WHAT HAPPENS WHEN YOU IGNORE YOUR BK?
You lose money. Period. Many rationalize that just opening the envelope will cost time and resources and will only compound an inevitable loss, but that is dead wrong conventional wisdom born of financial managers’ lack of legal training and eye toward expedience. BKPAY eliminates the never-ending flood of snail mail notices, replacing it with Electronic Bankruptcy Noticing (EBN) and “Action Only” emails ONLY when creditor interaction is required. Every time a Proof of Claim filing date or other recovery opportunity is missed by a creditor, a neglectful write off of the entire balance is imposed on shareholders. BKPAY assumes your management burden for a small per account setup fee that is more than offset in so many ways. Otherwise, all BKPAY fees are contingent on recovery.
There is no cost savings to be realized by ignoring bankruptcies and certainly no cost benefit to automatically writing off salvageable high balance bankruptcies. In fact, writing off preventable losses against bottom line profits would surely be considered a serious breach of management's fiduciary duty to shareholders.
YOU CAN ACTUALLY GET MONEY FROM A BK
When customers file for bankruptcy protection, most assume they have to terminate their unexpired equipment leases and other performing credit agreements (Executory Contracts). But, when asked immediately after filing their petitions, most say they’d prefer to assume their contracts, pay their accounts current, recommit to their creditors and emerge from bankruptcy better customers grateful for the second chance. The problem is creditors never ask. So that rarely happens.
30% OR MORE OF YOUR BANKRUPTCIES ARE SAVED
BKPAY pulls Profits, Assets and Customers back from the Brink of Bankruptcy Loss.
OUR CLIENTS THINK THIS IS THE GREATEST IDEA EVER
Creditors never before have imagined bankruptcies in a good light, because they never imagined or explored the legal possibilities and strategic opportunities BKPAY represents. But, when their first Contract Assumptions are returned almost immediately, they think it's the greatest idea ever. And, so do their customers. It is then that they recognize a complete change in the dynamics of Bankruptcy Case Management, from cost avoidance to profit enrichment.
PROFILE OF COMMERCIAL B2B CUSTOMER BANKRUPTCIES
BKPAY exploits sales opportunities that are not otherwise evident.
- 35% are Personal Chapter 7, 12 & 13 filings
- They file as individuals and list their business entities as Co-Debtors on Schedule H Database scrubs often miss these accounts entirely
- 40% are Business Chapter 11 & Personal Chapter 13 filings
- Their intent at time of filing is to pay some or all of what they owe The smart creditor seizes the opportunity of such good intentions and doesn’t wait for things to change for the debtor
- 60% are Personal and Business Chapter 7 filings, seeking to be discharged of all debts
- 70+% of these are professionals, service or tradespeople who emerge from bankruptcy debt free and creditworthy, go back into business under new names and jump to the competition
On their shareholders’ behalf, creditors who ignore their bankruptcies, casually accept a substantial 4-Way Loss:
- Wasted Customer Acquisition Costs
- Lost/Stolen Assets
- Excessive Bad Debt Write Offs, and
- Loss of Future Business and Market Share