According to Forbes, 80% of new businesses fail within the first few years. One of the preventative measures a new business can do to ensure its success, is make sure their receivables are in good shape. The one thing a new business cannot afford to do is to extend credit to their customers. This is where TekCollect’s services can come in handy!
Here are some signs a new company can look for that may indicate they need a third party agency’s assistance:
- A customer’s check bounced!
Not a promising sign that they will be a solid, paying customer. Collection agencies, such as TekCollect, have the ability to look at the credit history of potential customers in hopes of saving the company money, in the long run.
- You have unpaid bills longer than 90 days.
It’s important to be able to identify slow-paying accounts. A Third Party agency can do that and begin collection activity before the accounts get to be as old as 90 days past due. According to statistics, you lose about 10% per month on unpaid balances over 90 days.
- Are unfamiliar with collection laws and regulations?
There are lots of laws in the debt collection industry, some differing from state to state. A debtor that owes your company money will not hesitate to sue you if you have broken any of these laws. TekCollect’s job is to know these laws, not just on a state level but federally as well. Using our services to collect the debt will avoid any legal risks you might ensue in collecting them on your own.
- In the case your non-paying customers go MIA!
If your non-paying or slow paying customers fail to communicate with you and seem to have fallen off the face of the earth, that’s probably a good time to call TekCollect. We have trained skip tracers in our collection department that are able to track down those people who are trying very hard not to be reachable.
- Lastly, you most likely do not have the staff to handle collections.
Your staff consists of people who have their own set of skills and expertise. Allow them to do what they are qualified to do and call TekCollect to do what we’re qualified to do…manage your receivables and cash flow so your business can be a success!