Like other industries adopting contract work, lottrades Giving legal professionals a way to be independent and run their own virtual law practices.
Raad Ahmed and Ashish Walia started the company in 2016 with an initial focus on startups and small businesses, trying to find product-market fit (as one does), but legal among companies of that size. Usage was often project-based, rare. And short term if the company folds.
In 2019, the company moved to working with mid-market and enterprise-level companies by selling into legal departments, and that’s when growth picked up pace, Ahmed told Nerdshala.
Today, LawTrades works with companies such as Doordarshan, Gusto and Pinterest to provide them with a marketplace of professionals who can be hired remotely and flexibly. Its technology enables professionals and companies to create profiles and match opportunities, monitor projects and get paid through the platform.
“Ultimately, this is a new internet-native work model that we’re starting to legalize because it’s a $100 billion market that hasn’t been disrupted much in the last 100 years,” Ahmed said.
He and Walia wanted to create a different hiring experience than the likes of LinkedIn, where companies would have to weed through hundreds of applicants to find something that qualified. Professionals are also able to provide a flat pricing structure, unlike law firms that have overhead and other firm costs that are typically divided into billable hours.
After doubling revenue in 2021, it closed on a $6 million Series A round led by Four Cities Capital, with participation from Draper Associates and 500 Startups. The round included nearly 100 clients, angel investors and company founders, including Gumroad founder Sahil Lavingia, Teachable’s Ankur Nagpal and GoDaddy CEO Aman Bhutani.
“Because of more lawyers adopting remote legal work at the end of the world and leaving the big law firms to work for themselves, we are cash flow positive and leveraging revenue-based financing, so we need a big thin There was no need to raise equity,” Ahmed said.
At the end of 2021, Lotrade had 80 customers and 150 active engagements on the platform. On the talent side, there are over 1,000 profiles, up from 400 by the end of 2020. Currently, it operates on an invite-only model, and 5% are accepted across the network. 60% of the network is women and over 35% are minorities.
Ahmed said the company’s revenue run rate was $8 million in December, up from $3 million in early 2021. The network has generated over $11 million on the platform to date and over 60,000 hours of work on the platform in 2021, a 200% increase from 2020.
Ahmed plans to use the new funding to rebrand the company, launch an iOS app, expand into other professional categories such as finance and management consulting, and gain an international footprint. It also intends to increase Lotrade’s existing workforce from 15 to 30 in product, support and sales.
“The world of work is in a unique position,” he said. “People are working remotely and companies are looking for talent, so it’s an all-out talent war with the best people getting the best offers. With our model, the person has the power to do the work they do. That’s how we’re able to attract amazing talent and then be able to get companies that want to hire them. We’re reiterating and pushing the limits of the 40 hour work week are.”