Hiring A Collection Agency – Unpaid Invoice
Hiring A Collection Agency – Unpaid Invoice – Your client is really late on paying their invoice….. Now what do you do?
Typically you would send them a reminder and possibly a second reminder…..
Let’s say hypothetically “ABC Office Design” a St. Louis based Office Furniture company wins the contract to supply and new office building with furniture. ABC Office Design signs a contract and collects the deposit with an agreement the “Sunshine Towers” will pay so much per month. Starts off great but in about 6 months they haven’t paid but one payment and the deposit. Now the furniture and designs are already delivered and in place.
What do we do now? Time to make a decision.
Probably time to send a demand letter but will that accomplish anything? It depends but worth a try. Here are some tips on the Do’s and Don’ts of Demand Letters.
Look at your contract.
Was it written well to protect you and give you the right to legal action?
This is the time you may want to hire a reputable collection agency
Now to find one and the questions to ask.
- Check out Better Business Bureau (BBB) certified collection agencies.
- Check out your local Chamber of Commerce
Questions To Ask When You Decide to Hire a Collection Agency:
- What fees do they charge?
- Who is your contact at the agency?
- Do they have experience in similar situations to yours?
- What will they need from you?
- How long have they been in Business?
- What rating do they have with the BBB?
Typical Best to Use a Collection Agency that you don’t pay unless they collect.
Let them do what they do best and then pay for those services.
MCA is a third party debt collection agency that has been in constant business since 1950. We are rated A+ with the Better Business Bureau and we pride ourselves in excellent customer service along with delivering great recovery rates. There is no cost to you unless we collect! Why not try and re coop some of your past due accounts with no out of pocket expense?