It may seem a little counter-intuitive to hire someone to collect money that you should already possess. Ideally, the money would already be safely tucked away in your accounts, and you wouldn’t need to spend money to get it!
There are many reasons why debts go uncollected. Looking at them will make you appreciate all the ways savvy companies benefit from professional debt collectors.
Locate Debtors Sooner
Companies have a choice when there’s an outstanding debt; should they invest the time and money to chase the debtor, without a guarantee they’ll locate them and recoup the money? Or, should they focus on what’s ahead for the business, and let the debtor get away scot-free? The former risks wasting more resources, while the latter sets a dangerous precedent for consumers and partners moving forward.
Leading professional debt collectors like Summit Account Resolution give companies a third option: let a company with a fully licensed private investigator locate the debtor and their assets sooner. The risk of squandering the resources disappears because they will find them, as they have resources most skip-tracing departments in the US don’t have.
Even if a debtor tries to relocate and rename their business, private investigators will locate them and make prompt reports to the credit bureaus, incentivizing them to make repayments sooner. Otherwise, securing a loan in the future will be harder and more expensive.
Stop Employee Drain
What if the cause of the financial drain isn’t from B2B partners or customers, but your own employees? Sometimes, employees can cause financial drain in several ways.
For example, employees deserve to be trained and educated by the company, but there are conditions which must be met. It’s not right for a company to invest in an employee’s ongoing education only for them to abruptly quit after the program. Not only is it wrong for them to potentially let a rival benefit from their investment, but it could be a breach of their contract.
What if an employee makes a costly mistake submitting business expenses? There could be confusion about the process, or sometimes, employees may try to exploit the policy to get the business to cover personal expenses.
Professional debt collectors know how to plug these leaks quickly and effectively.
Reputations Intact
Asking people for money is a bad way to get them to like you! Even if they owe the money, nobody wants that reminder. Companies want their partners and customers to like them, which is why they invest in advertising and marketing.
Debt collection shouldn’t undermine the efforts and investments taken to establish relationships. Some debt collectors use aggressive, underhanded tactics to recoup the money, such as late-night calls, robocalls, aggressive language, and other harsh methods.
Avoid these debt collectors at all costs. If they get the money back, it’ll be a pyrrhic victory because it’ll come at the expense of your reputation. The leading debt collectors are always helpful and courteous and treat everybody with dignity. The professional debt collectors emphasizing positivity and kindness also recoup nearly double the national average. It’s wise to keep your reputation intact and get more money in your accounts.
Professional debt collectors help to free up executives and managers to keep focus on what’s ahead for the business without letting them lose track of past money. Consider hiring one that ticks off all the boxes described above.
