TouchStar to Grow Collections Group with Acquisitions

TouchStar is planning to acquire two collection technology companies in 2008 and merge them into the company’s collection division, CEO Steve Bederman told insideARM.com Wednesday.

“Those acquisitions will make us the largest company providing call center software to the collections word,” Bederman said. The acquisitions will continue the company’s quick growth of the last few years, and help prepare TouchStar for an initial public offering within the next 24 months, Bederman added.

The 10-year old, privately held company headquartered in Denver, acquired Digisoft in 2005, Sigmaworx in 2006, and Data-Tel in 2007, and now has seven worldwide offices that support more than 2,500 global business clients.

In addition to growing the number of offices and clients, TouchStar recently launched its 2008 Call Center System, an application designed to connect thousands of contact center agents in a worldwide environment.

For the collections industry, TouchStar also offers a predictive dialer, which the company backs with training for collection managers. The company points out that predictive-dialer strategies can help collection firms reduce work gaps, increase liquidation rates, and ensure that every account is worked to meet auditing requirements.

TouchStar reports its technology allows collection managers to focus on training and mentoring agents as the system identifies problem areas. The system alerts supervisors of any problems and provides real-time graphical comparisons of collector and campaign productivity.

TouchStar also offers call center software, an IP PBX phone system, a hosted call center system, long distance, voice and data services, and voice messaging. Other new products will be unveiled later this year, Bederman added.

While working toward an IPO, the company has received funding from SVB Silicon Valley Bank (“TouchStar Selects SVB Silicon Valley Bank for Acquisition Financing,” Feb. 1).

“We build around processes, management and training,” Bederman added. “We build scalable processes that allow for growth. We train our people to manage to support the processes. The processes are geared to work.”

TouchStar University provides continual training to all employees via a combination of classroom settings and Web-based programs. The training consists of a series of courses to take the participants from basic to advanced levels with equal emphasis on both the technical side and customer service.