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HIGHLAND PARK
, Ill. (July 16, 2007)--As weakness in the Midwest’s
remodeling market continues to pressure remodeling firms, a
business-debt expert is trying to inform these companies
about a little-known alternative to bankruptcy and other
drastic financial measures: business-debt settlement.
Steve
Newman, Principal of Performance Source Inc (PSI) in
suburban
Chicago
, says, “An NAHB survey released earlier this year showed
that the Midwest was the only
U.S.
region where remodelers reported declines in both current
(2006) business conditions and their expectations of future
conditions. Yet
most GCs and subs in the remodeling business are not aware
of the opportunity to improve their cash flow and strengthen
their balance sheets by settling their past-due debts—that
is, by negotiating with creditors to lower the amounts that
they owe.”
Also
known as payables management, it’s the professional
specialty of firms such as PSI, which Newman describes as
“an advocate for small-to-midsize companies, including
remodeling GCs and subs, who want to pay their debts but are
unable. We
negotiate with these companies’ creditors to lower their
unpaid balances.”
Done
right, commercial-debt settlement can be a risk-free
solution for the client (company in debt), Newman asserts. The
client first decides which payables will be negotiated, then
approves (or declines) each debt settlement proposed by the
negotiator, based on his discussions with each creditor.
The client owes the negotiator nothing if a
settlement is not reached with the creditor.
If it is accepted, the negotiator’s fee is a flat
percentage of the of the debt savings achieved.
Newman
explains that this method has enabled PSI to help thousands
of clients since 1963 to reduce their debts by as much as
70%. Besides
this financial benefit, PSI helps clients focus on
rebuilding their revenues by handling all contact with their
creditors.
Smaller
players in remodeling are especially at risk for debt
problems, Newman notes.
Being more thinly capitalized, they can be hurt
faster by a prolonged construction delay, a materials-cost
increase, and/or other factors, even on just one of their
projects. For
this reason, he advises business owners to learn more about
commercial-debt settlement before their financial situation
becomes urgent.
Steve
Newman is Principal of Performance Source Inc (PSI).
Since 1963, PSI has helped thousands of clients save
millions of dollars and satisfy their creditors without
borrowing money. Under
the company’s risk-free process, clients decide which
payables they want PSI to negotiate, they approve (or
decline) all proposed settlements in advance, and owe PSI
nothing if a settlement is not reached or not accepted.
And because PSI also handles all contact with
clients’ creditors, clients are able to focus on growing
their businesses. Steve
can be reached at 800/883-5080, or snewman@psi1963.com.
The company’s web site is www.performancesourceinc.com. |
