How did you find me?
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What recovery rate do creditors usually get from debtors?
Each case is unique. In perhaps the majority of cases, there is virtually nothing left to pay unsecured claims after administrative expenses and secured creditors are paid. Furthermore, distributions, if there are any to be made, could take months or even years to materialize. A dollar today is worth much more than a dollar in a year's time, particularly when the released cash can be used to re-invest in your business. (Back to top ^)
Is Hain Capital a broker?
Hain Capital is an investment management firm with a large amount of available capital. Hain Capital purchases claims on a principal basis. (Back to top ^)
Aren't all trade claim buyers the same?
No. Hain Capital provides an exceptional level of service and competitive pricing to its customers, as evidenced by its customers' written testimonials. Also, Hain Capital is a member of Trade Claim Buyers Association ("TCBA"), a trade association that promotes standards and practices in the trade claims business. The TCBA promotes timely docketing and payment and other practices and standards that are fair and beneficial to the business.
We are confident that when you do your due diligence, you will choose Hain. (Back to top ^)
How does Hain Capital determine a price?
Hain employs experienced personnel with a background in distressed reorganizations. These personnel analyze a company, its chances for survival, trends in its industry and the legal challenges it faces. Hain Capital then determines whether a recovery is possible and the timing and form of any potential distributions. (Back to top ^)
When do I get my cash?
Typically, within five business days of the execution of documentation. (Back to top ^)
Does Hain buy priority claims?
Certainly. Hain Capital purchases all types of priority claims including administrative, secured, lien, tax, reclamation and 503(b)(9) claims. (Back to top ^)
What if the Debtor does not list the amount it owes me correctly? Does Hain buy claims that are classified as contingent, unliquidated or disputed?
Hain Capital will pay you for your scheduled claim based on the amount shown on schedules filed with the bankruptcy court. Please contact Hain Capital for details regarding other claim types. (Back to top ^)
If Hain wants to buy a claim, doesn't that mean it's worth something?
While Hain would like to claim that Hain's personnel are prescient, that is simply not the case. Hain and other firms often purchase claims that are ultimately worthless. An unfortunate feature of bankruptcy reorganizations is that the direction of a case can change extremely rapidly in ways that simply cannot be predicted, even by experts. (Back to top ^)
Will the debtor view me unfavorably for having sold my receivable?
As anyone who has been involved in a bankruptcy knows, the debtor is in a struggle for its survival. Tracking the activities of suppliers with respect to pre-petition amounts is very low on a debtor's list of priorities. Simply providing any terms on post-petition shipments (which will incidentally be accorded administrative expense priority by law) will make your customer very happy and will improve its chances. (Back to top ^)
Is Hain Capital affiliated with the debtor or the court system?
No. Hain Capital is an independent investment fund. (Back to top ^)
Is the process confidential?
While court proceedings are generally a matter of public record, Hain is very careful to not disclose any confidential information, including the price paid. (Back to top ^)