Four Ways To Boost Collections

The following are eight proven tips to assist you in developing some time-tested collection strategies that your credit and collection department can implement—helping you recover hundreds of past due bills. The list is provided by Dennis Venezia, president of Beacon Recovery Systems.
1. Use The Telephone As Your Main Collection Tool.
The telephone just gets better and faster results than written correspondence. It allows for two-way communication and it’s harder to tell someone no or ignore the situation if you are talking with them on the phone.
2. Hold Orders Before Your Customer Gets Too Far Out.Many creditors are too afraid of losing customers to hold orders. However, holding orders may be necessary to get your payment. If you let him go too far, he may not have the capacity to repay the debt.
3. Visit Your Debtor’s Place Of Business.
When your debtor is avoiding you, breaks his pay commitments, or makes a commitment to pay a seriously past due bill, go to his office to pick up the check. It’s hard to be avoided or be told that they are not going to pay. You will rarely leave empty-handed.
4. Don’t Wait Too Long Before Using A Collection Agency.
If you are not making progress and are feeling uncomfortable about your situation after your customer is 30-60 days past terms, you should consider using a third party for collections. Serious delinquencies are a symptom of a struggling business. A third party is effective because your customer knows the situation is serious and wants to protect his credit standing.
For a free copy of the booklet, “18 Proven Tips and Strategies to Boost Collections and Increase Your Cash Flow, ”email Venezia or email info@beaconrecoverysystems.com.

Outsourcing Your Email

According to Gartner Group, 80% of enterprises with fewer than 300 users could save money by outsourcing email. How do you find the right outsourcing partner? The following are some questions to ask when searching for an email-outsourcing partner:
* Where will the data be physically stored?
* Is there adequate physical security in the building?
* Will client applications have a secure means to log on to the email server?
* Does the hosting service have data centers with redundant network connections, backup power sources, and engineers on site 24/7?
* Are its routers protected by an uninterruptible power supply?
* Does it have redundant network connections in case one fails?
* Is the financial company financially sound? (If the hosting provider is having financial problems, it could fold and take its customers’ data with it.)
* What precautions has the hosting firm made to ensure all data is constantly backed up?
* How steep is the learning curve?
* Will employees have to learn a new way of doing things, or can current client applications and work processes be used?