adding onto a ranch style home skokie legacy home remodeling add a master suite to house patterson remodeling adding a addition to my home .. Chicago Drug testing

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.

    In The News:

    20 Great Ways to Market Your Business Locally

    Whether your target audience is in your neighborhood or across... Read More

    Starting a Tractor Washing Business

    In the heavy equipment cleaning business you can make good... Read More

    Carwash Manual Sample Outline

    Car wash businesses are unique to other businesses. In fact... Read More

    Profits are within 6 Degrees of Freedom

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

    Window Cleaning Business Start Up

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

    City Wide Garage Sales: Hidden Riches!

    Most of us remember going to at least one garage... Read More

    The Number of Pages in the UFOC in Franchising is Still Growing Today

    Today required franchise disclosure documents are over 200 pages generally.... Read More

    Tips on Setting Up Your Small Business Bank Account

    One of the first things you will need to set... Read More

    Janitorial Cleaning Service: Getting Started

    A janitorial cleaning service is one of the best businesses... Read More

    The Business Autopsy: A Fact Of Life

    Last week we discussed the importance of performing an autopsy... Read More

    The Truth About Government Grants for Your Business

    Free money! Receive up to $25,000 that never has to... Read More

    Virtual Assistance for Healthcare Professionals

    Administrative and clerical tasks are the bane of every industry.... Read More

    Tell Me The Reasons Why I Should Believe You?

    Have you ever heard the phrase, 'PREPONDERANCE OF PROOF'?I recently... Read More

    Launching your Business with a Chamber of Commerce

    Why are Chambers a good launching pad?Chambers provide you with... Read More

    How To Accept Credit Cards

    If you plan to do business online, then your website... Read More

    How To Start a Small Business

    Not sure how to start a small business? This guide... Read More

    Is Your Business Profitable?

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

    What are the COSTS Associated with joining Leads Groups?

    When it comes to cost, how much can you afford... Read More

    Find Some Sample Payroll Check Stubs on the Net for Easy Reference

    Starting a business? For many people, the bravery to venture... Read More

    Two Types Of Business Plan Cover Pages ? Which One Are You Using?

    This is the tale of two business plans with very... Read More

    Leverage The Power of Publicity For Your Small Business

    Your business is only as good as the number of... Read More

    Auto Detailers and Competitive Aspects of Automobile Detailing

    There are both fixed and mobile detailers. Consumers often will... Read More

    Slip And Fall Professionals; Service Businesses

    Since you own a business you probably have liability insurance... Read More

    Obtain Maximum Results For Your Small Business Through Better Time Management

    Most small business owners are faced with so many responsibilities... Read More

    Small Business Owners - Form a Relationship with Your Bank Manager

    It's just like a marriageTo expect a bank manager or... Read More

    led induction lighting Pete's produce ..
    led induction lighting Pete's produce ..