Mike Ginsberg: A Mixed Bag for ARM Professionals

by Mike Ginsberg May 15, 2013 (Be the first to respond)

The latest rumblings about the debt collection and accounts receivable management industry are a mixed bag for credit and collection professionals.

To Sell to a Strategic, Financial or an Industry Buyer? Your Role Post-Closing Might Drive the Answer

by Mike Ginsberg May 1, 2013 (Be the first to respond)

One pricing and deal structure are determined, arguably the hardest question an owner/operator will need to answer when it comes time to sell is what role he/she will play post sale.

Where ARM M&A and Compliance Intersect

by Michael Lamm April 25, 2013 (Be the first to respond)

With the media continuing to shine a spotlight on the ARM industry and the ramp up of the CFPB supervisory activities, buyers that are either acquiring or investing into an ARM company are spending much more time evaluating the strength of an organization’s compliance management system (CMS).

To Sell to a Strategic, Financial or an Industry Buyer? Growth May Guide Your Decision

by Mike Ginsberg April 19, 2013 (Be the first to respond)

When it comes time to sell a business, the selling company’s historical financial performance and projected growth rate will have a direct effect on how certain types of buyers will approach pricing and deal structure

To Sell to a Strategic, a Financial, Or an Industry buyer: That is the Question

by Mike Ginsberg April 1, 2013 (Be the first to respond)

Whether to sell your business or not, that was the question. You and your team labored long and hard, building a successful middle-market business and now you’re at the point in your career when you’ve decided that you want to sell it. Should you sell to a strategic, financial or an industry buyer? Lions and tigers and bears, oh my! Not quite, but the choices could be overwhelming.

Mike Ginsberg: Remembering an ARM Industry Stalwart

by Mike Ginsberg March 25, 2013 4 Responses

Pat Carroll, a well-known and well respected collection industry veteran passed away unexpectedly on March 2. The outpouring of emotional, heart-felt condolences since his passing has been overwhelming and for good reason.

Debt Buyer Consolidation – Encore Capital and Asset Acceptance Transaction

by Michael Lamm March 21, 2013 (Be the first to respond)

It is not everyday that one of the largest and well-known U.S. publicly traded debt buyers, Asset Acceptance Capital Corp. (NASDAQ: AACC), announces that it will be acquired by one of its publicly traded competitors, Encore Capital Group, Inc. (NASDAQ: ECPG). But it’s not all that surprising.

Are Recent UK ARM Acquisitions Isolated Events or Trend Setters?

by Mike Ginsberg March 15, 2013 (Be the first to respond)

Not even three months into the New Year and already two major transactions involving sizeable European debt collectors have been announced. Are these isolated events or are any trends developing for US ARM service providers in Europe?

Mike Ginsberg: Is Recent Economic Improvement Enough to Boost the ARM Industry?

by Mike Ginsberg March 6, 2013 (Be the first to respond)

Over recent months, consumers have been piling on the debt at the highest rate since the start of the Great Recession more than 4 years ago. What does this mean for ARM professionals in search of increased placement volumes and improved liquidation results?

Quick Tips for Developing Profitability by Client and Forecast Models

by Michael Lamm February 26, 2013 (Be the first to respond)

Two particular areas that are near and dear to my heart, as an M&A advisor, is the importance of creating and maintaining forecasts and having the ability to track profitability by client.

Update on M&A Activity in the ARM Industry

by Mark Russell February 19, 2013 (Be the first to respond)

The global ARM industry merger and acquisition (M&A) market experienced a pretty wild roller coaster ride over the past year due to changing market and economic trends, which have impacted buyer interest and market valuations.

The New Normal in Debt Buying: Waiting Around

by Mike Ginsberg February 15, 2013 (Be the first to respond)

The biggest point of contention being raised by debt buyers now is that the CFPB’s rules are not yet defined to a point where debt buyers can implement change and, as a result, are operating their businesses in a state of paralysis.

But when the only movement in regulation is coming “upstream” at credit issuers, debt buyers are seeing an environment where they will be waiting around for a while before issuer rules flow down to them or federal regulators address debt sales directly.

