Dealing with debtors can be a time consuming and stressful business. It takes your focus as a business owner away from the core business practices. The use of a professional Debt Recovery/Debt Collection agent is a proven way of collecting overdue debt and normally results in the faster payment of an overdue account compared to in house credit control processes.
By using a professional Debt Collection company who specialise in dealing with slow paying clients and customers, it is possible to refocus your attention back on your business yet still get the money that is owed to you.
Whilst many Debt Collection companies will charge on a fixed fee or time cost basis there are also many that will offer to collect debts on a no collection no fee basis. In the later case if you don’t get paid then neither will the Debt Collection agent so you can be assured they will leave no stone unturned in the collection of your monies. Some companies will also offer a simple letter service for a fixed fee however the evidence suggests this is far less effective and simply adds cost whilst still leaving you with an unpaid debt.
A good Debt Recovery agent will be able to offer both a domestic and overseas collections service. Whether it be for a single debt or a bulk collections service. Unlike consumer debt, which is suitable for Call Centre style collections processes we recommend for commercial debt an agent that adopts a bespoke collections process which is escalated at every attempt to collect the debt. For example you may require a discreet approach where you wish to maintain a customer relationship or alternatively a more aggressive approach for customers with whom you no longer wish to trade (after all if you are not getting paid do you really want to be selling more goods or services to this customer. Pandering to the sensitivity of your sales team on relationships where you’re not getting paid is sheer madness).
Should initial recovery processes fail to result in the payment of the debt then the Debt Recovery agent should be able to escalate proceedings through the courts, enforcement options or if all else fails through the issuing of a Winding Up Petition.
In addition to the debt itself there may be the ability to add late payment compensation and interest to the sum due.
Click on the link for more information on how we can help you and your Company recover overdue debts. Simply fill in your details for a call back from our Debt Recovery specialists.