New Technology Empowers Companies To Fight Aging Receivables With Mechanics Lien Filings
New Orleans, LA (PRWEB) July 11, 2013 -- “Credit professionals constantly pour over their accounts receivable aging summaries,” says Scott Wolfe, zlien’s CEO and an attorney with significant experience in construction and corporate credit law. “When a company has 100+ accounts that cross into the dangerous 90+ column, what can be done?”
Debt collectors, credit managers, and business executives all over the country know this pain, and understand the perils of aging accounts receivable.
“It’s collections 101,” says Nate Budde, a licensed attorney and zlien’s Chief Legal Officer. “As a debt ages, it becomes less and less likely to get collected.”
Recent research by zlien about the effectiveness of certain lien documents makes the case that companies in the construction industry can use notices of intent to lien, and subsequent mechanics liens, to turn desperate accounts into cash.
According to the above research, in 47% of cases, accounts are paid within 20 days after a notice of intent to lien demand is sent. And then, if a mechanics lien filing is necessary, 64% of the remaining claims are paid within 60 days.
“These statistics set up companies to get a significant return on investment with the lien process,” says Wolfe.
While the statistics support starting the lien process against all aging receivables, practical barriers have separated companies from that remedy. New technologies have now emerged that enable companies to understand their mechanics lien rights on a national scale, and to record their liens electronically nearly instantly, all over the nation.
“It’s a new day for the construction industry,” says Wolfe. “A company can import 1000 overdue accounts into zlien’s system and immediately know on which accounts they do and do not have lien rights, and then electronically record their claims, all with the click of a button.”
“Filing a single mechanics lien is complicated and a pain in the neck”, continues Budde, “but filing mechanics lien claims in bulk all across the country is a real headache. And filing them all correctly, and without a painfully long turnaround time, is a near impossibility without this technology.”
Companies looking to clean up their accounts receivables and leverage the lien process into better cash flow can l earn more about zlien’s bulk mechanics lien processing here.
About: zlien provides software and services to help building supply and construction companies reduce credit risk, and control receivables, through the management of mechanics lien and bond claim compliance. Founded by experienced construction attorneys, zlien is the leading publisher of mechanics lien and bond claim resources and analysis, and has led the industry in innovating credit risk management solutions by utilizing the lien and bond claim laws. Learn more about zlien at http://www.zlien.com
Scott Wolfe, zlien, http://www.zlien.com, 866-720-5436 700, [email protected]
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