As an owner of a B2B business, or even if you work in accounts receivable for a B2B business, you know the headache of tracking down past due invoice payments. While it would seem that you've done everything necessary to prompt on-time payments, there's always that one client that pays late or not at all. If you've ever considered hiring a B2B debt collection agency, you might have questions about their processes to collect what's owed. What will they do for you? And most importantly, how much does it cost?
Have you ever wondered ... will B2B collection agencies work hard to recover my company's cash?
The B2B Collections Process
Your first step in getting paid is reliable accounts receivable management. If all fails, you will then likely refer the account to your internal first party collections group. If the client doesn't respond or refuses to pay, the account should be escalated to a collections agency as quickly as possible. Or if your collections efforts fail to recover any payments, then the account should be escalated when it's approximately 90 - 120 days past due.
As a B2B collections agency, when Enterprise Recovery takes on the account, we will collect all information about the client, including documentation, notes, payment information, correspondence, invoices and more. Here's the process:
Log into your account dashboard to upload any invoices and documentation.
Receive acknowledgement of your collection placement.
Review collections status reports
Collect recovered payments (less fees) or, if unsuccessful, consider legal action with the help of the collections agency
How Much Does B2B Collections Cost?
The answer to the question of price can be found in the answer to this question: Why will B2B collection agencies work hard to recover debt?
Because they don't get paid unless you do!
The only cost is when the debt is recovered. Fees are determined based on a few factors - the amount of the debt, the age of the account and how much work went into debt collections recovery. Considering this, it's wise to send these accounts to B2B collections agencies as soon as possible. The sooner they can get to work, the more likely they'll recover the debt and your fees will be lower.
If Enterprise Recovery is unable to collect, you'll owe us nothing! If you choose to pursue legal action, we can help gather what's required, help you find a good lawyer and determine if it's in your best interest to file a claim.
Want a reputable B2B collections agency to work hard for you?
Click the green button below to learn more.