Companies in California and throughout the country often have customers who don’t pay their bills on time. While it is important to be understanding of why a client is having trouble paying for services in a timely manner, it is also important to get paid in full. Business owners are encouraged to be professional yet assertive when trying to collect a debt. This helps to convey the seriousness of the situation without being rude or unprofessional.

Those who are attempting to collect a debt may want to try multiple methods of obtaining money from a customer. For instance, it may be a good idea to both send an email and make a phone call to maximize the chances of reaching a debtor quickly. If necessary, a certified letter can be sent to ensure that the customer is notified of an outstanding debt.

Handling the debt collection process

If possible, one person in the company should be assigned the task of collecting past-due debt balances. This individual needs to be well versed in the Federal Fair Debt Collections Practices Act and California’s similar Rosenthal Act. To reduce the odds of missed payments, companies should properly evaluate a potential customer’s ability to pay prior to providing any goods or services.

An attorney may be able to help a small business that is interested in engaging in commercial debt collection activities. He or she can send collection letters and make phone calls demanding that payment be made timely. These letters or phone calls may also let a customer know that failure to pay a past due balance will result in a lawsuit being promptly filed.