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Frequently asked questions
A collection agency helps businesses recover unpaid invoices or overdue accounts. They contact customers on your behalf and use proven strategies to improve your debt recovery rates while maintaining compliance.
When hiring a collection agency, look for licensed, reputable providers with experience in your industry. The best collection agencies for small businesses combine ethical practices with effective recovery results.
Most collection agencies work on a contingency basis, meaning they only get paid when they recover your debt. There are no upfront costs or hidden fees, making it risk-free to get started.
A debt collector is an individual or company that collects debt on behalf of another business. A collection agency, on the other hand, typically has a larger team, advanced recovery tools, and handles accounts from multiple businesses.
To send a client or customer to collections, gather all relevant invoices and documentation, then partner with a debt collection agency. They'll handle communication and recovery so you can focus on running your business.
B2B collection agencies specialize in recovering larger commercial debts owed between businesses. These agencies use professional negotiation and legal expertise to collect overdue invoices while protecting ongoing client relationships. For high-value accounts, they often offer tailored strategies and detailed reporting to maximize recovery rates without damaging business reputations.