Key Takeaways
- • Bessemer Venture Partners acquired a majority stake in Litify, a Brooklyn-based legal operating platform founded in 2016, with the deal announced February 14, 2023; no financial terms were disclosed.
- • Litify has achieved profitability and serves over 45,000 legal professionals globally, with marquee clients including Salesforce and Morgan & Morgan (America's largest injury law firm).
- • Bessemer Partner Brian Feinstein, who brings 15 years of vertical SaaS expertise, will assume the role of Chairman of Litify's Board of Directors to guide the company's next growth phase.
- • Litify positions itself as the only secure, open platform that centralizes legal business operations for law firms and corporate legal departments, addressing increasing operational demands across the legal sector.
- • Bessemer's investment strategy in legal technology builds on a successful track record that includes prior investments in Clio, Disco, and Anaqua, alongside a broader portfolio spanning enterprise software companies like Procore, ServiceTitan, Shopify, and Toast.
Summary
Bessemer Venture Partners has acquired a majority stake in Litify, a Brooklyn-based end-to-end legal operating platform, marking a significant institutional capital commitment to the legal technology sector. Founded in 2016 by John Morgan and Reuven Moskowitz, Litify has grown to serve more than 45,000 legal professionals globally and counts prominent clients including Salesforce and Morgan & Morgan, the nation's largest personal injury law firm. The deal was announced February 14, 2023, at a time when the company has achieved profitability and entered a new phase of expansion.
As part of the transaction, Bessemer Venture Partners partner Brian Feinstein will serve as Chairman of Litify's Board of Directors. Feinstein brings 15 years of experience in business operations and vertical software-as-a-service (SaaS) investing, positioning him to guide the company's strategic direction and operational scaling. According to Litify's founders, the investment reflects confidence in the company's market position and technology differentiation. Founders Morgan and Moskowitz stated they are "grateful for this exciting milestone" and "looking forward to Brian's leadership as they accelerate Litify's growth."
Bessemer's investment underscores the firm's established commitment to the legal technology space. The venture capital firm has a track record of backing industry-defining legal tech companies, including Clio, Disco, and Anaqua, in addition to a broader vertical SaaS portfolio encompassing Procore, ServiceTitan, Shopify, Toast, nCino, and Vlocity. Bessemer has generated more than 145 IPOs and manages a portfolio exceeding 300 companies across enterprise, consumer, and healthcare sectors.
Litify's primary value proposition centers on serving as a secure, open platform designed to consolidate legal business operations and drive efficiency for growth-oriented law firms and corporate legal departments. The platform addresses a widening operational challenge as legal service providers face increasing demands on their workflows and infrastructure. The capital infusion from Bessemer will support accelerated product development, continued expansion, and market position consolidation as Litify seeks to establish itself as the centralized operating backbone for the legal sector.
As part of the transaction, Bessemer Venture Partners partner Brian Feinstein will serve as Chairman of Litify's Board of Directors. Feinstein brings 15 years of experience in business operations and vertical software-as-a-service (SaaS) investing, positioning him to guide the company's strategic direction and operational scaling. According to Litify's founders, the investment reflects confidence in the company's market position and technology differentiation. Founders Morgan and Moskowitz stated they are "grateful for this exciting milestone" and "looking forward to Brian's leadership as they accelerate Litify's growth."
Bessemer's investment underscores the firm's established commitment to the legal technology space. The venture capital firm has a track record of backing industry-defining legal tech companies, including Clio, Disco, and Anaqua, in addition to a broader vertical SaaS portfolio encompassing Procore, ServiceTitan, Shopify, Toast, nCino, and Vlocity. Bessemer has generated more than 145 IPOs and manages a portfolio exceeding 300 companies across enterprise, consumer, and healthcare sectors.
Litify's primary value proposition centers on serving as a secure, open platform designed to consolidate legal business operations and drive efficiency for growth-oriented law firms and corporate legal departments. The platform addresses a widening operational challenge as legal service providers face increasing demands on their workflows and infrastructure. The capital infusion from Bessemer will support accelerated product development, continued expansion, and market position consolidation as Litify seeks to establish itself as the centralized operating backbone for the legal sector.
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