There are many ways of carrying out debt collection. The most usual method consists of working with standard collection agencies who make calls and send letters to harass debtors. This often doesn’t have much standing as they have no power to bring real consequences.
If you want to let your debtors know that you are serious, it may be wise to use a commercial litigation lawyer who can provide intelligent, strategic and cost-effective solutions to collect the debts you are owed.
Here are some reasons why it might be time to reach out to a commercial litigation lawyer to deal with those mounting debts.
Rather than having to try to collect the debt yourself or use collection agencies that have no enforcement authority, it can be ideal to hire a commercial litigation lawyer to complete the job for you. They have worked with hundreds of clients who have been left in the same situation you’re currently in.
Using their experience and proven strategies, they are more successful in ensuring debts get repaid quickly. They have dealt with the same situation many times and have proven methods to ensure the process is efficient and easy for both you and the company or person that owes you the money.
2. Lower Cost
Using a commercial litigation lawyer can be much cheaper than trying to manage this task alone. Some businesses spend money on staff and premises opening their own collections department, which drains resources. Rather than having to worry about paying salaries and managing holidays, you can simply spend less money by outsourcing debt collection to a lawyer.
Delegating debt collection to a commercial litigation lawyer means you are spending no time on this process yourself, allowing you to spend your time focusing on bringing in new revenue.
The case may be that the client you are trying to collect debts from has gone off the radar and moved to a new address, making it harder for you to find them. Lawyers can take this hassle away from you. They will track down the debtor using effective skip tracing techniques. The investigation can be fully handled and managed by them, saving you the extra worry.
If debt collection turns into a lawsuit, there are mountains of paperwork to be completed before the case will get to settlement. The lawyer can prepare for this and ensure you don’t have to take on board the stress of filing for further action. The lawyer will also ensure the correct laws are followed to get the best outcome for you.
6. Better Settlement Results
By using a lawyer who is educated and experienced in the laws of debt collection and the terminology used in contracts, you are guaranteed to get a better and faster settlement. When using mere agencies, debtors don’t take things seriously, but bring in a law enforcement individual and you will notice that debts are paid off faster and in full, rather than in small payments. Law firms have a lot of experience in getting the best results for their clients.
A commercial litigation lawyer has experience in the field of debt collection and is trained to follow and abide by appropriate laws. Using agencies can result in you being sued for harassment but using a lawyer who knows the strategies to avoid such accusation will result in a better outcome for all involved.
By keeping on top of debt collection, you can improve your cash flow for your business in the long run, so hiring a trusted lawyer to get back what’s yours can be a worthwhile investment.