How to Get your First Payment Faster and Improve your Liquidation Curve
A key goal for every collection law firm is to get that first payment in the door and to do so as quickly as possible. Payments of course drive revenue and client performance.
As everyone knows many customers may not take collection attempts seriously until they are served with a notice or summons. The number of customers agreeing to pay typically increases 300-500% at time of service. So how do you get the customer served faster? There are 4 key milestones that must be met prior to service which are also common areas of backlog at collection law firms. Reaching these milestones faster can greatly impact speed of service and payment:
- How quickly you can letter
- How quickly can you get a suit out
- How quickly can you e-file a suit
- How quickly can you get information to your process server
We see many firms over-staff in these areas to try to reduce backlog and turnaround time, but they are then faced with the challenge of reallocating staff to lower priority tasks when volume is low.
With Provana’s Business Process Management (BPM) services, firms don’t have to worry about reallocation. Provana provides flexible staffing tied to client production volumes, so firms have minimal idle time or backlog and are achieving legal process milestones as quickly as possible.
What we have seen at most firms, because clients don’t place consistently, there are backlogs of 2-5 days at each one of these milestones. With Provana variable staffing, most firms can shave 10-15 business days off the time from placement to service resulting in attaining the first payment 3 weeks sooner.
Successful firms also use business intelligence tools such as Provana’s IDAP to measure these timelines and identify inventory which may have gone off track.
Want to learn about how Provana can help you get improve liquidation curve and shave days from placement to payment? Click below to get a consult.