Recovery Project Options

 

• 1st Party Outsourcing
• Audit Approach 3rd Party Outsourcing
• Cash Management Analysis
• Multi Tiered Accounting Options
• Educational Training for Staff
• Flexible Contingent & Fixed Fee Rate Options

 

Overview: Recovery Solutions Group:
Purpose of 1st and 3rd party accounts receivable management. There are multiple options available to suit every situation, as our programs are fully customizable. We can design and implement a viable, cost effective program that will address all needs, regardless of size, age, or condition of the portfolio.

Purpose:
Reduce your company’s Days Sales Outstanding (DSO), thus increasing cash flow, while decreasing the costs associated with the recovery process. Maintain the good will and patronage of your customers. Assist in identifying reasons for non-payment. Re-establish communications and assist with the reconciliation of previously undefined accounts.  Modify and rehabilitate your customers payment habits to better adhere to their established credit terms.

Expected Results:
Simply put, recover more money, in a shorter period of time, for less cost to your company, without alienating or eroding your customer base.

 

Accounts Receivable Management Strategies

 

Strategy 1  (1st party, Full A.R. Management)

• Address complete accounts receivable inventory
• Multiple cash application and payment processing options available
•  1st party contact on all accounts until 90 days
• Continuous program with gradual reduction of inventory and costs
• 90+ day accounts receive 1st party pre-collection letter on the 1st day of the month. Non-payment will result in escalation to 3rd party Audit approach in the name of RSG, on the 10th of month. Move to 3rd party collections if no payment before client designated time-frame, i.e. 120- 150 days (20% contingent collection fee rate)
• Fee rates vary from 3%-10% contingent, or fixed monthly fee rate to be negotiated
• Projected total liquidation rate of 90%-96%

Strategy 2   (1st party, 30/60 day A.R. Management)

• Address 30/60+ day accounts receivable inventory
• Multiple cash application and payment processing options available
• 1st party contact on all accounts until 90 days
• 12-36 month program
• 90+ day accounts…same as Strategy 1  Fee rates vary from 5%-12%  contingent, or fixed monthly fee rate to be negotiated
•  Projected total liquidation rate of 85-90%

Strategy 3   (3rd party, 60/90/120 day Audit Approach)

• Address 60/90/120+ day accounts receivable inventory, in the name  of RSG
• Multiple cash application and payment processing options available
•  3rd party contact on all accounts until 120 days
•  12-36 month program
• Audit approach until 150 days. 150+ day accounts receive pre-collection letter on the 1st day of the month. Move to 3rd party collections (RSG) if no payment before client designated time-frame(20-25% contingent collection fee rate) Fee rates vary from 8%-18% contingent, or fixed monthly fee rate to be negotiated
• Projected total liquidation rate of 70-85%

 

***Programs are fully customizable and negotiable. Liquidation percentages and fee rates are merely estimates based on historical data. Call today for an accurate fee rate and liquidation rate quote based on the individual merits of your portfolio.