Mike Ginsberg: 2013 Will Bring Much Needed Regulatory Clarification for ARM Professionals

by Mike Ginsberg February 5, 2013 (Be the first to respond)

If 2011 was a year of anticipation then 2012 was a year of trepidation, this according to expert Rozanne Anderson who, once again, provides a clear overview of the legislative and regulatory climate for ARM professionals.

Mike Ginsberg’s ABCs of ARM

by Mike Ginsberg January 29, 2013 (Be the first to respond)

One of the very first things parents teach their kids is the alphabet. Many of us learned our ABCs before we learned how to walk. What might our parents say today if they were to teach us accounts receivable management like they taught us the ABCs?

Kaulkin Ginsberg Announces IAB Solutions, LLC’s Acquisition by Skillman Management & Capital, LLC

by insideARM.com January 22, 2013 (Be the first to respond)

Kaulkin Ginsberg is pleased to announce that IAB Solutions, LLC an affiliate of Skillman Management & Capital, LLC has made a strategic investment in IAB and as part of that has acquired IAB from Evergreen Industries, LLC and Greyrock Capital Group.

Mike Ginsberg: Recovery Managers and Collectors Pay Attention to the Details when Forecasting

by Mike Ginsberg January 15, 2013 (Be the first to respond)

It’s important to sweat the details when projecting collection results for a new year. This year, there happen to be a lot of new details to consider.

ARM M&A Activity in Q4 2012 and What to Expect in 2013

by Michael Lamm January 8, 2013 (Be the first to respond)

Q4 2012 was extremely busy with deals that were in motion to close on or before December 31st, ahead of anticipated capital gains tax increases. Despite the passage of those tax increases, we still see high M&A volume in the cards for 2013.

Ginsberg: Maximizing the Value of Your Business Starts Now

by Mike Ginsberg January 7, 2013 (Be the first to respond)

If you’re a business owner, you may find yourself asking your significant other or your trusted advisors the following question: “When is the best time to sell my business?”

Mike Ginsberg: My 2013 Predictions for the ARM Industry

by Mike Ginsberg December 20, 2012 3 Responses

There are a lot of reasons why predictions for 2013 are harder to make than normal. But here goes.

International ARM Markets: Russia

by Mike Ginsberg December 19, 2012 (Be the first to respond)

Russia has a large and re-emerging economy. And the nation already has a fairly mature ARM market. Here’s a look at Russia from a debt collection professional’s perspective.

Mike Ginsberg: A Mixed Bag of Treats for ARM Professionals

by Mike Ginsberg December 10, 2012 (Be the first to respond)

As we turn our focus toward year-end matters, holiday shopping and New Year celebrations, there are 4 important areas to keep an eye on as we forecast 2013 results.

When Selling an ARM Business, Don’t Forget About Private Equity

by Michael Lamm December 5, 2012 (Be the first to respond)

Strategic and ARM industry buyers are not the only fish in the sea to consider when thinking about a sale of your business. Private equity firms have been very active in outsourced business services (OBS) in 2012. We have seen many platform and add-on investments get done this year and I am sure as we approach year-end, there will be a flurry of more deal closing announcements ahead of anticipated capital gains increases.

Understanding the ARM + CRM = BPO Equation

by Mike Ginsberg December 4, 2012 1 Response

The convergence between ARM and CRM has become more apparent over recent years. There are compelling reasons why this trend will continue.

Thanksgiving Laughter

by Mike Ginsberg November 21, 2012 (Be the first to respond)

Laughing is a very important part of Thanksgiving. To get the ball rolling a day early, I compiled my top 10 list of the funniest Thanksgiving quotes. Forward your favorites along.

Changes on the Horizon for Healthcare Debt Collectors

by Mike Ginsberg November 16, 2012 1 Response

In the third quarter of 2012, an alarming trend has taken hold in the ARM industry: at all levels of government, the desire to restrict and control the collection of healthcare debt is rampant.

But this trend has been building all year. Here are the specific moves made recently to restrict medical debt collection efforts.

Mike Ginsberg: Jobs Report, Industry Conferences, and CFPB Supervision

by Mike Ginsberg November 5, 2012 (Be the first to respond)

Mike Ginsberg, CEO of ARM advisory firm Kaulkin Ginsberg, muses over some developments last week that will impact the ARM industry.

