Negotiating Settlements

I think it often comes as a surprise to many people new to this profession that negotiating settlements can be the easiest part of the job. Remember, BOTH parties (creditor & debtor) are motivated to settle their financial disputes.

Creditors know the assurance of some money now is always better than the hope of more money later. Even if a creditor receives a judgment in their favor after filing a lawsuit, they still have to try and collect the money. This can be a long and expensive process with no guarantee they will ever see any money for their efforts. Debtor businesses even have the option to simply close up shop and walk away if there are limited or no assets. They can also hide assets or channel them into areas that cannot be touched by creditors.

Debtors, of course, are almost always happy to pay less than what is actually due or at least set up a manageable payment plan with the creditors. Also, since their income is reliant on staying in business, they prefer not to close up shop and walk away.

There is really no trick or special skill to the negotiation process. Often, simply making an offer to the creditor and waiting for a counter or acceptance is all that is entailed. My turn-key Business Plan System provides all the information needed to successfully begin negotiating settlements immediately and includes suggestions and guidelines for all types of situations.

Don't be put off by thinking you have to be some kind of master negotiator to succeed in this profession. With my guidance, anyone can prosper as a professional commercial debt negotiator.

Scott F. Soape

Ethics - Client Relations

As expressed in my Business Plan System, you must always remember your service has been retained to reach the very best possible settlement terms for your client.

It may be tempting to think the quicker you reach any settlement, the quicker you get paid, but that is a sure way to also quickly work yourself out of this business. Sadly, there are (and probably always will be) a small number of people in this profession who place their own interests ahead of their clients' interests. This unfortunate situation reflects poorly on the rest of us doing our best to provide quality service to our clients and will eventually lead to stricter regulation of the industry.

Here are a few recommendations you may want to incorporate into your practice:

1. Maintain client confidentiality.
2. Initiate negotiations and complete settlements in a timely manner.
3. Clearly state fee arrangements in a written and signed agreement.
4. Accept cases only when legitimate benefits can be provided.
5. Provide written documentation to clients on all settlements.
6. Refer clients to competent legal counsel as needed.
7. Never offer legal advice.
8. Maintain truth in all communications.
9. Avoid conflicts of interest in all cases.
10. Maintain a professional attitude in all communications.

As with all endeavors, if you know you have done your best, you can always be PROUD of your results... and your business should flourish!

Scott F. Soape