It's difficult enough to run a business without having to deal with debtors that owe you money. It may make your business even harder to spend time in recovering overdue debts, although you still have to try.
Getting a professional debt collection agency to act on your behalf could allow you to focus on other more valuable tasks, especially if the debt recovery agency is charging on a no win no commission basis which minimises your risks.
The debt recovery company would have their own procedure for collecting overdue debts, which may involve written demand, phone demand, face-to-face demand et.al. In our experience, the letters and phone calls made by a debt collection agency are generally more effective than those you do internally. Sometimes, it can be just a third-party effect, according to some experts.
If you hire an active debt recovery agency, they would be able to regularly update you regarding the collection status. If the debtor fails to react or pay the amount owed to you, your debt collectors will ask for your permission to take further actions, depending on the circumstances, they should also recommend you the most appropriate actions.
Some debt collection agencies, like Xservices, can help clients proceed with legal actions internally, with much lower costs than hiring a debt recovery lawyer. Usually, client would have the choice to involve a lawyer in the legal proceeding. Your debt collectors could help you to prepare the relevant legal documents, apply to the court or tribunal, serve the documents, and assist you in the hearing. Once a judgement has been obtained against the debtor, you will get recommendations on the next steps to enforce the proceedings.
There are many enforcement actions that are available via the court, but the most typical are an attachment of earnings order, an attachment of debt, an instalment order, and a warrant to take property. Each of these enforcement procedures has filing fees, however most of these expenses can be recovered on top of the sum owing.
Experienced in recovering overdue debts from almost all industries, Xservice Debt Collection is prepared to serve clients of all sizes. Whether you are a sole trader, micro-business, small-to-medium sized company, or large enterprise, we can help. Unlike other debt collection agencies, we spend extra time reviewing each debt, no matter how small or large the debt is. We study and investigate each case to ensure a higher success rate. We understand our clients have worked so hard to provide quality services and/or products, so we always work even harder than our clients to make sure we won’t miss any chances to win. Get in touch now to book a free consultation session.