Kaulkin Ginsberg: Q3 2012 Outsourced Business Services Sector Review

by insideARM.com November 1, 2012 1 Response

Despite some significant upcoming events and their potential impact on the U.S. economy such as the Presidential election and the expiration of the Bush tax cuts, the outsourced business services (OBS) sector has continued to support an active merger and acquisition (M&A) market.

Navigating the Choppy Waters of a Sale to a Third Party

by Mike Ginsberg October 12, 2012 (Be the first to respond)

As the one most emotionally attached to your business, you will likely find it difficult (if not impossible) to negotiate with a prospective buyer in a detached, dispassionate and effective manner.

Asset Class Diversification is Actually Working for some in the ARM Industry

by Michael Lamm October 10, 2012 (Be the first to respond)

A business publication featured the story of an ARM company that is has experienced significant growth, and is expecting more, by diversifying into different asset classes.

Mike Ginsberg on the Future of Collections

by Mike Ginsberg October 5, 2012 (Be the first to respond)

Over the past two weeks, we looked back at the history of collections and we reviewed the current playing field for collections. Today we are going to focus on the future of collections.

Getting Ready for 2013 – Asset Class Diversification

by Michael Lamm October 1, 2012 1 Response

For the past two decades, the accounts receivable management industry has been dominated by firms that purchased and/or collected credit card receivables. But the financial liquidity crisis of 2008 spurred a sea change in that market.

ARM in the Credit Card Sector: A New Opportunity Unfolding

by Mark Russell September 28, 2012 1 Response

A new, unexpected opportunity seems to be unfolding as a result of the current market trends in the credit card sector and the ARM companies taking advantage of it are not the type you would expect.

Mike Ginsberg’s Blog: The Current State of ARM

by Mike Ginsberg September 26, 2012 (Be the first to respond)

We can sum up the current playing field in accounts receivable management (ARM) in one word: Dynamic. From technology advances, to regulatory oversight, to client demands, to consumer actions, the ARM industry is rapidly evolving and it is challenging for collection professionals to keep up.

ARM Industry Meeting Congress Today on FDCPA, TCPA, CFPB

by Mike Ginsberg September 20, 2012 (Be the first to respond)

There was an informative meeting last night for credit and collection professionals at the Washington, DC offices of ACA International as agency executives prepared for scheduled meetings today with their representatives on Capitol Hill.

Mike Ginsberg’s Blog: The History of the ARM Industry

by Mike Ginsberg September 18, 2012 1 Response

During my recent key note presentation for DCS 2012, I traced the history of collections before addressing current market conditions. In this first of a three-part blog series, I will look back at the evolution of one of the oldest professions: debt collection.

What Challenges and Opportunities Lie Ahead for ARM?

by Mike Ginsberg September 10, 2012 (Be the first to respond)

As we leave the dog days of summer behind and look forward to the crisp cool air of autumn, executives focused on providing debt collection and other ARM services cannot help but feel a little anxious about what’s looming on the horizon for the remainder of this calendar year and beyond.

Mike Ginsberg’s Blog: An Insider’s Perspective on Legislative and Regulatory Affairs Impacting ARM

by Mike Ginsberg August 15, 2012 (Be the first to respond)

Legislative and regulatory activity was relatively quiet during the second quarter of 2012. Was this an aberration or an indication of things to come? However, negative press exploded at the local, state and federal level in Q2, most notably with regard to medical collection activity by Accretive Health. Negative press has served as the leading [...]

Avoid Pitfalls When Responding to an Unsolicited Offer to Buy Your Collection Agency

by Mike Ginsberg August 7, 2012 (Be the first to respond)

The story is eerily similar each time I field a call from frustrated agency owners who decided to walk down the road toward selling their business with a buyer that approached them directly, only to have the transaction fall apart before closing.

Kaulkin Ginsberg Highlights the Active Outsourced Business Services M&A Marketplace

by insideARM.com July 30, 2012 (Be the first to respond)

Kaulkin Ginsberg’s Q2 Report highlights the active M&A marketplace in the outsourced business services (OBS) sector, as buyers and sellers continue to negotiate deals despite the ongoing concerns about regulatory change and stagnant economic conditions. According to Mark Russell, Director with Kaulkin Ginsberg Company, “Q2 results show that buyers and sellers are still motivated to [...]

