Collect that Debt - Your Business Depends on it

The efficiency of debt collection is the difference between a business that will succeed and a business that closes up.

If you do not have control of your debt collection then you will eventually fail. All businesses that grant credit will be faced with the problem of bad debt at some stage. The best way to deal with bad debt is to have a good debt control system in place.

There are three types of bad debt:

  • Can pay.
    This is where your debtor can pay but will drag out non-payment as long as possible. They do intend to pay but only at the last moment.
  • Can't pay.
    This type of debtor have no means of paying the debt either momentarily or ever. They are not necessarily avoiding payment but do not have the means to do so.
  • Won't pay.
    This type of debtor is the worst. They will try to get away with not paying, know the debt collection routine and will not pay until the matter goes either to court or through a debt collection agency.
  • The solution to this is to get your money when it falls due or have a collection procedure that does not let your debtors get away with anything. Once you stop chasing the money that is due to you the amount owing to you will increase. The longer you allow a debt to remain unpaid, the less chance you have of recovering it.

    There are three ways to collect debt:

  • By yourself.
    This is the least costly method and involves phoning the debtor, sending letters and as a last resort, going to court to have the debt paid.
  • By a lawyer.
    This involves having your lawyer send letters of demand before it is taken further. A fee will be charged dependent on how long it takes for the debt to be recovered. If going to court is involved and your debtor is forced to pay you through a court order your legal fees could be recovered. However if not, then you will have to cover the court costs as well.
  • Debt collection agencies.
    These are firms such as Baycorp, who specialise in the collection of debts. A percentage of the amount collected is taken as a fee. If the debtor does not pay the debt it will usually affect their personal credit rating.

  • Copyright 2005 StartRunGrow
    http://www.startrungrow.com

    StartRunGrow (http://www.startrungrow.com) is a global online information organization that specializes in creating, developing and marketing business help information specifically with the aim of "making business easier" for entrepreneurs around the world. The StartRunGrow objective is to become a dominant player in the business help arena providing end to end solutions for the millions of small and medium businesses worldwide who continue to struggle daily with the difficulties of starting, running and growing a successful business.

    bathroom cleaning service Lincolnshire ..
    In The News:

    The Omoway Omo X features a modular design, obstacle detection and emergency braking, and can drive itself to charging stations, signaling the future of smart urban mobility.
    PillTrek, a tiny wireless smart capsule created by Caltech, provides real-time gut health data by detecting electrolytes, metabolites, glucose, hormones, pH levels and temperature.
    Learn to spot fake bank text messages with five warning signs of Chase phishing scams, including suspicious links and urgent deadlines designed to steal your account information.
    Robot coyotes built on motorized cars reaching 20 mph are being deployed at military airfields as an innovative solution to wildlife threats to aircraft safety.
    Explore Google Drive's strengths and weaknesses as a backup solution, including its encryption security, privacy concerns and comparison to dedicated backup tools.
    As environmental challenges grow, underwater habitats gain momentum with DEEP's Vanguard, supporting short missions and Sentinel designed for 28-day stays at depth.
    The new Urban Eyes safety vest features dual cameras, reflective panels and a wireless remote to deter harassers and provide peace of mind for outdoor workouts.
    The $200 billion data broker industry tracks your personal details across websites, posing privacy risks that can be mitigated through data removal services.
    UCC Holding has teamed up with COBOD to create desert-inspired, 3D-printed schools in Qatar, featuring dune-like wavy walls impossible with conventional construction.
    Darkling beetles equipped with microchip backpacks can be guided through disaster areas using electrical signals, offering a biological solution for search and rescue.
    Scammers use number porting to take control of outdated landlines still connected to financial accounts, bypassing two-factor authentication to steal funds while avoiding detection.
    Twitter co-founder Jack Dorsey developed Bitchat, a privacy-focused messaging app that works offline via Bluetooth without requiring email, phone numbers or personal data.
    Google is making a push to ensure its AI, Gemini, is tightly integrated with Android systems by granting it access to core apps like WhatsApp, Messages, and Phone.
    A new green energy system is set to change how we capture clean power, and it all starts with the ocean. French startup Seaturns has designed technology that taps into the natural motion of the sea.
    Cybersecurity researchers are warning that hackers have started exploiting flaws in chatbots to carry out AI phishing attacks.
    Google has just made it easier than ever to regain control of your inbox with Gmail's new Manage Subscriptions tool.
    Despite the benefits, residential power saver programs come with several potential drawbacks and concerns that have been raised by both customers and experts.
    The Blackdot AI tattoo machine is quiet. It's steady. And according to early users, it hurts a lot less.
    Attackers have started to exploit the very signals that users assume will keep them safe when it comes to add-ons to improve productivity or entertainment.
    Located on Cerro Pachón in Chile, the world's most powerful digital camera is set to transform how we see the universe.
    The innovative DQ Tower stands 28 feet tall with 420 square feet of living space, featuring floor-to-ceiling windows and premium amenities in a prefabricated design.
    A new mmWave imaging system allows warehouse robots to scan and create 3D models of objects inside sealed containers, potentially revolutionizing shipping processes.
    Family fraud endangers seniors when relatives exploit their trust, but removing personal data online and monitoring identity can prevent financial harm to aging parents.
    A study analyzing 500,000 customer service interactions shows chatbots struggle with complex issues while human agents excel at matching customer communication styles.
    Aigen's Element robot uses solar power and AI to provide farmers with a sustainable alternative to herbicides, working efficiently in cotton and soy fields.

