Q1: What is Greenleaf Capital?
A1: Greenleaf Capital is a purchaser and a national, value-added distributor of
charged-off accounts. Quite simply, Greenleaf Capital purchases bad debt and delinquent
receivables for cash.
Q2: Do you buy our accounts receivable?
A2: Yes, this is exactly what Greenleaf Capital does. Greenleaf Capital does not
collect these accounts on your behalf on a contingency basis or otherwise. Greenleaf
Capital makes an outright purchase for cash of the financial rights to the invoices sold.
Q3: Why would I do business with Greenleaf Capital when there are an abundance
of collection agencies to choose from?
A3: Greenleaf Capital is NOT a collection agency. Greenleaf Capital is not interested
in collecting your bad debt on a contingency basis or otherwise. Greenleaf Capital IS
interested in purchasing your bad debt outright for cash.
Q4: I am confortable with my current "collection agency process,"
therefore, why do I need Greenleaf Capitals services?
A4: Thats great Greenleaf Capital does not and will not compete with
collection agencies. Instead, Greenleaf Capital will purchase the accounts that your
collection agency cannot collect this is the debt that your company simply writes
off. Greenleaf Capitals role in your collection process is a last resort recovery
tool for accounts that you have determined to write-off.
Q5: How does Greenleaf Capital make money?
A5: Greenleaf Capital had a two-prong approach for the accounts it purchases. First,
Greenleaf Capital attempts to collect the debt itself. Greenleaf Capital has created a
vast network of attorneys and other related professionals in the collection industry with
state of the art technology and data mining capabililities, including asset search
services, credit bureau/trade information and other data matching programs. It is very
rare that Greenleaf Capital will actually litigate any of the accounts it has purchased.
Instead, Greenleaf Capital leverages its sophisticated technology, experience and
up-to-the-minute debtor information and collects the amount due short of litigation.
Second, Greenleaf Capital will combine the accounts sold with others and then create
smaller, specialized portfolios. These portfolios are customized by the type of debt
(consumer/commercial), industry and location of debtor. Greenleaf Capital primarily sells
these customized portfolios to licensed and bonded collection agencies and law firms who
specialize in the collection of distressed accounts.
Q6: How much will Greenleaf Capital pay for my "bad debt?"
A6: Greenleaf Capital is willing to buy your bad debt for cash. Rather than collecting
nothing (0%) and simply writing-off these accounts, Greenleaf Capital is willing to give
you up-front cash for your bad debt. The purchase price will vary depending upon the type
of debt, the age of the debt and the exact nature of the transaction.
Q7: What type of accounts do you buy?
A7: Greenleaf Capital purchases just about any valid receivable for a service performed
or a product delivered.
Q8: Is there a minimum amount of accounts that you will buy? Our company only
writes-off a small amount of accounts per year.
A8: Although most creditors prefer to group several years of charged-off accounts,
Greenleaf Capital does not impose any floors. Many creditors make the mistake in assuming
that Greenleaf Capital is only interested in purchasing the prior years bad debt. To
the contrary, Greenleaf Capital customarily purchases accounts as old as four years.
Creditors are generally surprised how many accounts have been written off and how much
their portfolios are worth when they combine several years of bad debt.
Q9: Does the administrative time for such a return warrant my time?
A9: Absolutely, because you have already incurred this administrative cost. Greenleaf
Capital does not require any documentation other than what you have already provided to
your collection agency in your normal credit collection process. Greenleaf Capital, much
like you, is not interested in devoting significant time and resources to conduct due
diligence activities with respect to these charged-off accounts. Greenleaf Capital has
developed a streamlined approach which makes this transaction efficient, timely and
cost-effective for both you and Greenleaf Capital. After all, Greenleaf Capital wants this
transaction to be as painless and non-disruptive as possible because it wants to do
business with you every time you write-off accounts.
Q10: If I sell my charged-off accounts to Greenleaf Capital, do I have to be
concerned with being sued by the account debtors for Greenleaf Capitals or its
A10: Both practically and legally speaking, it is extremely rare for a seller to be
sued in this industry on the basis of the buyers conduct. Remember, Greenleaf
Capital and its customers are highly qualified and experienced professionals with
extensive knowledge of both federal and state collection laws. Indeed, how many times have
you heard of a company being sued for the actions of its collection agency or attorney?
Very few, if any as all. At any rate, Greenleaf Capital is willing to back-up this
statement: Greenleaf Capital fully indemnifies sellers from any claims by account
debtors relating to its violation of any applicable law, rule or regulation. Moreover,
Greenleaf Capitals contract with its customers specifically includes a provision
whereby Greenleaf Capitals customer also indemnifies you from such claims.
Q11: Will I be contacted by Greenleaf Capital or its customers after I sell the
A11: No. Greenleaf Capital recognizes that one of the primary concerns of a creditor
selling its charged off accounts is continually responding to questions and requests
relating to the accounts sold several months earlier. Greenleaf Capitals contract
with its customers specifically states that it cannot contact you. Once the accounts have
been sold, there is closure and you will no longer have to deal with these accounts.