Back from the 2011 Factoring Conference, what a fun and informative event! This was my 16th year attending the IFA and it is always very enjoyable. Hats off to Bert Goldberg and Heather Villa, the event gets larger every year and runs so smoothly. Besides the social aspect, always the highlight for me, I also receive important ideas and tips from our Factoring Colleagues.
One session that I found very interesting was Fraud and Fairytales. The panel consisted of very seasoned and successful Factors who had their own stories to share and what they missed and/or what they do to prevent fraud. One idea that I do not use is allowing the invoices to age out instead of charging back; obviously, not forever, but longer than 90 days. We track chargebacks and when they are paid, but I think it makes sense to allow invoices to age out and continue with collection calls. If the invoices are consistently charged back it creates a false DSO (Days Sales Outstanding) number. In addition, when buying out another factor, if all invoices are charged back at 90 days you really don’t know if and when the invoices were paid which again creates a false DSO.
Another session I always enjoy is listening to Bob Zadek’s court studies, scary yet informative. I just hope we are never one of his examples (knock on wood).
Finally spring, let’s hope it lasts long!