Lawtrades wants to revolutionise the way your organisation uses legal resources

Lawtrades, like other businesses that have embraced contract labor, is providing a method for legal professionals to become autonomous and establish their own virtual law offices.

Raad Ahmed and Ashish Walia founded the company in 2016 with an initial focus on startups and small businesses, attempting to find product-market fit (as one does), but discovering that legal usage among companies of that size was frequently project-based, infrequent, and short-term if the company folded.

According to Ahmed, the company’s growth accelerated in 2019 as it shifted its focus to dealing with mid-market and enterprise-level organizations by selling into legal departments.

Lawtrades now collaborates with businesses like Doordash, Gusto, and Pinterest to provide them with a marketplace of experts that can be employed remotely and with flexibility. Its technology allows professionals and businesses to build profiles and be matched to opportunities, as well as monitor projects and pay through the site.

“Ultimately, we are beginning with legal a new internet-native employment paradigm since it is a 100 billion business that has not been impacted much in the previous 100 years,” Ahmed said.

He and Walia intended to create a recruiting experience that was distinct from that of LinkedIn, where firms had to sift through hundreds of candidates to locate the qualified handful. Professionals may also provide a flat price structure, as opposed to legal firms, which have overhead and other firm expenses that are often integrated into billable hours.

Following the tripling of sales in 2021, it completed on a 6 million Series A investment headed by Four Cities Capital, with Draper Associates and 500 Startups participating. Nearly 100 consumers, angel investors, and business founders participated in the round, including Gumroad founder Sahil Lavingia, Teachable’s Ankur Nagpal, and GoDaddy CEO Aman Bhutani.

“Because the world is finally accepting remote legal work and more attorneys are leaving major law firms to work for themselves,” Ahmed said, “we’re cash-flow positive and leveraging revenue-based financing, so we didn’t have to execute a huge dilutive stock raising.”

Lawtrades has 80 clients on the platform and 150 active conversations by the end of 2021. On the talent front, over 1,000 profiles have been created, up from 400 by the end of 2020. Currently, it operates on an invite-only basis, with just 5% of applicants approved into the network. The network is 60 percent female, with about 35 percent being minorities.

According to Ahmed, the company’s revenue run rate was 8 million in December, up from 3 million at the start of 2021. The network has earned more than 11 million on the platform so far, and over 60,000 hours of labor have been registered on the platform in 2021, a 200 percent increase from 2020.

Ahmed intends to rename the firm, develop an iOS app, expand into other professional areas such as finance and management consulting, and acquire a worldwide presence with the additional cash. He also plans to more than quadruple Lawtrades’ existing personnel from 15 to 30 in the product, support, and sales.

“The world of work is in a unique position,” he added. “People are working remotely and companies are looking for talent, so it is an all-out talent war with the best people getting the best offers. With our model, the power is in the individual to pick the kind of work they want to do. That’s how we are able to attract amazing talent and then be able to get companies that want to hire them. We are iterating on and pushing the boundaries of the 40-hour workweek.”