RF aims to help law firms modernize with Nextpoint’s eDiscovery offerings
PE Hub recently interviewed RF Investment Partners Director Jacob Gordon to discuss the firm’s interest in the legal tech space and its recent investment in legal software platform Nextpoint.
The need for modernization in the legal industry was a key focus of the investment thesis for RF Investment Partner’s recent minority investment in Nextpoint. The legal software industry is still green, and there are still a lot of manual processes in the legal world — meaning there’s an opportunity for it to become automated, leading to potential sales in the market.
“Law firms tend to have really good retention dynamics,” said Gordon. “Once they adopt a technology solution, they tend to commit to it.”
RF is looking for new investments in other leading technology businesses. The firm is focused on software businesses that have $5 million annual recurring revenue and above, with strong retention, and typically have a clear path over the next 18 months to cashflow neutral. RF is also focused on companies that specialize in workflow automation and touch data and businesses.