New Irish association The Receivables Management Services Association (RMSA) has released the first review of the Irish collections industry. The Review looks at the size of the current market, the debt levels in the SME sector and the reasons why more businesses are not using the services of collections companies.
The review (launched in partnership with Esendex) highlights that there is a significant potential for growth in the industry if they suppliers convince SME’s to use the services more. Irish SME’s have over €4 billion of bad debt but only a small portion of this is referred to a third party for collection. The industry has had an image problem which has been identified in the Review. The research in this area identifies that the general business community does not know a lot about the industry. The RMSA will be working to educate the market and correct its perception.
The newly launched RMSA was founded to represent the firms supplying receivable management services within the Irish market. These firms provide a range of services from third-party collections and debt purchase through to business information, software services and invoice finance.
The RMSA also works with its members to set and maintain the highest standards of operation so that both clients and debtors can be confident they will be dealt with honestly and fairly. The collections members of the RMSA all sign up to a code of conduct and the association will investigate and act on any breaches of the code. A significant focus for the RMSA will be to increase the profile of the industry within the general business community and to correct some misconceptions that may be held. While already providing a valuable service the RMSA will work to increase the industries economic impact
Billy O’Dwyer Chief Executive of the RMSA said “The RMSA grew out of a desire for representation from companies within the industry. They know that the industry has a lot to offer the business community but also that a trade association was needed to help get the message across. With BREXIT looming businesses will need help to maintain their cashflow and the associations members are here to help.”
“The idea for the report came from the realisation that our members were not recognised as an industry. We regularly use the term ourselves but outside the industry there was not the same level of recognition. The report is a first step in educating the market on the size and potential of the industry.”
The RMSA will be holding a Launch and Networking Event on the morning of the 23rd November in the IMI, Sandyford. This is targeted at any business owner, CFO or credit manager who wants to stay abreast of developments in the market and network with fellow professionals. A limited number of tickets are still available at www.RMSA.ie.