Overview
A Source of Funds request is how your law firm checks where the money for your transaction is coming from. Your firm has sent it to meet their legal and regulatory obligations, and completing it is a required step before your matter can progress.
You may be completing this for a personal transaction (for example, buying a home) or a business transaction. You may not notice the difference until you reach the sources step, where the information you are asked for depends on which type of transaction your firm is handling.
Why your law firm has asked for this
Law firms are required by anti-money laundering regulations to understand and evidence where your funds come from. This applies to both personal and business matters. Completing the request accurately helps your firm meet these requirements and avoids delays to your transaction.
What you will be asked to provide
Whichever type of request you have, you will:
Declare each source your funds are coming from, and the amount from each
Provide bank statement evidence, either by connecting your bank account securely or uploading statements
Explain any transactions that may need further context, such as large or overseas payments
The sources you can choose from are where the two types differ.
Personal transactions (including residential property purchases)
For a personal transaction, you will be asked about sources such as savings, a mortgage, the sale of a property, investments, a loan, a gift, or an inheritance. You provide the evidence for each source yourself.
Commercial transactions
For a business transaction, you will be asked about sources such as business profits, shareholder or director funding, external investment, asset sale proceeds, or bank and commercial loans.
If part of the funding comes from a third party, such as an investor or another business, you can delegate that source so they complete their own section directly. Delegating a source is only available for business transactions.
ℹ️ Further guidance
ℹ️ Tip
You will not see a label telling you which type of request you have. On your side it is simply called Source of Funds. If you are asked about business sources, or you can delegate a source to someone else, you are completing a business transaction request.
Where to find this in Legl
You access a Source of Funds request from the secure link your law firm sends you, by email or shared directly. The link opens your request in Legl. You do not need to create a Legl account to complete it.
Important information
The link your law firm sends gives you direct access. You do not need a Legl account.
Your information is submitted securely to your law firm through Legl. It is not shared with any other party without your firm's involvement.
If you are unsure which source applies to you, contact your law firm directly rather than guessing, as inaccuracies can delay your matter.
Legl cannot review or approve your submission. All decisions sit with your law firm.