Structured Settlement Buyer Business Plan and SWOT Analysis

Structured Settlement Buyer Business Plan, Marketing Plan, How To Guide, and Funding Directory

The Structured Settlement Buyer Business Plan and Business Development toolkit features 18 different documents that you can use for capital raising or general business planning purposes. Our product line also features comprehensive information regarding to how to start a Structured Settlement Buyer business. All business planning packages come with easy-to-use instructions so that you can reduce the time needed to create a professional business plan and presentation.

Your Business Planning Package will be immediately emailed to you after you make your purchase.

Product Specifications (please see images below):

  • Bank/Investor Ready
  • Complete Industry Research for the Industry
  • 3 Year Excel Financial Model
  • Business Plan (26 to 30 pages)
  • Marketing Plan (24 to 28 pages)
  • 425+ Page Funding Directory
  • PowerPoint Presentation
  • Loan Amortization and ROI Tools
  • Three SWOT Analysis Templates
  • How to Start a Business Guide
  • Easy to Use Instructions
  • All Documents Delivered in Word, Excel, and PowerPoint Format
  • Meets SBA Requirements

Structured settlement buyers can be highly lucrative businesses given that they are able to acquire the ongoing revenue streams that are generated from legal settlements. Usually, the individual who is acquire the settlement will sell the rights to the recurring revenue stream at a discounted rate to the structured settlement buyer. One of the key features of his business is that they are able to generate revenues in all economic climates given the fact that they are able to receive guaranteed payments have been settled upon during a legal dispute. Most structured settlement buyers typically have an initial capital base of around $10 million to $20 million. This allows them to buy anywhere from 10 to well over 1,000 different settlements from individuals on a nationwide basis.

Of course, one of the key things to profitably developing this business is to ensure that the individuals that are paying the structured settlement having ongoing ability to do so on a month-to-month basis. This is one of the key factors in allowing these businesses to become successful is that they have a proper underwriting department that examines every aspect of settlement including the creditworthiness of the payer. One of the other issues that comes when starting a new structured settlement buying business that these companies typically have to go through a number of different registrations in order to properly act as a pirate settlements. This is especially true if the structured settlement buyer is going to be sourcing a number of investment problems from private investors. As with all types of invest in businesses, a qualified attorney should be hired in order to ensure that the business is operating within the letter of the law at all times.

If an entrepreneur that is looking to start this type of business is going to be sourcing capital from private investors in a structured settlement buyer business plan is going to be required. This business plan should feature a three-year profit and loss statement, cash analysis, balance sheet, breakeven analysis, and business ratios page. Pertaining to industry research, there are approximately 400 companies are actively involved with the buying and sales settlements. Each of these firms generate about $650 million of revenue and provide jobs about 2,000 people.

One of the key focuses of the business plan should be on the protocols and procedures of the underwriting department as it relates to the types of settlements be purchased. In many cases, some structured settlement buyers will focus only on acquiring settlements have been derived from large-scale companies. This ensures that the default risk is kept to an absolute minimum. Although most structured settlement companies to maintain a separate protocols and procedures handbook, selected portions of this document should be included within the business plan as well. This is especially important to show to potential investors in order to minimize losses.

One of the questions that we have received frequently over the years is whether or not a financial institution is willing to provide a line of credit that will allow the company to acquire structured settlements with an interest rate tied to a kind of balance. This is usually done only once a business is highly established and is poised for additional growth once their operational infrastructures have been developed. However, it should be noted that some financial institutions do not readily provide business loans as well as working capital lines of credit to other financial businesses.

A structured settlement buyer SWOT analysis should be developed in order to chart the strengths, weaknesses, opportunities, and threats that are normally associated with the sector companies. As it relates to strengths, structured settlement buyers are always able to generate recording shims revenue from the acquisition of settlements. The barriers to entry are considered to be moderately high given the fact that it is difficult to raise capital for this type of company. The operating expenses can also be high especially if highly seasoned and qualified financial analysts need to be hired to examine a structured settlement.

For weaknesses, this is a highly competitive field and beyond just sourcing the capital for new structured settlement buying business – a substantial amount of capital needs be allocated towards marketing to individuals or companies that have received a structured settlement. This can be a very complicated process especially from a legal standpoint.

As it relates to opportunities, structured settlement buyers are able to generate substantial additional revenues once they are established and can source capital from private investors. This is really the only way that these businesses can expand. Of course, the acquisition of additional capital also requires a significant amount of additional marketing capital is allocated as well.

For threats, there can be changes in laws and regulations that impact the way that structured settlement buyers acquire their underlying asset base of notes tied to payments from a legal dispute. As such, and again – it is imperative that these businesses have competent legal advice in order to ensure that any changes in the way that that regulations occur will allow the business to continue to operate profitably.

A structured settlement buyer marketing plan is was always developed as well and this is one of the more complicated aspects of the overall business planning process. The vast majority of structured settlement buyers typically maintain both a online marketing campaign coupled with a broad-based televised campaign. As it relates to the development of an online portal, a very aggressive pay per click campaign coupled with a search engine optimization campaign is very necessary in order to drive people that have structured settlements to the company’s website.

This insures a minimal lead time given the fact that many people can upload the relevant documentation associated with their structured settlement. Once this website is established and search engine optimized, the ongoing marketing costs will decline somewhat. However, given the highly competitive nature of this industry it is very important that the entrepreneur or management team continually make substantial improvements to the website in order to down quickly on the Internet.

As it relates to the television aspect of it, many settlement buyers hire a professional marketing firm to manage all aspects of the commercial production and distribution among cable TV networks. These commercials are popular during early morning hours as well as evening hours. The return on investment can be very strong especially once the target market becomes aware of the structured settlement buyers brand name. As always, and given that this is a financial oriented business, a lawyer should review any and all marketing materials and to ensure that the business is operating within the letter of the law at all times.

People are always going to have legal disputes and from those disputes structured settlements are almost always going to be produced. As such, for an entrepreneur that has asked an extensive understanding of how these financial instruments work coupled with an understanding of how to properly market the service of the general public – a structured settlement buying business can be a highly lucrative opportunity for many entrepreneurs. There’s really not too much about this industry that is going to change over the next 10 to 20 years, and these can be highly valuable businesses as a private sale or through an initial public offering.