At Stanwood Capital, we have been very successful in recovering past due receivables for a variety of businesses all over the United States (and even beyond!) -- here are just a few examples:
An Ohio environmental concern was owed the principal amount of roughly $28,000 by a subcontractor on a State government project. After more than 8 months of unsuccessful efforts to collect, the environmental concern turned the account over to Stanwood Capital for collection. It took several weeks, but Stanwood Capital discovered that the delinquent customer actually had its contract terminated by the State for non-performance. Additional research revealed that the delinquent customer had secured a performance bond for its portion of the State project. On behalf of its client, Stanwood Capital initiated a claim on the bond, thereby exerting leverage on the delinquent customer to pay the entire $28,000, which it did – in person! It took a little more than 4 months from account assignment to final payment, but our client was ecstatic that Stanwood Capital was able to recover 100% of what it was owed.
A commercial heat treating company in Michigan was owed approximately $3,000 by a contract manufacturing and machine rebuilding operation, also in Michigan. The account was roughly 90 days past due, but our client had not been able to get the delinquent customer to respond to its many attempts to collect. Stanwood Capital was assigned the account and after a few well-placed phone calls to the Controller and President, the delinquent customer paid the full amount due via credit card within 10 days!
One of the world’s largest sheet acrylic manufacturers, located in Ohio, assigned two accounts totaling more than $5,000 to Stanwood Capital, one in Michigan and the other in New York. Both accounts were significantly past due with little to no communication from the delinquent customers prior to assignment. Stanwood Capital was able to get 100% recovery from the New York customer within 3 weeks. However, the Michigan customer had been experiencing serious cash flow issues and needed time to pay down the debt. With persistent, but respectful, handling by Stanwood Capital, the delinquent customer made small periodic payments and over time paid the account in full.
A Tennessee machining and tooling shop was owed nearly $24,000 by a metal castings company, also in Tennessee. After more than 9 months of silence from the delinquent customer, Stanwood Capital was asked to attempt to collect the debt. The client thought its delinquent customer may have entered into bankruptcy, but did not know for certain. After researching the delinquent customer as well as the bankruptcy court’s docketing systems, Stanwood Capital discovered that the delinquent customer had in fact gone into bankruptcy but had recently been acquired out of the bankruptcy and that the debt had become the acquiring company’s responsibility. With additional research, Stanwood Capital was able to make contact with the acquiring company, which had its international headquarters in Kentucky but its operations headquarters were in Michigan. After a few weeks of communications with its CFO, the acquiring company agreed to a structured payment schedule, which over the subsequent three month payment period resulted in 100% recovery for our client.
An Ohio advertising and marketing firm was owed more than $25,000 by a local used car dealership for a year’s worth of various media marketing and advertising services. The delinquent customer was unresponsive to our client’s attempts to collect over several months, when the account was handed over to Stanwood Capital. Working with the delinquent dealer’s counsel and accountant, we were able to hammer out a settlement of $24,000 on behalf of our client, which we hand delivered to our client within two months of the account having been assigned to us. Needless to say, our advertising client was very pleased with this result – as were we!
A Texas electrical contractor was owed $8,400 by a Texas oil concern for electrical work at one of the oil company’s plants. After nearly 10 months of the account being unpaid, it was assigned to Stanwood Capital for collection. Stanwood Capital conducted some research on the delinquent customer and located one of the owner’s mobile number and after speaking with the owner payment in full was made within 1 week!
A paint and finishing manufacturer located in Denmark needed assistance in resolving a distributorship deal gone bad. The US distributor, located in California, for the Danish company had violated its distributorship agreement and the Danish company had formally terminated the relationship. However, the California distributor had not paid for the nearly $18,000 in product it had previously ordered and taken delivery of. Stanwood Capital was brought in to assist in resolving the dispute and after nearly three months of negotiations, we were able to engineer a settlement that resulted in the payment of a little more than $5,000 – and the return of the remaining unsold product that had been stored in a Florida warehouse – by the terminated California distributor to our client in Denmark. A tremendous win-win!
A high-end Central Ohio sign fabricator and installer assigned three separate significantly past due accounts to Stanwood Capital. Two of the delinquent companies are highly recognizable in their industries, so it was surprising that they would not pay their bills. As with a lot of delinquencies, there can be extenuating circumstances that impact the customer’s ability or desire to pay. Such was the case with one of these accounts. A franchisee of a large restaurant chain basically was extended too thin on other projects and was attempting to leverage this debt until it had adequate cash flow from other projects to pay off this account. That didn’t sit well with our client (which meant it didn’t sit well with us!) so we applied appropriate pressure at the restaurant’s corporate level, which eventually resulted in not only recovering 100% of what was owed, but we were able to convince the delinquent customer to pay our fee as well! Overall, we fully recovered all three accounts for roughly $60,000 – much to the delight of our client!
Contact us today to find out how we can save your business money while recovering your delinquent commercial accounts.
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