With the pandemic sweeping the nation, Wilson Cole shares his knowledge on what you should be doing regarding collections.
Reach Out To Your Clients
If you have been working with a company to settle their debt over a long period of time, the best thing you can do is to reach out to them. Let them know that there is still an invoice and see if they can make a good faith payment. Most companies will be able to make these as payroll protection loans are being offered by the government.
Jump on Problem Accounts
In all of Wilson’s experience regarding downturns, the one common aspect between them is that- companies who were having trouble even before the downturn, are going to end up in deeper trouble and evaporating before the pandemic is over. This means that they could end up closing their doors. This is why you should be collecting the dues of problem accounts as soon as possible. Another reason why you should be quick is the payroll protection offered by the government.
The payroll protection loans offered by the government will help not only the companies that are going to struggle during the pandemic, but also those who already were struggling before it. Companies that were never able to take government loans will suddenly have the ability to take those loans. This means that they will suddenly have several month's worth of payroll on their laps. That money isn’t going to last very long so you have to make sure that you’re at the top of the list of people they have to pay with that money.
Check Whether an Account is A Problem or Not
If you’re not sure whether an account is a problem or not, AER Collections is offering free credit checks on any company who are 45 days past due. This will let you check how they’re paying their bills since September of last year. If your debtor was having trouble paying bills in December, then you’re going to have a much more difficult time collecting from them.
The Economy Will Take Time To Recover
Wilson mentioned that a large amount of money was pulled out of the economy because of the pandemic. The economy will be slow to start and it could take around six months for the economy to resemble anything normal. It will take its toll on many businesses and those struggling will not be around by the end of the downturn.
If you’d like to contact Wilson Cole, call him at 800 452 5287 at extension 6578.
Use your better judgment. If the company is sending you payments and addressing the debt to an extent, give them some time.
The thing that always happens is that companies that were already in trouble are not going to make it and will be the ones who will evaporate fairly quickly.