IMAA announces trade credit insurance group deal for members
The Independent Media Agencies of Australia (IMAA) has negotiated a trade credit insurance group deal for IMAA members, adding financial protection for independent media agencies.
The group deal, brokered by the IMAA protects agencies from bad debts including unpaid invoices, client bankruptcy and political risks. IMAA says the deal is a first of its kind globally.
IMAA general manager, Sam Buchanan, said: “We uncovered through our IMAA Pulse Survey that members wanted to look for ways they can save money as a group on big-ticket items. One of the biggest expenses for independent media agencies is trade credit insurance, so for the last three months, we have explored a group deal for IMAA members.
IMAA general manager, Sam Buchanan
Buchanan was appointed as the inaugural general manager for the IMAA in March 2021. He added: “This is an absolute game-changer for us and the industry, and we are thrilled to be able to offer this important cost saving initiative to our members.”
Although statistically rarely used, it is one of the highest costs for media agencies, usually commensurate with the value of advertising spend and payment terms agreed with each client.
In January, the IMAA reported that almost a third (31%) of its members had already financially recovered from the impact of Covid.
Colreavy said: “Many independent agencies were impacted during the COVID-19 pandemic, which saw some trade credit insurers effectively penalise Australian-owned businesses as they ‘de-risked’ themselves. Limiting the amount of trade credit meant that agencies were left with no other option than to ask their clients for cash upfront or carry the exposure themselves. This new group deal is a massive win for IMAA members and one which will make us all sleep better at night.”
The IMAA was launched in February 2020 with a group of 20 founding members, including Hyland, The Media Store, Sandbox Media and Pearman Media, that number now growing to 65.
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Calum Jaspan was news editor at Mumbrella, based in Melbourne. He was also the producer and host of the Mumbrellacast. He left Mumbrella in May 2023.
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