Cleaning Up the Books for Year End
Businesses routinely clean up their books for year end accuracy & to ensure unpaid invoices aren’t falling through the cracks. Hiring a commercial collection agency like HF Holdings can allow your business to focus on next year’s goals while resting assured any unpaid invoices get collected.
Businesses can utilize debt-collection agencies to clean up their books at the end of each year to ensure their bookkeeping remains accurate and up to date. Many commercial collection agencies work for “free” until they actually collect the debt; once they do, they’ll keep a small percentage and return the rest to your business.
This article will explore when to use collection agencies for cleaning up business books and how to choose a firm that will successfully collect monies owed for more successful bookkeeping.
When To Utilize Collection Agencies
Businesses should consult a collection agency when they’re unable to locate the client that owes them for services. They should also consider a commercial collection agency if the debt has been owed for over 90 days, the customer’s check has bounced, the customer keeps stalling or promises to pay by a certain day but never does.
If your business has experienced any of these issuethere are a couple of options.. One option is to attempt to settle the debt internallyby attempting to contact the client directly.. If your business has tried everything on your own and gotten no results, it’s time to contact a commercial collection agency.
Choosing The Right Collection Agency
When it comes time for a business to consider which collection agency is right for them, there are a few factors they should keep in mind before making their decisions. They should consider the agency’s total ROI and not solely their initial price. This will save companies from partnering with agencies who provide little return.
Companies should also take notice of a collection agency’s customer service, especially when trying to find the best collection agency for small business. When choosing a debt collection agency, it’s vital that a business choose one thattreatsindebted clients with respect and dignity, offering them different payment plans and financial options so that the debt can be paid.
Finally, all businesses looking into utilizing debt collection agencies for cleaning up their books should always analyze a collection agency’s track record. By gaining information about the agency through customer reviews and referrals through accounting firms, business contacts, the BBB and even the Chamber of Commerce, businesses can be sure they’re getting candid info.
Finally, all businesses should ensure the debt collection agency has the necessary credentials and licensing to operate efficiently. This would include the agency being licensed to collect a debt in another state (depending on where the client that owes is located). Debt collection can be hard and no collection agency for your business can collect every time, so be careful of any agency that makes you a guarantee.
Summary
Cleaning up the books at the end of the year can be daunting if a company has a lot of unpaid invoices that need to be settled and accounted for. With the right tools, managing and collecting these debts can be simple.
By utilizing a collection agency that has the proper credentials, a good track record, believes in treating owing clients with respect, providing good return on investment as well as outstanding customer service, companies can be assured they’ll collect many debts owed to them.