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Account collections or debt recovery
What happens when you don’t pay collections?
Commonly called debt recovery, account collections (sometimes referred to as unpaid money collection) is a reality common to any business. Many customers, lately, finance themselves from their suppliers of goods or services. Since this cost is calculated in your profit margin, there is no problem, it has become commonplace. However, when the profit margins are thin, and the customers delay paying, it is the viability of your business that is at stake.
It is necessary to understand that with regard to the account collections in a judicial manner, the work of the lawyer is almost the same in simple cases and is not affected by the amount claimed. This is why business methods and processes are to be analyzed in order to minimize the risk.
Debt collection is a simple procedure at the judicial level, but more or less costly depending on the level of resistance of the debtor. It is clear that in Quebec a debtor who doesn’t want to pay has an advantage, because it is the one who wants to get his money who has a problem. Being that said, knowing the workings of the thing, our firm is better able to help you in these steps to maximize the chances of collecting accounts and optimizing the liquidity of the company.
There are proven business processes to help your business minimize bad debts. This is based on our years of experience in the field, we have shown them to several entrepreneurs and their bad debt rates have gone down.
Avoid collection agency
It is not advisable to do business with collection agency, because of the time a debt collector take and their power is very limited by the Act respecting the collection of certain debts. These agencies can only make noise and have no teeth. Only a lawyer can act quickly before a debtor dissipates his property. Time is essential for account collections / recovery and should not be lost. Often, recalcitrant debtors use this time precisely to plan their affairs and pay their due at a discount. In the end, it is you who suffer the loss, and the contract is modified to your detriment.
To have a reasonable chance of being realized, must be undertaken by specialized debt recovery lawyers from the start of the debtor’s default. Our law firm offers several methods at various costs to help you recover your recevables. The best is to make an appointment to consider all possible avenues.