Invest the time to expand your knowledge and understanding of business debt recovery. There are federal and state laws surrounding acceptable business practice for the recovery of business debts, as well as the filing of bankruptcy and corporate debt restructuring. Learn the key concepts to ensure you make the best possible use of debt recovery services.
Talk with your accounting services firm, banking professional and industry contacts to understand what is standard business practice in your area and industry. Use this information as a guideline when defining your debt recovery guidelines. Follow the three steps below to learn more about using debt recovery.
1. Research debt recovery legislation.
2. Meet with debt recovery consultants.
3. Review debt recovery with lawyers.
Read debt recovery legislationExpand your use of debt recovery management by exploring the options available. Read the federal and state legislation on debt recovery. Stay current on the legislation surrounding the different financial options for companies to minimize your risk.
Federal Trade Commission website provides detailed information on debt recovery. Educate all your accounts receivable and finance staff on the legal limits and rules surrounding collection activities.
Work with debt recovery consultantsImprove the efficiency of your debt recovery services by incorporating the best practices from debt recovery companies. Talk with your colleagues and debt recovery company staff to get timely advice on how to proceed and when to move to legal recourse to obtain business debt recovery.
Discuss debt recovery with lawyersEducate yourself on the process for collecting on small business debt using legal channels. As a creditor, there are certain procedures that you must follow to have your debt counted during a business debt restructuring. Collecting on international business debt is another process where legal advise is helpful.
- Learn about the types of debt recovery services available and stay current on the legal limits around these activities. As the customer, it is up to you to state what is acceptable business practice.