Is debt collection right for my business?
At some time or another all business owners have to deal with bad debtors. These are customers which have invoices outstanding by more than 60 days.
Your business could be suitable to use a debt collection expert if:
- You provide goods and services to other businesses
- You have debts which are more than 60 days old
- The value of your outstanding debts are more than $1,000
Calculating the true cost of bad debt
Did you know that writing of £5,000 of bad debt could actually cost your business £50,000?
If your profit margin is 10% and you write of £5,000 that means you need to find an extra £50,000 worth of new business to recover this cost.
Unfortunately some bad debts need to be written off as payment is never received. The primary aim of using a debt collection agency is to minimise the number of bad debtors and ultimately the value of those debts which need to be written off.
Why use Touch?
At Touch we understand the importance of collecting payment from your debtors in a timely fashion. After all cash which is in your debtors bank account won’t help your business much!
Through over 20 years experience we have a tried and tested systematic approach which ensures that payment is secured from your debtors in the most efficient means possible. We will use both post and telephone conversations to work with your debtor to come to an amicable arrangement. Whilst trying to maintain a professional tone striving not to damage relations with your customer.
Once we receive details of the debt we will contact you to discuss the case further and work with you to settle the bad debts as quickly as possible.
Once we have all the details of the case we will be able to advise you on the likelihood of securing payment from the debtor.
