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No companies enjoy being owed debts. Not only are they awaiting funds they should already have, but it puts them in a funny position: should they invest more time and money to collect the funds or cut their losses and hope the debtor pays up?
Hiring a professional debt collector changes the calculus and makes a world of difference. Please read on to learn why.
Better Skip Tracing
Businesses aren’t designed for locating debtors. That isn’t what HR personnel or whoever is tasked with that job was really hired for. That means they’ll be spending their time away from core tasks, hoping to recover the debts.
Leading debt collectors like Summit A*R have skip tracing departments run by a fully licensed private investigator who specializes in locating people, and their assets, trying not to be found. Some debtors change the name or location of their company to avoid being located, but even then, leading skip tracing departments can track them down.
The best private investigators have the skills, experience, and resources to do this job effectively. Many skip tracing departments rely on free tools accessible to anybody. Look for a debt collector that goes beyond the average.
Leading with Kindness and Dignity
Asking people for money can be a tricky, awkward position. Nobody loves needing to ask people to pay up, just like nobody enjoys paying. Rightly or wrongly, the debt collection industry sometimes gets a bad reputation for using aggressive methods, like robocalls, threatening language, late-night calls, or other underhanded tactics.
The best debt collectors will never treat people badly, no matter the situation. They don’t judge debtors or speak down to them, and they avoid any conduct that would reflect badly on you. That way, there’s no bad blood or burned bridges, and it’s easier to maintain a beneficial long-term relationship.
Hollywood movies portray debt collection as a rude, ugly place. Look for a debt collector that puts dignity first. Actually, the debt collectors who value respect and dignity also tend to double the national average when it comes to collections.
More Money, Sooner
At the end of the day, what you really want is to maximize debt collection as quickly as possible without any drag on the company. Professional debt collectors get you a higher return in less time, so you can move on with the business without looking in the rear view mirror.
The best debt collectors know how to file prompt reports with the major credit bureaus to light a fire under debtors. Once they realize that not paying off their debt will make it more difficult and expensive to obtain a loan in the future, you’ll find that debtors will hurry up and voluntarily repay what they owe without you having to break a sweat.
Look for a professional debt collector who knows what buttons to press and has a long track record of pressing them successfully.
While asking for money is uncomfortable, companies can’t afford long outstanding debts. Hire a professional debt collector with all of the qualities described above, and you’ll be happy you did.