When it comes to booming businesses in Northeast Ohio, there are few that owe their success to America's growing debt. But with the average American carrying more than $8,000 in credit card debt, Hudson & Keyse LLC (H&K) has emerged as a leader in debt buying and reselling, with 1,727 percent sales growth since 2002. Its growth has landed the company on coveted lists such as the Weatherhead 100 and Inc. Magazine's top 500 fastest-growing companies.
Chairman Joseph Carroll founded H&K in 1984. Today, he continues to father a successful business using his collection strategy, which supports debtor recovery by allowing H&K's debt portfolios to return revenue to a company three times as long as traditional collection agencies.
"We place an emphasis on process consistency, so we can use past performance to predict future performance of the debt portfolios we are considering for purchase," says Doug Richardson, vice president of marketing.
In fact, unlike other collectors who pester debtors with endless phone calls for payment, H&K focuses on finding long-term, customized solutions for each account, allowing the company to receive the maximum amount. It may take longer to settle — sometimes as long as five years — but the results are substantial.
The company's secret weapon is its 148 dedicated employees, says Richardson. In fact, H&K has one of the lowest staff turnover rates — 5 percent — in the collection industry. "That helps us retain our investment in proper training and hiring experienced collectors, and minimizes risk and aids in producing superior results for both our company and its clients," says Richardson.
To maintain its loyal staff, H&K places a strong emphasis on finding the right person for the job. "One of our biggest challenges is the nationwide effort to find good people," says Richardson. "We look for the best, and we spend a good deal of time training new employees to help them develop good leadership skills. This is how we expand."
To motivate its employees, the company offers plenty of contests and rewards for hard work and performance, such as Indians tickets, holiday gift trees and bonuses. In addition, H&K believes in collecting money for the community. Last June, the company held the Hudson & Keyse Bank Challenge Grand Prix Go-Cart race to benefit Cleveland Grand Prix Charities and Rainbow Babies and Children's Hospital.
For more than 21 years, H&K has built its success by maintaining a steadfast commitment to exercising integrity in everything it does. CFO Ted Crawford says the company plans to use this philosophy to continue to grow the company. But above all, he remains indebted to his employees for their hard work. "We've been fortunate to have assembled an extremely effective and dedicated group of employees and managers that have made amazing contributions," he says. "This has allowed our methods and philosophies to flourish and prove successful."