63 lines
2.0 KiB
Markdown
63 lines
2.0 KiB
Markdown
# DRE Fee Structure — Proposed for Tony
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## Standard Fee Schedule
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### Tier 1 — Soft Touch (automated email + payment link)
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| Claim Amount | DRE Fee | Client Receives |
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|---|---|---|
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| $1,000 – $5,000 | 25% (min $250) | 75% |
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| $5,000 – $15,000 | 22% | 78% |
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| $15,000+ | 20% | 80% |
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*Includes: email demand, Stripe ACH payment link, 14-day response window*
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### Tier 2 — Formal Demand (certified mail via LetterStream)
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- Flat 30% across all claim amounts
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- Client receives 70%
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*Includes: Tier 1 + certified letter, 15-day demand notice, proof of delivery*
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### Tier 2.5 — Lien Threat (construction claims only)
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- 30% if pre-lien notice resolves it (DRE-led)
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- 30% + attorney filing fee if actual lien filed
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### Tier 3 — Escalation (final notice + intensive contact)
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- Flat 33% across all claim amounts
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- Client receives 67%
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*Includes: Tier 1-2 + final demand, skip tracing, enhanced debtor research*
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### Tier 4 — Legal Action (referral to partner law firm)
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| DRE referral fee | Law firm litigation fee | Client receives |
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|---|---|---|
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| 10% | 25% | 65% |
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*DRE handles: case file prep, document transfer, client communication*
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*Law firm handles: filing, court appearances, judgment enforcement*
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## Example — $15,000 Claim
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| Scenario | DRE Fee | Client Gets | Timeline |
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|---|---|---|---|
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| Tier 1 (email) | $3,300 (22%) | $11,700 | 2-14 days |
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| Tier 2 (certified) | $4,500 (30%) | $10,500 | 15-30 days |
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| Tier 3 (final notice) | $4,950 (33%) | $10,050 | 30-60 days |
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| Tier 4 (litigation) | $1,500 (10%) + $3,750 (firm) | **$9,750** | 60-180 days |
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## Out-of-Pocket Costs (passed to debtor or deducted from proceeds)
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| Cost | Amount | When |
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|---|---|---|
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| Online notarization (LPOA) | ~$25-35 | Per claim |
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| Identity verification | ~$4 | Per signer |
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| Certified mail | ~$8.34 | Per letter |
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| Court filing fees | ~$250-400 | Tier 4 only |
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## Questions for discussion with Tony
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1. Flat 30% across all tiers vs tiered rates?
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2. Minimum fee floor ($250)?
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3. Volume discounts for repeat clients?
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4. Payment processing fees passed to debtor?
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