Home » Business » Management

Reinforcing Debt Collections For Your Company

Apr 25, 2008
Occasionally you may have had the unfortunate situation where you have lent money to someone and were unable to get them to pay you back in a timely, adequate manner. Whether this person was a family, friend or a business associate, you know how difficult it can be to enforce that you are paid back. You may have been unsure what your options were if getting the money or the product back that was sold to that person.

One way to ensure that you get your money back is to only sell or lend money to those that you can trust. When you sell a product to your clients, you are very rarely going to be able to know if they are the type of client that will fail to pay you back. If you possibly can, it is important to look into that client's previous history to see if they can be trusted to lend or sell to. Although you want to feel that you can trust everyone, this is often not the case, and it may be that you need to be more selective with who your company chooses to deal with.

Finding good clients that are trustable can be difficult, but there are measures that you can take to attempt to find the ones that you are able to trust more. The first of these ways are to seek client referrals from other companies or friends. Depending on your type of business or service, this can be difficult. You may find it beneficial to ask clients for referrals from previous companies that they have dealt with, or ask for a list of references.

Doing research on individual clients can help you to have a better understanding of the type of customer that they will be. There are several ways to do this, such as searching public records for that person or depending on how important your client is, you can even pay a service to find information about this client. Running a credit report on each customer may be very beneficial also, although this can cost you a significant amount of money if you have a rather large client base.

If your client is a business itself, you may want to consider contacting the better business bureau for more information. They will be able to provide you with a list of complaints against the company, if any. The business that you are interested in doing work with may not be listed, if they have not been in business for very long. The BBB may also be able to provide you with a list of references that had compliments regarding the business.

Keeping a level head regarding your business and the clients that are interested in your company can help you to decide whom to get involved with and those that you should avoid. Trust your gut instinct as well. If you speak with a client or business and you do not feel good about them, even if their references check out, it is best to avoid working with them. It is often better to be too protective than not protective enough.
About the Author
Work at home on the Internet. Free quick courses shows you how. We supply free training to start your business. There is no cost to you. Start part time and make money in your spare time. All you have to do is sign up at:

Please Rate:
(Average: Not rated)
Views: 124
Print Email Share
Article Categories