Proven ways that will ensure you get your money. Chasing Debtors is all anyone ever seems to do these days, It appears to become a more regular problem, and sadly everyone unknowingly does business with a deadbeat sooner or later.
Chasing Debtors is all anyone ever seems to do these days, It appears to become a more regular problem, and sadly everyone unknowingly does business with a deadbeat sooner or later. After all, many of them look and act like ordinary, trustworthy people. They should have a big sign on their chest saying ". I specialize in lying and stealing.Watch out. I'm a deadbeat. I like free things. Please sell something to me." When you finally come face-to-face with one of these deadbeat's, what should you do to make sure you're getting the money you're entitled to?. What happens if you don't realize until after you are in the middle or end of the job or until you need to purchase new parts to keep your excavator working?
What should you do? Here are some do's and dont's.
The longer you have been in the business, the more prone to some collections problems you will be. But you can limit your losses and reduce your risks if you choose to implement the suggestions I have listed above.
An independent contractor usually submit's the invoice when they expect to receive their payment. They can be paid on a regular basis or at the end of a contract or project, of course, that is when the problems start After the job has been completed, and the customer gets the result he was after. At the end of the day it is your money and no matter wether you need a new excavator or new rubber tracks, you do need to get paid.
"Collecting money isn't fun, but you can be assertive without being threatening, and civil without being ineffective. It's your money, so there is no reason to feel reluctant about using bold tactics to collect it. And not having to write off losses from bad debts can make a significant impact on your balance sheet."
-George D. Prentice