Interstate Capital president, Tony Furman, announced record operating results for the Interstate Capital Group of Companies’ fiscal first quarter, ended September 30, 2013. Interstate added 117 new clients during the quarter, representing a net gain of 58 clients, bringing to 729 the total number of actively funding clients at September 30, 2013.
Interstate generated nearly $180 million of receivable purchases during the quarter, or $720 million on an annualized basis. For the month of September 2013, Interstate posted a 15% year-over-year increase in fee income and 16% year-over-year increase in receivables purchased.
Interstate’s five-year plan, drafted in 2012, calls for Interstate to purchase over $1 billion of receivables annually by fiscal year 2017. Furman reports, “Interstate is ahead of plan. I fully expect we will meet or exceed our five-year plan, assuming maintenance of our 3-year average annualized historical rate of growth. Our five-year plan was written prior to two recent material events. We expect the recent (September) opening of our Arkansas office to account for as much as 20% of company production within the next 12 months; and I project our new wholly-owned subsidiary, BidPay, Inc., could add as much as $1 billion of annual production within the next 24 months.” BidPay is a trade payable auction site powered by a proprietary, patent-pending technology. Bidpay expects to begin marketing to Fortune 500 firms in mid-2014.