It’s critical for a business to stay on top of their receivables and it’s equally important to partner with a reputable collection agency sooner rather than later. Due to the importance of this subject we have put together some advice for businesses.
One solid fact about getting paid for your services is that the longer you wait to implement a collection procedure, the harder it is to get paid. Early intervention is a major factor in getting paid. The longer your bill stays out of the mind of your late or non-paying customer, your chances of getting paid are greatly reduced.
Sending out invoice after invoice without creating a sense of urgency with the customer proves to be ineffective in the long run. You need to be assertive when the customers don’t pay. But don’t be aggressive.
Having a plan of action when your customers don’t pay is critical, your plan needs to have those follow up steps early on in the delinquency to be affective. These steps can be a personalized demand letter, a gentle reminder by phone, or both.
Also, you need to have an established relationship with a reputable collection agency such as American Profit Recovery. If you have a pile of receivables on your desk and you don’t use a collection agency with a good reputation you are leaving money on the table.
Most businesses hold off on using an agency when they know they should be using one for two main reasons. The typical high cost of a contingency agency, and the fear that their patient, customer or client may be mistreated or alienated.
American Profit Recovery has programs that allow you to use our services earlier that are not only cost effective, but also respectful of your customers. By using our low-cost Tier I system our team stands ready to assist you very quickly and at a cost that won’t deter you from using a collection agency. You’ll also get exclusive use of our APR web system that allows you to enter accounts 24/7. You will actually save time and money and get paid.
Take a look at the video below to hear more tips from Jeff: