More than likely, throughout the course of operating your business, you’ll find yourself in the unenviable position of being owed quite a bit of money that you aren’t able to collect on. Recovering business debt is a time-intensive, painstaking, and emotionally draining process that most businesses just don’t have the energy to engage in themselves. That’s why they hire a firm like Gilliam & Mikula to do that for them.
We’d be happy to take on all the work involved in collecting what your business is owed. You’ll need to get a few things in order first, though – keep reading to find out what you need to recover business debt!
Recovering Business Debt
If you want to be sure you are on the right path for recovering business debt, your debt collection agency will need to know a few things… and you can sum it up in the following questions: What? Who? Why? How?
What Debt is Owed
Obviously, the first step is to determine how much you’re owed. Businesses in different fields may not run up a big accounts receivable balance, and it may be feasible to collect their debt manually. Other businesses (like HVAC or other contractors) may operate entirely on financing, and their account receivable balance can be massive.
Determining what debt your business needs to collect on is the first step.
Who Owes the Debt
Now that you know what’s owed, let’s drill down on who owes it. You want to be sure, before you begin the debt collection process, that you have updated YOUR current contact information for the debtor. After all – if your debt collection agency can’t reach your debtor, they can’t collect from him.
Implement stringent customer contact information collection and upkeep practices in order to make sure you can contact the debtors.
Why Do They Owe It?
We’ve locked down how much debt is owed and by who. Now we need to know why they owe the debt. This might seem like an easy answer, but it can be anything but. For instance, they might owe your company money simply because they moved and haven’t received a bill from you. Maybe they just forgot to pay the full amount. Maybe they want to pay, but can’t afford to. Perhaps they were unhappy with your service and want to discuss that before full payment.
There are certainly debtors out there who just don’t want to pay you. But just as common are debtors that are willing to if you’ll work with them. Knowing why they owe you money is a key step towards getting it.
How Do You Want to Collect?
We’re almost done! Now that you have all the information about the debtor and their debt lined up, you’ll now need to let your debt collection agency know how to go about recovering it.
That can change from client to client, and you might want strict rules in place regarding our collection calls and emails in order to stay on good terms with the debtor. If you are prepared to take each and every in-debt client to court over what they owe, we need to know that too.
How we recover your business debt is up to you!
Recovering Business Debt is a Team Effort
It may be a little bit of work up front, but it’s well worth it. The more information you’re able to give a debt collection agency like Gilliam & Mikula, the more likely we are to recover your debt quickly and in full.
We’re happy to work with your business directly to get all of these questions above answered, as well. Just get in touch to get the process started! Fill out our contact form let us know how we can help. We Look forward to working with you!
Gilliam & Mikula is centrally located in Richmond, Virginia, and serves clients throughout the Commonwealth of Virginia. Our attorneys have over forty years of combined experience in various practice areas, representing individuals and businesses. We are licensed to practice in all General District Courts and Circuit Courts of the Commonwealth of Virginia including, Central, Tidewater, and Northern Virginia areas.
The attorneys at Gilliam & Mikula are here to smoothly guide you through the “legal maze” and ensure that you achieve the most favorable outcome.
The information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only. Information on this website may not constitute the most up-to-date legal or other information
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