San Jose Business Lawyers Blog
Effective business owners know that all assets and liabilities must be properly managed. Debts owed to a business are assets, and if these debts are not repaid, the asset is mismanaged. A business debt collection attorney can help your business realize the full value of your debt assets. Call Structure Law Group at (408) 441-7500. Our experienced Silicon Valley business lawyers can help your business explore all options for collecting debt and execute the strategies that are right for you.
Debt Recovery Strategies
Experian recently released a list of their recommended debt collection strategies. They include:
Locate hard-to-find debtors.
Some debtors simply disappear in the hopes that their debts will disappear with them. Attorneys work with process servers, skip trace services, and others to find debtors and initiate the appropriate legal proceedings against them.
Prioritize collections.
If your business has a high amount of outstanding accounts, you might need to prioritize those accounts with the highest likelihood of repayment. Collections cost money. Maximize your return on that investment by focusing your efforts on those accounts that are most likely to be repaid.
Monitor unpaid debt.
Businesses need appropriate infrastructure to monitor customer accounts. Each company should have a system for flagging accounts that have high balances or have gone too long without payment. Our business lawyers can help you implement the policies and procedures that will protect your business from unpaid debt.
Collections management systems.
An essential part of an effective business infrastructure is having a system to manage debt collection and payments. There are many different electronic programs and software systems available to business owners. Your accountants and bookkeepers should also part of a comprehensive process that monitors accounts, reminds customers of past due payments, accepts payments, reactivates accounts in arrears, and continues the customer life cycle.
Electronic debt negotiation.
There are also internet-based debt platforms that can help you implement infrastructure in your business. eResolve is one example: it is a virtual platform for negotiating and resolving debts. Customers can work with your business to address past due accounts from the convenience of a smartphone or tablet.
As you can see, there are many tools available to business owners for the collection of debts. It is important to create a comprehensive system within your organization that identifies past due accounts, collects on arrears, and initiates legal proceedings when necessary. Such a system will allow your employees to easily use technology to address unpaid debts quickly and effectively. A business attorney can help you explore these options and design a program that is right for your business.s
Silicon Valley Business Lawyers Providing Aggressive Representation for Creditors
Unpaid debts jeopardize a business, its owners, its employees, and its investors. Don’t let unpaid business debts threaten your business. With the advice of an experienced business attorney, you can improve the performance of your assets. Call (408) 441-7500 or contact us online. The experienced Silicon Valley business lawyers at Structure Law Group know how to collect on business debts and protect your rights as a creditor.