Mike Ginsberg’s Musings: Student Loans and Mortgages Take the Reins

by Mike Ginsberg June 8, 2012 3 Responses

For over a decade leading up to the Great Recession, student loans and mortgages reigned as the largest source of new business for those collecting past due accounts receivable across all asset classes. In recent years, however, mortgage and student loan outstandings have emerged as the asset classes with the largest outstanding balances. And these sectors are well positioned for significant growth.

Mark Russell: How Do You Solve a Problem Like Student Loans?

by Mark Russell May 30, 2012 4 Responses

The primary reasons for these challenges have also been well documented – uncontrollable increase in the cost of a college education; access to “cheap” public student loan financing, and even private loan options; ignorance of students and their parents as to the long-term financial implications of taking on large student loan debts; and a troubled economy with a stubbornly high unemployment rate particularly for recent college graduates and college drop-outs.

Mike Ginsberg: First Quarter ARM Legal, Legislative and Regulatory Climate Summed Up

by Mike Ginsberg May 21, 2012 1 Response

The mood at industry conferences is palpably somber as information is spoon-fed to the industry about increased enforcement action by the Federal Trade Commission (FTC) and state regulatory agencies, the Consumer Financial Protection Bureau’s (CFPB) advances to regulate the industry and the relentless onslaught of consumer driven litigation.

Michael Lamm: Healthcare ARM and RCM Industries Converging

by Michael Lamm May 17, 2012 (Be the first to respond)

The convergence between Accounts Receivable Management (ARM) and Revenue Cycle Management (RCM) providers continued to be apparent in Q1, as both strategic buyers and larger private equity backed Healthcare OBS companies were aggressively seeking acquisition opportunities in both markets.

M&A Activity Explodes in First Quarter of 2012

by Mark Russell May 10, 2012 (Be the first to respond)

Buyers of accounts receivable management and related outsourced business services (OBS) companies seem to have bucked the trend of declining merger and acquisition (M&A) activity in Q1 2012, and instead acquired the largest number of companies in a quarter in over year.

Mike Ginsberg: The Caution Flag is Out When It Comes to Private Equity Buyers

by Mike Ginsberg May 8, 2012 (Be the first to respond)

Private equity firms are expecting to increase their investment activity overall this year. The good news for business owners who are contemplating a sale is that significant amounts of investment capital have been sitting on the sidelines waiting to be deployed, and private equity professionals are eager to transact.

Mike Ginsberg: Fixing The U.S. Postal Service Will Have Dramatic Effect on ARM Companies

by Mike Ginsberg April 26, 2012 (Be the first to respond)

Yesterday the U.S. Senate passed a plan to save the Pony Express, an effort that could save tens of thousands of jobs and keep opened a staggering number of processing plants and post offices slated to be closed or consolidated as soon as next month. Rescuing the USPS will have a dramatic effect on debt [...]

Mike Ginsberg’s Musings: Developing Trends for ARM Professionals

by Mike Ginsberg April 17, 2012 (Be the first to respond)

Happy Tax Day! To continue this week on an informative note for ARM professionals, I will take a look at three important trends developing. Be on the lookout for our Q1 report which will be made available shortly and will contain valuable information about developing M&A trends and the regulatory climate. Unemployment Rate Reduction Remains [...]

Mike Ginsberg: Lessons from Spring Break that Translate to Business

by Mike Ginsberg April 10, 2012 (Be the first to respond)

I just returned from a terrific spring break trip with my family to the Dominican Republic. Punta Cana is a wonderful place to visit. The beautiful clear blue water, sandy beaches, helpful staff and wonderful accommodations all set the stage for a memorable week away from the office. One thing that stood out for me [...]

Even Business Publications are Getting it Wrong on Collectors

by Mike Ginsberg March 27, 2012 2 Responses

Did you hear the one about the Bloomberg reporter ripping the entire student loan debt collection industry?

How Unemployment, the Post Office, and Capital Gains Taxes Could Influence Your Collection Agency

by Mike Ginsberg March 8, 2012 (Be the first to respond)

If you follow my blogs, you know that I typically dive into a particular topic that is on my mind. Today I am going to address three important topics, two that directly impact ARM professionals and one that is important to any owner who is thinking about selling his or her business. Buckle up because [...]

Outsourced Business Services Sector Year-End Review – 2012