Debt Collection Process for Small Businesses

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Debt Collection Process for Small Businesses

As a self-employed professional, it is vital that you are paid by your customers when the work you are doing has been completed.

It can be extremely costly to your business if the invoices for goods or services you have provided are late or completely ignored by the client.

Are you based in Liverpool and are facing the difficulty of customers who are not paying you?

This issue affects almost 57% of smaller businesses in the UK, so you are not alone.

However common this may be, it is imperative that you are aware of the appropriate steps to take when a debt is ongoing as making the wrong choices can be a lot than making no choices at all.

It is always recommended to carry out proper planning when it comes to handling payments, but even such methods can be disregarded by troublesome customers who will not pay.

At Debt Collection Liverpool, our FREE debt collection agency referral service will help connect you to the best professional recovery agency based on your own requirements, who will leave no stone unturned.

In this article, we give advice and guidance on the debt collection process for small businesses and what not to do when situations like this arise.

How To Collect Debt Effectively – Debt Collection for Small Businesses

If you are self-employed or a small business and are in the process of trying to collect money from a customer who is not paying you, it is important to stay calm. Adding stress into an already difficult situation can make things even worse, and may result in bad decisions being made.

There are things you should do and things you should not do when it comes to the debt recovery process, it is our job to recommend the perfect solution based on your requirements.

Also, it is recommended not to use Solicitors for such things as they are typically expensive and take a long time to come to any sort of conclusion.

What NOT To Do – Debt Collection Process for Small Businesses

The most important thing to remember when met with customers that are not paying for goods or services you have carried out is to not take the debt recovery on independently. There are various reasons for this, some more impactful than others, but all of them are important to take note of.

Trying to undertake the collection of a debt by yourself is extremely counterproductive to the operation of your business. It takes time to go through the process of recovering money, and this time could be used to carry out value-based tasks which grow your business.

Cash flow is extremely important for self-employed individuals and smaller businesses, so time is very much money in this respect.

Not being paid in the first place has already impacted the cash flow, so wasting time and resources to try and get that money back instead of prioritising new business is a counterproductive step. There are no guarantees that recovering the debt independently will be successful, and if this is the case then valuable resources will have been squandered by this point.

Instructing an agency is often the best course of action, as they are specialists in recovering debts and are the most professional, cost-effective and expedient method.

What You SHOULD Do – Debt Collection Process for Small Businesses

Why use a Debt Collection Agency in the West Midlands, London, Scotland or Liverpool? The answer is simple. They provide an effective and low-cost service that helps both businesses and private idividuals.

As mentioned above, the best method for obtaining money owed from customers is to use the services of a professional Debt Collection Agency.

As part of the UK Debt Collection Bureau, we have a list of trusted member organisations who operate in a highly professional and cost-effective manner.

Whether you are a tradesman, accountant, estate agent or dentist, or are acting independently as a private individual, the partner we recommend to undertake this type of Debt Collection is Frontline Collections.

Frontline Collections are experts in the industry and have a demonstrated history recovering debts for small businesses in Liverpool, Merseyside and across the rest of the UK.

Here are some of the reasons why we recommend Frontline Collections for all your Private Debt Collection requirements:

• High Collection Rates and Low Commission Rates
• On Avg. 90% Recovery Rate on Undisputed Debts
• Members of the Credit Services Association
• Over 15 years industry expertise in most private sectors
• Dedicated Liverpool collection office

Frontline Collections’ Number 1 service can cater for all Private Debt Collection requirements and are mindful of existing business relationships for companies.

They have offices based in strategic locations across the UK, such as in London, the West Midlands, Manchester and Scotland.

Their practices are tailored to the debtor in question and their circumstances are analysed and vetted prior to action.

Not only are  Frontline Collections the UK No1 for Private Debt Collection services, but they have also recently been awarded “Gold Supplier Status” by the Independent Schools Association.

Get in contact with the New Business team at Frontline Collections today to start your debt recovery journey.

www.frontline-collections.com | 0333 043 4425 | enquiries@frontline-collections.com