Legaltech refers to the use of technology in the delivery of legal services. The legaltech industry has experienced significant growth in recent years, with investment in legaltech startups reaching over $1.5 billion in 2020.
Main Applications of Legaltech
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Contract Generation and Management: Legaltech companies are providing automated contract generation and management services, streamlining the process and reducing the need for manual contract review. Companies such as LegalZoom and Contractbook are leading the way in this area.
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Equity Management: Legaltech companies are providing equity management services, automating the process of equity management and reducing the need for manual data entry. Companies such as Carta and Shareworks are leading the way in this area.
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Law Firm Management: Legaltech companies are providing law firm management services, automating tasks such as invoicing and payment processing. Companies such as Clio and Rocket Lawyer are leading the way in this area.
Success Cases in Legaltech
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Shareworks: is a legaltech company that provides equity management services for private and public companies. In 2019 it got acquired by Morgan Stanley to boost its wealth management division.
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LegalZoom: LegalZoom is a legaltech company that provides contract generation and management services. The company has a valuation of over $1 billion and has raised over $800 million in funding before going public.
Important Legaltech Investors
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QED Investors: QED Investors is a venture capital firm that invests in legaltech startups and other technology companies. The firm has a portfolio of over 50 companies and is known for its investments in successful companies such as Cognito and Atrium.
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Founders Fund: Founders Fund is a venture capital firm that invests in legaltech startups and other technology companies. The firm has a portfolio of over 100 companies and is known for its investments in successful companies such as SpaceX and Palantir.