Paycepaid accelerates growth in debt collection industry with acquisition of Australian Debt Recoveries
Paycepaid, the emerging debt collection software provider, has acquired industry stalwart Australian Debt Recoveries (ADR) in a multi million-dollar deal, cementing the company’s position as a fully integrated end-to-end account receivables solution.
The acquisition is a significant milestone for Paycepaid, which has seen rapid growth in the last 12 months with the new combined business generating recurring revenue of several million dollars.
Paycepaid chairman Derek Kidley said the acquisition provided “exciting growth opportunities” for the company, which is well-positioned to increase its footprint in the market.
Paycepaid’s fully compliant SaaS offering is currently used by a variety of businesses across multiple sectors, including healthcare, aged care facilities, accountants and bookkeepers, telcos, utilities, education, and government.
Its customisable and automated communications platform enables businesses to reach customers on their preferred channels, while its integration into existing accounting services Xero, MYOB, Stripe and Monoova provides a wide range of payment options for customers.
The company’s technology is particularly appealing to companies as they navigate cost-of-living pressures, rising inflation, and interest rates.
Paycepaid’s solution emphasises compassion and empathy for late-paying customers, reducing financial stress and anxiety.
Paycepaid’s acquisition of ADR brings a portfolio of clients, including major players in the telecommunications sector, top-tier lenders, financial institutions, and the Australian healthcare sector.
The acquisition also incorporates experienced in-person debt collection teams into Paycepaid’s debt management platform, giving clients full visibility on debt collection with a dedicated account manager.
Paycepaid CEO and founder, Bill Mali, said the company wanted to “help Australian households fix their debt, so by bringing in ADR’s in-person team, we can add a human touch to our current systems.”
The acquisition comes at a time when Australian household debt levels are increasing. According to the latest figures from the Australian Bureau of Statistics (ABS), the average household debt in Australia grew by 7.2 per cent to $261,492 in 2021-22. Paycepaid’s technology will play an essential role in helping households manage their debt, reduce stress, and avoid financial hardship.
Julian Bosman from Australian Debt Recoveries said: “In the challenging area of debt collection, this strategic tie-up creates a unique end-to-end, full-service solution.”
The acquisition provides a unique opportunity for Paycepaid and ADR to leverage their complementary businesses, offering a mix of traditional and digital debt collection approaches.
The combined business will undoubtedly create exciting growth opportunities in the debt collection industry.
This article was developed in collaboration with Paycepaid, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.