or third-party undertakings.
• Copies of internal client money policies and procedures (controls, dual authorisation, reconciliations).

Lenders want to confirm whether proposed funding can access fee income or if client money is ring‑fenced.

Client matters & receivables evidence

Why: For invoice or case-finance facilities, lenders must be satisfied that receivables are genuine and collectible.

• Engagement/retainer letters and executed fee agreements.
• Statement of outstanding matters, WIP reports and copies of recent invoices.
• Client contact details and confirmation of no undisclosed disputes.

For conveyancing pipelines provide completion schedules, SDLT estimates and chain status where relevant.

Property / asset security information

Why: Required where loans are to be secured (commercial premises, vehicles, equipment).

• Title information or Land Registry entries, leases and landlord consent documents.
• Valuation reports, recent commercial rent schedules, insurance certificates.
• Asset lists for equipment or vehicle finance with serial numbers and current mileage/condition.

Professional licences, insurance & compliance

Why: Demonstrates regulatory standing and limits liability.

• SRA registration number and practising certificates for relevant partners.
• Professional indemnity insurance (PII) certificate with policy limits and renewal date.
• Copies of anti-money laundering (AML) policies, complaints registers, risk registers.

Solicitor-specific pipeline documents

Why: Case types have different realisations and timing — conveyancing, litigation and personal injury each present distinct lender considerations.

• Conveyancing: transaction lists by completion date, client funds schedules and third-party undertakings.
• Litigation/PI: damages forecasts, settlement timelines, conditional or contingency fee arrangements (summary only).
• Details of any referral arrangements or third-party funding that affect collection.

Legal & governance documents

Why: Clarity on who can sign, ownership splits and decision-making reduces legal risk.

• Partnership or LLP agreement, shareholders’ agreement and recent board/partner meeting minutes authorising borrowing.
• List of authorised signatories and specimen signatures.

Practical tip: prepare a single zipped PDF folder with a clear index (e.g., 01_Identity.pdf, 02_Accounts_2024.pdf) to speed review and reduce back-and-forth queries.

How to speed up the review process — practical tips

• Assemble a standard document pack in advance and keep it updated monthly.
• Redact sensitive personal data where possible but be ready to provide unredacted docs through a secure lender portal when requested.
• Label files clearly and include dates and preparer signatures on management accounts.
• Be transparent about client account arrangements at the outset — this avoids delays later.
• Use secure file transfer (lender portal, SFTP or encrypted email) rather than generic file-sharing links.

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What lenders look for in law-firm applications (key risk areas)

Common concerns include: exposure to client money and how it’s controlled; cashflow volatility caused by completion delays; concentration risk where a small number of clients or a single partner provide most fees; adverse credit or litigation against partners; and adequacy of PII cover. Disclose these issues proactively and supply supporting documents — lenders prefer full visibility to sudden surprises.

Privacy, compliance & important notes

UK Business Loans is an introducer that helps match firms with lenders and brokers — we do not lend. Our service is free and without obligation. Submitting a Free Eligibility Check will not directly affect your firm’s credit score; lenders or brokers may carry out credit or identity checks later if you proceed with an application. Your information is shared only with selected finance partners for the purpose of matching and will be handled securely — see our privacy policy for details.

Next steps — how to get a quick quote

1. Gather the key documents listed above or prepare a short summary if you’re missing any item.
2. Complete our short enquiry form (it takes around 2 minutes).
3. We match you to specialist lenders or brokers and arrange rapid contact to discuss options and any further documentation required.

Free Eligibility Check — Get Quote Now (we typically help firms seeking finance from £10,000 upwards).

For more sector-specific guidance on how finance for legal practices works, see our industry resource on solicitors business loans.

Frequently asked questions

Will submitting an enquiry affect our firm’s credit score?

No — submitting a Free Eligibility Check on this site does not by itself affect credit ratings. Lenders or brokers may perform checks later if you agree to proceed with a formal application.

Do lenders always need to see client account details?

Yes, where a solicitor’s practice handles client money lenders commonly request client ledger reconciliations and details of trust controls. The depth of detail depends on the product — invoice finance or facilities that touch receivables will require more granular evidence.

How long does a document review usually take?

Simple eligibility checks can take a few hours to a couple of days. A full underwriting decision — especially for property-secured or complex facilities — may take longer depending on valuations, searches and legal work.

What if my firm has a partner with an adverse credit history?

Disclose adverse credit early. Some specialist lenders and brokers will still consider applications, often with additional conditions or guarantor requirements.

Links & resources

• Solicitors Regulation Authority (SRA) — guidance
• Start your Free Eligibility Check

Final reassurance & footer CTA

Preparing the right documents in advance makes funders’ decisions faster and usually leads to better terms. If you’re a law firm seeking working capital, practice growth funding or specialist invoice/conveyancing finance, complete our short form now and we’ll match you with the most suitable lenders and brokers. Get Quote Now — Free Eligibility Check

1) What documents do lenders commonly request for solicitors business loans?
Lenders typically ask for identity and company verification, 1–3 years’ statutory accounts, recent management accounts, 3–6 months’ bank statements, client ledger and client account reconciliations, engagement/retainer letters, cashflow forecasts, security paperwork (if required), and SRA/PII evidence.

2) Will submitting a Free Eligibility Check or enquiry via UK Business Loans affect our firm’s credit score?
No — submitting a Free Eligibility Check is not a formal application and does not affect your firm’s credit score; lenders may run checks later if you choose to proceed.

3) Do lenders always need to see client account and client money arrangements for solicitor firms?
Yes — where a law firm handles client money, lenders usually require client ledger reconciliations and evidence of trust controls because client-money arrangements materially change lending risk.

4) How long does a document review and underwriting take for a solicitors business loan?
A preliminary eligibility review can take a few hours to a few days, while full underwriting for secured or complex facilities may take longer depending on valuations, legal searches and additional queries.

5) Can a law firm with a partner who has adverse credit still get finance?
Potentially — disclose adverse credit early, as specialist lenders or brokers may still consider applications often with additional conditions, guarantees or different pricing.

6) What types of finance are suitable for solicitors and legal practices?
Solicitors commonly use invoice finance, working capital loans, asset finance, short-term bridging, and property-backed or conveyancing finance depending on needs and client-money exposure.

7) Can unpaid invoices, WIP or settlement forecasts be used as security for invoice finance or case funding?
Yes — lenders offering invoice or case-finance facilities typically require engagement letters, invoices, WIP reports and settlement forecasts to verify receivables before advancing funds.

8) Do lenders require proof of professional indemnity insurance and SRA registration?
Yes — current PII certificates, practising certificates and SRA registration details are standard requirements to demonstrate regulatory standing and limit lender risk.

9) Is security always needed for solicitors business loans and what counts as acceptable security?
Not always — unsecured working capital is available, but where security is required lenders commonly accept property (title deeds/valuations), equipment lists, or personal guarantees depending on the product and loan size.

10) How can a law firm speed up the lending review and improve the chances of a timely quote?
Prepare a tidy, dated document pack (clearly indexed PDFs), keep management accounts and cashflow forecasts up to date, disclose client-money arrangements up front, and submit via a secure lender portal or through UK Business Loans’ Free Eligibility Check for rapid matching.