A recurring subscription and success-fee business built on the single differentiator small business owners care about most: their cash always lands in their own account, never ours.
Most small businesses already know they have overdue invoices. What stops them from hiring help is fear of losing control of their own cash — AR Management LLC removes that fear structurally, not just as a sales line.
We never open a trust account or hold client receivables — removing the fear that stops owners from hiring a collections vendor in the first place.
Subscription covers infrastructure at 85%+ gross margin; commission is pure upside, earned only when cash is actually collected.
B2B services, trades, staffing, distribution, and medical billing — long payment cycles, thin back offices, price-sensitive to flat retainers.
Fixed overhead under $600/month; the Starter tier alone covers it at 4–5 signed clients.
| Tier | Monthly | Invoices | Aging coverage |
|---|---|---|---|
| Starter | $149 | Up to 25 | 90 days |
| Growth | $399 | Up to 75 | 180 days |
| Scale | $799 | Up to 200 | 12 months |
| Enterprise | From $1,500 | 200+ | Full 18mo + legal referral |
| Overdue window | Success fee |
|---|---|
| 1–15 days | 1% |
| 16–30 days | 3% |
| 31–60 days | 6% |
| 61–90 days | 10% |
| 3–6 months | 15% |
| 6–12 months | 22% |
| 12–18 months | 30% |
The commission rate rises with both the difficulty of collection and the staff time required. On receivables older than a year that most owners have already written off internally, a 22–30% success fee on money that would otherwise be zero is a strong value proposition.
Illustrative planning projections based on stated assumptions, not guarantees. Bars scaled relative to the Year 3 figures shown.
Sized to fund compliance, growth, and an 18-month runway — from formation to a self-sustaining, referral-driven client base.
Returns come from annual profit distributions under the LLC Operating Agreement, paid pro-rata to membership interest, plus equity appreciation on any future refinance, recapitalization, or sale.
At a 20% interest, illustrative annual distributions scale with company profit: roughly $4,000 in Year 1, $21,000 in Year 2, and $48,000 in Year 3 — close to full recovery of the initial $75,000 by the end of Year 3, with continued distributions and equity value as upside afterward.
Commission revenue is variable, so the model is built to break even on subscription revenue alone first.
Collections licensing varies by state — counsel review is scheduled before any formal demand activity (day 31+) begins in a new state.
Managed by targeting a diversified mix of industries from day one, rather than concentrating in one vertical.
Mitigated by building the client portal and automation as the core product asset, not a founder-dependent process.
Reach out for the complete plan, the underlying financial model, and a walkthrough of every assumption.
Request the full planThis page is prepared for discussion and informational purposes only. It is not an offer to sell, or a solicitation of an offer to buy, any security; any offer is made only pursuant to definitive legal documentation prepared with qualified counsel. All figures are illustrative planning projections, not guarantees, and actual results may differ materially. Prospective investors should conduct their own due diligence. Data current as of August 2026.