The business owners serving Miami and outlying regions need to collect on the debt customers or businesses owe. Cash flowing into a business helps ensure its longevity.
You already know you can contract with a collection agency to pursue the debt, but most business owners try to avoid this strategy. You must pay a collection agency, and there is no guarantee they will succeed. In the end, you will have spent a large sum trying to collect your money.
Why do collection agencies fail to collect?
When a debtor knows they are speaking with an outside agency, it is easy to ignore repeated calls and letters. On the other hand, speaking with a business owner or manager tells your debtors that your first goal is resolution rather than litigation.
Despite the failure of many agencies to collect, they do have several effective communication tactics. When these tactics come from the business owner instead of an impersonal collector, they may yield the results you want. Three of these strategies include:
- Avoid negativity. Adopting a positive tone with your debtors can reduce their anxiety and encourage their participation in finding a resolution.
- Show understanding. Showing debtors that you understand financial hardships may encourage them to start with small payments and build to larger installments.
- Be reassuring. Reassuring debtors that litigation is a last resort only may assuage their fears and encourage them to work with you on their debt.
When the tactics above fail, you will have established your efforts to resolve the matter. If you must then turn to business litigation, this record of attempting to work with your debtors can improve your case. It may also help to speak with a law professional and increase your understanding of Florida debt collection laws.