Are you tired of chasing a long-overdue overdraft? Did you work for a client who now seems to have disappeared, leaving you out of pocket? Does a large bill remain unpaid? If this sounds familiar, you are not alone. Failure to reclaim a debt is an all-too-common situation. Unfortunately, most small businesses go through this stressful situation at least once.
No matter what you do and how professional you are, some people just won’t settle their debt. They give you excuses or ignore you altogether. You are fed up of sending invoices and making calls. So, you make a positive decision to work with a debt collection agency. By hiring professional debt collectors, you can focus on growing your business and not on reclaiming money.
But it is vital to choose the right debt collection agency. Making the correct decision could mean the difference between a successful recovery and potential legal problems. Debt collection must be enforced legally and a reputable agency will work within the law to collect all the money you are owed.
Here’s how to make the right choice.
Ask For a Referral
Do you know anyone else who’s been in the same position? Were they happy with their agency? You could also check out the testimonials from the website of a company you are interested in. Or ask the agency for success stories.
Do Your Research
Look online and check out what each agency is offering. Does their website appear professional? Do they give plenty of information about their service? Do you think you could work with the company? It is important that you trust the company and feel confident in their abilities. You can also look for reviews that show the company has a successful past in collecting the debt.
Check Pricing and Terms
Ensure that all pricing is fair and transparent. It is important that you know what you are getting for your money. Does the collector charge a fee only if the collection is successful? Is the fee charged to the debtor? Are there any extras you must pay for, for example, out-of-hours working? Most reputable agencies will be happy to explain their pricing structure and terms and conditions.
Get on the Phone
Calling and talking to the agency is the best way to make sure you are a good fit. Describe your problems and see if they can help. You should feel comfortable talking to the collection agency, and confident that they understand your issues and what to do to solve your problem. You need to trust your debt collectors. You are handing them sensitive information and making yourself potentially vulnerable. Trust goes a long way to ensuring a profitable working relationship.
Size is Not Important?
It is not usually vital to work with a large agency. Size doesn’t necessarily make a big difference. You do need to work with someone reputable, efficient, resilient and skilled in debt collection. The size of the firm often has no bearing on these traits.