Here’s the futuristic 24-page pitch deck that landed legal freelancing app Lawtrades a $6-million Series A
This story is available exclusively to Business Insider subscribers. Become an Insider and start reading now.
- Lawtrades, an online hiring app for legal freelancers, raised a $6 million Series A in December.
- Its growth comes at a time when more lawyers are freelancing for more flexibility.
- Here’s the 24-page deck it used to impress investors like Four Cities Capital and Draper Associates.
Lawtrades, an online hiring marketplace for freelance legal work, just raked in $6 million for its Series A in December.
In 2016, Raad Ahmed and Ashish Walia, both former lawyers, created an easy, all-in-one app for companies to hire legal talent.
“We’ve been hearing a lot about the creator economy and platforms like Substack and Patreon. It’s all about creators and creative people, but no one’s actually looking at professional service providers,” Ahmed told Insider.
A growing number of white-collar professionals have been leaving their companies in droves in search of better work-life balance, flexibility, and personal fulfillment. Lawtrades has more than 1,000 freelance lawyers, paralegals, and other legal specialists on its network, Ahmed said.
Companies can use Lawtrades’ matchmaking algorithm to find legal talent for specific engagements, and can use built-in calendar, video conference, and time-tracking features to manage the project from start to finish. Hiring lawyers through Lawtrades is also much cheaper than hiring one from a Big Law firm. Lawtrades lawyers cost companies around $150 to $250 an hour, depending on the practice area.
Lawtrades originally targeted small-to-medium businesses and startups, but struggled to grow fast enough and failed to find product-market fit.
In 2019, Ahmed and Walia started selling the app to legal departments at tech companies in the pre-IPO or newly-IPO’d stages — a $100 billion market, according to Ahmed. Customers include DoorDash, Headspace, Allbirds, and Pinterest, he said.
“You can be the most advanced tech company in the world, but if there’s only three lawyers that are reviewing all of your sales contracts, onboarding employees, or creating privacy policies for you, you can’t launch products fast enough, you can’t close deals fast enough, and you can’t onboard employees fast enough, because that’s still very human-driven,” Ahmed said.
The growing number of freelancers amid the pandemic spurred growth for Lawtrades, whose number of engagements and revenue grew 2.5 times over the past year.
The startup’s Series A was led by Four Cities Capital, whose portfolio includes Robinhood, Deel, and SpaceX. Existing investors Draper Associates and 500 Startups, as well as around 100 angel investors like the CEO of GoDaddy and the chief legal officer of the Match Group, also participated in the funding.
Lawtrades plans to use the fresh funding to double its team from 15 to 30 people, and expand into different geographies, according to Ahmed. The startup is aiming to hit $25 million in revenue by the end of 2022, more than triple its $8 million mark in December.