Tips on How to Select the Right Collection Agency
Identifying and selecting the right collection agency to help in the management of your business’s accounts receivables and the other related tasks can be challenging and confusing especially if you are doing it for the first time. This is so because there are many collection agencies in Canada.
Where do you start? This is the question that many people have in their minds. Definitely, you want to work with reliable collection agency in Canada that will act in the best interests of your organization. In recovering your debts and chasing payments from clients and customers, there must be a balance between increase success in recovery rate, and maintenance of good public image.
Selection of the right collection agency involves consideration of many factors, not just offering the job to the service provider that provides the best quote. Thus, careful consideration is required. To get the most from the collection agency that you choose, you must establish open communication and cooperation in the relationship.
Here below are some important issues which can help you to identify and select the right collection agency, and help your business succeed by increasing the recovery of debts and timely collection of accounts receivables.
The capabilities:
What can the collection agency do for you? In practice, collection agencies should combine their resources and experience so as to provide highly professional services of accounts receivables management for the various businesses and industries that need their services.
Some collection agencies also offer additional services such as skip tracing services to help locate those customers who can’t be reached on the telephone numbers and addresses listed on their Local Purchase Orders, Invoices and other documents on the accounts. Others also have the capability of forwarding accounts to other accounts receivables collection agencies if the consumer relocates. This is particularly important if the debtor relocates to another region or province in Canada, or to other country such as the United States.
Use of technology:
Use of technology is very vital in accounts receivables management these days. To enhance their capabilities of recovering debts and accounts receivables, many collection agencies use technology which can integrate with other systems and software to allow electronic information and data transfer.
Range of services they provide:
The best collection agencies are not just those which offer accounts receivables collection services. Instead, they offer incidental services such as accounting and business administration services. Others offer billing services such as mailing and printing, processing, coding, etc. Some other agencies also provide pre-collect services in which the accounts receivables collectors begin working on account early, before becoming past due. Some other collection agencies provide campaign calling, telemarketing, consulting, temporary office administration, and follow-up and reminder appointment calls, among many others.
In addition to the above, you should also request for references from the accounts receivables collection agency. Don’t simply read reviews online from just one source because they may be biased in favour of particular agency. If you decide to read reviews online, ensure that you get them from as many sources, and from as many different reviewers as possible.
