In the recent recession, a small firm could have had to contend with several overdue invoices and ultimately been cleared, but this one with a large firm could need to be cleared quickly since cash is running low. If the small firm thinks that using credit cards as a short term solution to their cash flow problems might help, then perhaps the interest rates of 16% plus might make them rethink their strategy. However one thing that they could well not have looked at is to be hands on in their Debt Collection quest and take on this Debt Collection process with their own resources by using a Debt Collection Software suite. Their former view on Debt Collection could well have been that only legal practices or Debt Collection Agencies were capable of carrying out a Debt Collection process. What the recession has brought is a rise in the numbers of legal practices and Debt Collection Agencies, but the growth could well be due to unethical elements that are there to take advantage. Who knows what tricks these unethical legal practices and Debt Collection Agencies could get up to, but would anyone be able to distinguish between the good and the bad legal practices and Debt Collection Agencies before it was too late?
The small firm could then be better served by trusting their own skills and checking up on Debt Collection Software packages to find one that they believe is suitable. This research needs to include the educational side and there needs to be a general section on how the Debt Collection procedure works as well as a section dedicated to writing Debt Collection letters. These Debt Collection letters are at the centre of the Debt Collection procedure and must be written with care since any spelling or grammatical issues could look bad when the large firm receives them. This depends on the resources that are available to the small firm when they go for a Debt Collection Software suite, since they will need to designate members of staff to use the Debt Collection Software and possibly other members of staff to generate the Debt Collection letters. This latter group or worker will need to have a good knowledge of English to avoid the aforementioned issues and to help them the Debt Collection Software needs to provide information on appropriate laws that are available, and also any useful sentences which Debt Collection Agencies use in their Debt Collection letters.
The small firm will need to allow time to get to know how the Debt Collection procedure works and how the Debt Collection Software maps onto this procedure as well as writing sample Debt Collection letters and having them proof read as a check. They could also ask the question “What would I do if I received one of these Debt Collection letters?”, as this needs to help them to generate more convincing Debt Collection letters. The cost benefit of Debt Collection Software as compared to legal practices and Debt Collection Agencies can be significant, since a decent Debt Collection Software suite can cost around ?40, whereas legal practices and Debt Collection Agencies weigh in with process of around 10% to 20% or more of the bill value.
