There are fat profits to be made from debt-collecting: In 2008, 1st Credit made £11.662m pre-tax profits on turnover of £76.837m. And CEO Najib Nathoo is confident his company is ideally placed to take advantage of the rocky financial environment: “There are parallels between the debt purchase and private equity industries. In tougher times, buyers drop out of the market, leaving deals that offer a higher return on investment. We expect to see excellent debt purchase opportunities later this year and next.” Established in 2001, 1st Credit has grown into one of the UK’s leading credit management organisations, providing outsourced consumer and corporate collections services for banks, utilities and telecoms companies, and are one of the largest debt purchasers in the country. Since agreeing terms with investors to purchase their first portfolio of unpaid bills in 2002, 1st Credit has grown its debt book to exceed £3bn. The company is 73.75 per cent owned by private equity company Bridgepoint Nominees.
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