Running a BPP Practice

Setting Up Your BPP Business

Before you prepare your first client document, you need a legally compliant business structure. The structure you choose affects how you pay taxes, what liability protections you have, and how you register with your state. The three most common options for BPPs are sole proprietorship, LLC, and S-Corp.

Registration Requirements

Regardless of business structure, you will need a state business license, any required local permits, and an EIN from the IRS. Your EIN is required for your § 110 disclosure and for any business banking or tax filings.

Business Name Rules

Permitted name approaches: your own name followed by "Document Preparation", "Petition Services", "Filing Assistance", or similar terms that accurately describe what you do. Check with your state's business registration office to confirm your name does not conflict with existing registrations.

Pricing Your Services

BPPs may structure their fees in several ways: a flat fee per case type, per-form fees, or bundled packages that include multiple documents. Most clients prefer flat fees because the total cost is clear before they commit. Whatever structure you choose, transparency and written disclosure are required under § 110.

Market Rate Reference

The ranges below reflect typical BPP market rates. Your rates may vary based on your local market, experience, and service scope.

Transparent Pricing Checklist

Client Agreements and Contracts

A written client agreement is not optional for a BPP -- it is a legal requirement under 11 U.S.C. § 110. The agreement must be signed before any work begins and must contain each of the following elements.

Required Agreement Elements

• Full legal name and contact information for both the BPP and the client
• Scope of services: what documents will be prepared and what is explicitly excluded
• 11 U.S.C. § 110 disclosure: your name, address, and SSN or EIN as required
• Non-attorney notice: a clear statement that you are not an attorney and cannot provide legal advice
• Fee amount: the exact dollar amount charged for the services described
• Payment terms: when payment is due and accepted payment methods
• Refund policy: under what conditions, if any, a refund will be issued
• Signature lines for both the BPP and the client with date fields

Sample Agreement Language

BANKRUPTCY PETITION PREPARER CLIENT AGREEMENT

SCOPE OF SERVICES
[BPP Name] ("Preparer") agrees to prepare the following documents for [Client Name]:
  - B101 Voluntary Petition
  - B106 Schedules A/B through I/J
  - B107 Statement of Financial Affairs
  - B108 Statement of Intention
  - B121 SSN Form
  - B122A-1/2 Means Test Calculation
  - Creditor Matrix

Preparer is NOT an attorney and will NOT provide legal advice of any kind.

11 U.S.C. § 110 DISCLOSURE
Preparer name: [Name]
Preparer address: [Address]
Preparer EIN: [EIN]

NON-ATTORNEY NOTICE
The Preparer is not an attorney licensed to practice law in any jurisdiction.
The Preparer cannot give legal advice, represent the Client in court, or
advise the Client on legal strategy, exemptions, or case outcomes.

FEE AND PAYMENT TERMS
Total fee: $[amount]
Due: Upon signing this agreement, before document preparation begins.
Accepted payment: [methods]

REFUND POLICY
If the Client cancels before document preparation begins, a full refund will
be issued within 5 business days. No refund is issued after preparation begins.

CLIENT SIGNATURE __________________ DATE ______
BPP SIGNATURE ____________________ DATE ______

Documentation and Retention

Retain a copy of every signed client agreement, fee disclosure, and prepared document for a minimum of three years after the engagement closes. Store records in a format you can produce on short notice if a court inquiry arrives.

Marketing Your BPP Business

You may market your services through flyers, community bulletin boards, social media, word of mouth, and referral networks. What you cannot do is make claims that imply legal expertise, suggest your services are equivalent to an attorney, or guarantee any specific outcome.

Permitted vs. Prohibited: 4 Scenarios

Building Client Relationships and Retention

Repeat clients and referrals are the foundation of a sustainable BPP practice. Both depend on a consistent, professional client experience from the first contact through the final handoff.

Client Onboarding Workflow

Communication Cadence

Adopt a 24-hour response standard for all client communications. Send a brief progress update at each milestone: when the agreement is signed, when documents are received, when preparation is underway, and when the packet is ready. Clients who feel informed rarely become difficult clients.

Referral Programs

A simple referral program can generate consistent new business. Ask every satisfied client for a referral at handoff. Incentives can be a small fee reduction for the referred client, a thank-you card, or simply a warm personal request. Do not pay referral fees to third parties in exchange for client leads, as this may create undisclosed financial relationships that affect your compliance posture.

Client Satisfaction and Reviews

After handoff, send a brief follow-up message thanking the client and asking if they would be willing to leave an honest review. Do not offer incentives for positive reviews. Authentic reviews from real clients are your most credible marketing asset.

Staying Compliant Over Time

Compliance is not a one-time setup task -- it is an ongoing practice. Court rules change, § 110 interpretations evolve, and your business circumstances shift. The annual compliance review below is a minimum standard.

Annual Compliance Checklist

Monitoring Regulatory Changes

Key sources for regulatory updates: PACER (for court notices and procedural orders), uscourts.gov (for national form updates and official publications), and your local district court website (for local rule amendments). Review each of these sources at least once per quarter.

If You Receive a Court Notice or Inquiry

Professional Liability Considerations

Some BPPs carry professional liability or errors and omissions insurance. Whether this makes sense for your practice depends on your volume, the case types you handle, and your personal risk tolerance. This module does not recommend specific coverage -- consult an insurance advisor familiar with document preparation businesses before making a coverage decision.

Scaling Your BPP Practice

Most BPPs start with one case type and expand once they have strong systems in place. The natural progression is bankruptcy first (highest demand and most structured forms), then divorce petition preparation, then name change petitions. Each new case type requires learning the applicable local forms and court rules before accepting clients.

Hiring and Subcontracting

Administrative assistants can handle scheduling, intake coordination, and client communication without touching document preparation directly. They do not need to separately comply with § 110 as long as they are not preparing documents. If you subcontract document preparation to another BPP, that BPP must independently comply with § 110 for every document they prepare.

Technology and Tools

As your volume grows, consider tools for: document management (organized storage and retrieval of client files), client tracking (intake status, outstanding documents, preparation progress), and scheduling (appointment management, deadline reminders). Cloud-based tools with strong access controls are preferable given the sensitivity of client financial information.

JustiPal Platform Integration

Completing the BPP Certification qualifies you for listing in the JustiPal professionals directory. The directory connects consumers who need document preparation services with certified, verified preparers. Being listed gives you a credible, centralized presence that clients can find when searching for help.

Growth Path

Module 10 -- Knowledge Check

These five questions cover the core concepts from this module. No answer key is provided. Review the relevant section above if you are uncertain about any item.