As a business owner, you may have learnt the definition of delinquency. Dealing with delinquent accounts is often tough and demanding. After all, cash flow is vital for the well-being of any business. However, these customers will negatively affect the cash flow and impact your business’s operation. If you have these kind of customers and are looking for some effective ways to make them pay, here’s some information that will interest you.
Be Firm and Friendly:
You may feel sorry for customers who have genuine reasons for not making payments on time. Maybe they lost significant customer in the business, lost their job or had a terrible accident. You can’t predict whether or not it is true. However, the situation demands you to be tough look after your own business. When a client comes up with reasons not to pay, provide them with different options or suggest they offer a payment plan.
Check Out: How to Ask For Payment Politely
Send A Reminder Email Or Letter:
Don’t confront your delinquent customer in person or over the phone, especially if he is not a repeat offender. Instead, write a letter or send him an email as a reminder to pay. Remember to be polite and professional, inviting the client the opportunity to contact you if they have a genuine reason for not making paying by the due date.
Check Out: How to Ask for Payment in an Email
Let Your Customers Know About Your Collection Policy:
In every business, it is important to have a good collection policy in writing before selling a product or service. This way, you can let the customers know the potential impact and what actions will be taken when they fail to pat in accordance with your terms.
Provide Versatile Payment Options:
Providing a wide range of payment options to the delinquent customers will help them to pay on time. Be it flexible payment plans, discounts or even payment methods, aim to make the process as simple as possible for your clients to make the payment.
Hire Debt Collectors:
Most delinquent customers ignore your requests for payment by letters and phone calls. It can be frustrating at times to handle these clients. In order to deal with these situations professionally, it is recommended to refer the overdue accounts to the debt collectors. JMA Credit Control has years of experience in debt collection and has been helping businesses in Australia with their debt recovery needs for over 50 years. We take pride in assisting all of our clients with their debt recovery needs, as we collect your debts as if they were our own.
Do you have such special clients and need some professional help in debt recovery? Feel free to call us on 1300 588 728 for an effective debt recovery solution. We work with businesses throughout Australia and have offices located in Melbourne, Sydney & Brisbane.
