Said Al-Harrasi

The first debt collection agency in Oman, Compass Risk Support Services’ success in the past decade stems from its dedicated techniques, extensive regional experience, and skilled team.

Compass Risk Support Services helps clients in the Middle East, North Africa, and worldwide to collect debt. Who are its clients, and from which sectors do they originate?

Compass started in 2012 as the first debt collection company in Oman. We signed up with most of the banks in GCC. There was a significant Omani workforce in countries such as Qatar and UAE that took out loans but failed to repay their debts. Those banks became our first clients, and our portfolio comprised OMR20-30 million dedicated to collecting those debts. Our approach to debt collection involves either soft collection or legal collection. With soft collection, we aim to close 90% of our cases before resorting to legal measures. For the remaining 10% where a resolution is not possible, we initiate legal action with our team of lawyers; however, some 90% of our cases are successfully resolved out of court thanks to our dedicated professional staff. Our clients include financial institutions as well as telecommunication companies, insurance companies, and business houses. Initially, 70-80% of our clientele hailed from the GCC. Still, after a decade, this has shifted to 70% Omani clients and 30% GCC. Our success can be attributed to a clear system and a dedicated staff. Furthermore, we do not charge clients unless we successfully collect their money. There is no upfront payment; instead, we charge a percentage of the amount collected.

There are several debt collection agencies in Oman. What makes you stand out from the competition?

Compass Risk Support Services was the first to start debt collection, which gives us a unique first-mover advantage and leverage in understanding the local market. Second, we are actively engaged in international networking. Furthermore, we have a robust system that includes strategic investments in technology and proper records for every stage of the debt collection process. For example, some clients only have the names of the debtors, and here our dedicated team can conduct research and trace the individual. We are a people-centric company and accordingly invest in proper training for our staff as well as the best technology. We also have extensive know-how given our history and experience in the sector. Thus, we have created a significant brand equity that sets us apart from the competition.

What trends have you seen in the debt collection space in recent years?

After the pandemic, there has been an increase in business because of the economic situation. Another notable trend has been an increased challenge in debt collection because more people have lost their jobs. As a result, we now need to use different techniques of negotiation. At times, our clients have even reduced their demand. Whilst business has been growing, at the same time, the challenges involved in debt collection are also increasing.

What are the main challenges in expanding and growing further?

Internally, we need to secure the right resources and people who share the same philosophy and values. To grow further, the first step entails finding the right people. We are designing new incentive packages to motivate, attract, and retain people to our team. Another challenge is the increased market competition, which means we always have to come up with new differentiators or advantages where in order to attract and retain clients. Additionally, cost control is vital in a competitive market; however, to retain our staff and train them, we must also increase their benefits and incentives.

What is your outlook for the company and the country in 2024?

I am extremely optimistic. For 2024, I see more opportunities, especially in our business. His Majesty and the government are working hard to attract more investment, which means more growth and business in real estate, industry, and so on. More companies entering the market implies more business for us and more opportunities. The government is also working hard and investing to diversify from oil to non-oil contribution. We predict 2024 to be much better than 2023, with significantly more expenditure.