Hiring a collection agency earlier in the debt recovery process increases the chances of recovering unpaid dues in lesser time. However, in the interest of maintaining customer relationships, other ways of debt collection can be tried before hiring a collection agency.
Businesses sell products and services for profit. Best debt collection agency can provide the reliable collection services.
The income generated from sales is reinvested in the business for growth and maintenance. When customers do not make payments or delay payments, valuable time and money is lost trying to recover the debt.
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Prevention is better than cure. Verify the financial situation of customers before extending credit to them by checking their credit rating.
Specify terms of repayment clearly
Terms of the credit transaction should be set down clearly in the contract between the customer and you. The customer should be clear on the schedule fixed for settling the payment and the penalty of late payment.
Inform customers at the onset that delay or loss in payment may compel you to report their business to the credit rating bureau. This makes the customer take the repayment contract more seriously.
Keep accurate records
Keeping accurate and updated records of all the credit transactions and receivables ensures you are informed on the state of debt incurred by your business. Accounts receivable reports must have the customer name, details, credit amount owed, payment due date, and delays in the payment.