Lawhive Raises Millions For AI Legal Platform
Why should small law firms miss out on the power of AI to provide assistance in legaltech processes?
Lawhive, a London-based AI-driven legaltech platform, has secured over £9.5 million ($11.9 million) in seed funding to further its goal of democratizing access to affordable and expert legal services for consumers and small businesses, focusing on small law firms.
The UK consumer legal market, valued at approximately £25 billion, has been criticized for its prohibitively high costs and overly complex, jargon-filled procedures. This leaves approximately four million individuals and one million businesses each year without necessary legal support.
Unlike many AI-based software programs, Lawhive is focused on smaller firms with smaller budgets. Among the ‘big law’ AI-powerd startups are Harvey (U.S.-based; raised $106 million), Robin AI (U.K.-based; raised $43.4 million) and Spellbook (Canada-based; raised $32.4 million).
Lawhive allows lawyers to serve their own clients or connect with new ones through its marketplace. The legaltech platform harnesses advanced AI to streamline various legal tasks, saving time for lawyers and reducing costs and increasing efficiency for clients.
Currently, Lawhive collaborates with over 100 solicitors and lawyers across the UK. It has developed a consumer law operating system that automates routine tasks such as KYC/AML, client onboarding, and document collection. This enables lawyers to focus on more rewarding aspects of their work and earn significantly more than they would in traditional settings.
At the heart of Lawhive’s offerings is an AI lawyer named Lawrence, which is based on Lawhive’s proprietary LLM technology. Lawrence has shown superior performance in legal tasks compared to other LLMs and even passed the Solicitors Qualifying Examination (SQE) with an 81 percent score, well above the passing threshold of 55 percent. Lawrence assists with tasks typically done by junior lawyers or paralegals, thus freeing up senior lawyers to concentrate on more complex and high-value aspects of legal cases.
Pierre Proner, CEO and co-founder of Lawhive, emphasized that the platform is designed to make legal access a universal right making high-quality legal services more affordable and accessible.
Lawhive plans to use the new funds to expand its team, actively recruiting AI engineers and software developers.
Vidu Shanmugarajah, Partner at GV and trained lawyer, commented on the investment, noting Lawhive’s role in transforming the legal industry through innovative technology. He highlighted that the platform significantly enhances legal workflows and expands access to legal advice, making it more accessible and affordable to a wider audience.
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