WRITTEN-OFF
ACCOUNTS
AND BANKRUPTCY CLAIMS
Regardless of their
business, most companies have receivables that are highly aged. They
sit in piles or boxes in a manager’s office or in storage awaiting
the next action in a series of attempts to collect. Despite the company’s
best efforts, many of these accounts are never paid. Ultimately, because
they no longer justify the resource investment in continuing collections,
they are either forgotten or written-off and collection efforts are
ceased. Oak Point Partners provides an outlet for companies to turn
these unproductive receivables into cash. We use our experience to work
with the owners of aged receivable portfolios to structure a transaction
that maximizes the benefits to the seller while minimizing resources
required from the seller.
In the course of
our work with highly-aged receivables, we also have discovered that
many companies are sitting on non-performing bankruptcy claims. Rather
than waiting for unknown payouts down the road, an increasing number
of companies are generating extra cash by selling these trade claims
to Oak Point Partners.
In the past, we
have worked successfully with CFO’s, credit and collections managers,
private equity firms (prior to selling a distressed portfolio company,
as well as following the purchase of a new company or add-on acquisition),
secured lenders, turnaround/restructuring officers and trustees.