    When and Why YOU Are the Best Writer for Your Business Plan

    WHEN you are operating or planning a small business that... Read More

    Profits are within 6 Degrees of Freedom

    How far away is the person you need to meet?We... Read More

    Dealing With a Crooked on the Take Government Worker

    Many government department heads are on the take. Oh they'll... Read More

    The 5 Habits of Highly Successful Small-Business Owners

    Have you ever wondered what the difference is between a... Read More

    Small Business Computer Security, the Basics

    Anyone in business today realizes both the natural dependency on... Read More

    Five Facts and One Motivating Factor Behind a Successful Home Business

    All legitimate home business entrepreneurs insist and announce loud and... Read More

    Leveraging Business Relationships for more Profits

    When should you leverage the relationship?Leveraging sometimes brings a negative... Read More

    Debt Collection Techniques

    Here are some sound debt collection techniques that can be... Read More

    Australian Workplace Agreements - How They Work For You

    The employer / employee relations environment has been constantly evolving... Read More

    Entrepreneurs and Franchisors Watch Out

    New Franchisors and Entrepreneurs need to watch out as they... Read More

    Is Your Business Profitable?

    What's your job profitability? Do you know?Many business owners are... Read More

    Simple Business Tactics Are Your Key To Success

    In a world full of complications sometimes we overlook the... Read More

    An Example of Business Automation - eCards with pizazz

    The last time I spoke and went into a bit... Read More

    Mobile Car Wash and Cleaning Post Office Jeeps

    If you own a mobile truck washing, pressure washing or... Read More

    Don?t Quit Before You Get to the City!

    We were more than excited. Our women's doubles tennis team... Read More

    Window Cleaning Business Start Up

    Should you buy a business opportunity or Franchise if you... Read More

    Aircraft Washing Service Operations Manual

    Anyone who is serious about washing aircraft as a full... Read More

    If You Want Business - Be Consistent

    Why does consistency in the message have an effect on... Read More

    Using Technology to Manage Customer Loyalty

    Don't let your customer satisfaction research initiative collect dust on... Read More

    Cost Effective Franchise Regulations, Come again

    The Franchise Group at the Federal Trade Commission in all... Read More

    Why Small Business Must Turn to PR

    If small business had no important outside audiences, it wouldn't... Read More

    In Home Daycare Businesses for Profit

    To have one of the popular in home daycare businesses.... Read More

    Canon City, Colorado - Good for Small Business

    Canon City, Colorado is known for it's 6 Prisons; State... Read More

    Look Out for that Great Accountant

    There are many factors to be considered when you are... Read More

    Boston Suburban areas a good choice to run a business

    BioTechs even with the latest news had shed over 1000... Read More

    recurring housekeeping Des Plaines ..