Commercial Collections Blog

When accounts order and do not pay but are accessible and try to find a way to get their debt paid by a workout plan then you will feel better about extending credit in the future.

When the account does not pay and runs and hides or disputes a good invoice then the account is just trying to steal your products.

When you hire a professional debt collector to force the issue and get your money while you can before their bills pile up and you are at the end of the line.

Technorati Tags Bad Debt, business, collection, commercial, debt, letters, risk

• The customer  who is behind on payments today has many outstanding claims with many vendors
• The vendor who relies on the mail service to get to the head of the  payment line is left off the payment cycle
• The account will only pay those who continually push the point without a pause between contact and payment
• The game that the account plays is usually hide and stall and the strongest get paid but not without great effort
• A commercial collection agency will get past the stories, denials, reasons  and force the issue with infield collectors that get real results- - -fast

Technorati Tags agency, business, collection, commercial, debt, letters

Keeping your bottom line solid is more  important to you than allowing those few non paying customers to stay on the books.

Cash allows you to keep your employees and business operating not hanging on to broken promises from a couple of bad apples in your customer list.

Use the extra cash you collect to install a better credit policy.

Be cautious with new and older customers, set limits and be prepared for difficult collection efforts, by your staff or by your selected outside collection agency.

Choose yourcommercial debt collection agency before the problem arises and get them involved earlier than you have in the past, the collection wars are under way.

Technorati Tags Add new tag, agency, Bad Debt, business, cash, collection, commercial, debt, receivables

1. The hardest thing about hiring a commercial collection agency is the timing. For the most part the rule of thumb is 90 days.
2. When the customer has many past due accounts rather than one large one.
3. If and when the customers phone is discontinued, waste no time contact your agency partner.
4. Do not let other delaying tactics such as continually asking for documentation, playing dumb, change of contact person to reset the denials of debt.

Technorati Tags Add new tag, agency, business, collection, debt, receivables

1. Join trade reports, newsletters, and web sites for industry updates
2. Implement a strong Credit Application
3. Create a risk screening process prior to credit initiation, with credit limits
4. Track order and payment history
5. Institute timely notice of past due accounts
6. Know the steps to be initiated when account is past due
7. Set trigger points for past due letter and phone notification
8. Know when to use outside collection agency, time is money
9. Hold future orders and use prepayment until payment is finalized

Technorati Tags accounts, Add new tag, agency, Bad Debt, business, collection, commercial, debt, policies, receivables