Six Growth Strategies for ARM Firms in a Down Economy

Collection professionals are confiding in me that they have never experienced a collection environment like this before. “When is it going to get better?” they ask. “When will the economy improve?” “How do I grow my business in this recession?”

Tough times call for a creative and thoughtful business strategy. Consider the following strategies as you seek to grow your business:

1. Establish a benchmark group with peers. Easy to say and a lot harder to do. Benchmark groups are only valuable if the participants are truly peers who are willing to spending their time with you exchanging information and ideas.
2. Hire proven talent to fill voids within your business. Because of downsizing, there is a lot of talent looking for employment. Be selective and do your homework. Talk to past employers, clients, and colleagues to determine why they are available and if they could add value to your organization. Then structure their compensation around success achievement of the goals that you and they establish. If you’re not willing to invest the time up front, don’t expect that you will achieve desired results. 
3. Partner with established companies to expand capacity, provide new services to your clients, and to expand your own client base. Other companies are experiencing the same headaches that you’re experiencing. Approach them to cross-sell. They may be receptive. Be sure to do your homework before engaging. 
4. Acquire a smaller or distressed business. Now is the time to consider reaching beyond your own business for growth. Be proactive. If you have excess capacity, folding in another business might make sense. Be sure to price and structure the transactions appropriately so you’re not left holding the bag. 
5. Reassess your marketing and advertising strategy. Don’t disband it altogether, but revisit your plan. Evaluate where you’re spending your money and where you’re achieving the best results. Look to the web and social media. 
6. Evaluate whether to attend or exhibit each conference or trade show on an individual basis and not because you did it before. I just returned from the annual ACA International Convention which took place in Las Vegas this year. Traveling to Sin City is not an easy trip for me from D.C. and staying at the Wynn is not inexpensive, so the decision to attend this conference was not taken lightly. I am glad I decided to go because I had the opportunity to speak to an engaged group of professionals and establish (and re-establish) valuable contacts.

What are you doing to grow your own business? Share your thoughts and strategies with us below.