For most small business owners the main area of concern is attracting and maintaining clients or customers. Not much thought or planning is usually given to how to collect on accounts receivable that are past due. This is understandable. Most of us operate on the assumption that people and businesses pay their debts on time, however, as any seasoned business owner can attest to, that is not always the case. This post will point out some important considerations to weigh when choosing a debt collector for your business, whether it is big or small, the attributes required for a competent debt collector are the same.
1. Will Your Debt Collector Travel?
This seems like a strange question at first blush, but it is an important consideration. For instance, if you have a business that deals with clients across Virginia you may not want to choose a debt collector who only appears in Richmond-area courts. Since many cases are filed where the defendant is located your debt collector would not be able to appear at any court proceedings outside of their geographic practice area. For instance, at Chaplin & Gonet, we travel across Virginia for subrogation and collection cases. This means that for clients looking for a debt collector that can handle both local and intrastate cases, we would likely be good candidate. Regardless of where you are, know what type of clients your business will be dealing with, and where they will most likely be located, and discuss this with your prospective debt collector.
- Debt Collector Capacity
Debt collection practices require specialized infrastructure that other types of practices do not. Since files require constant monitoring, from the intake of files to filing Warrants in Debt and trials, your debt collector should have a well-trained, experienced staff to help care for your accounts and ensure that nothing slips through the cracks. At Chaplin & Gonet we have a team of dedicated debt collectors, support staff and attorneys that work in concert to maximize the return for our clients.
- What Type of Claims Can Your Debt Collector Handle?
What type of accounts you have delinquent should also affect who you choose as your debt collector. For instance, if you are a medical provider then your claims are mostly contract claims. However, if you are a large apartment complex, then your claims can range from a simple contract claim to having to evict tenants and sue for damages to the units. Having a debt collector that has experience and expertise in your business area is an important consideration. At Chaplin & Gonet we have handled thousands of accounts ranging from automobile subrogation to healthcare collection cases. Our attorneys and debt collectors have most likely helped a client with similar needs as yours and we can start working with you immediately.