Some business owners think every penny is worth it, it is after all, the principal of the matter. It also depends on you, your staff and your resources. Some other things to consider are the age of the past due amount, the amount that is owed and what information you have gathered on the customer before you made the sale.
Do you have contact information or a credit application that is filled out and signed? If you have the information you need readily available, chasing your money should not take to much effort on your part.
If you do your own collection work, or have a credit manager, you probably have a credit policy in place. You can make a couple of phone calls regarding the balance due and send a couple of letters. Then depending on the balance that is due and how old it is, you might want to consider small claims court or a collection agency.
If you do not have a credit policy and did not get a credit application, don't be surprised if the mail is returned and the phone disconnected. If this is the case, it will take more hard work on your part to obtain contact information or have the account "skip traced" in order to have a good number and/or address so you can place them with an agency or take them to court.
Without good contact information you are limited. You can skip trace (or locate) accounts yourself, but you need to know where to go, what to pay and how to do it.
Most collection agencies will offer this service included in the fee they charge you to collect. But remember, if they have to locate your customer, that will take some time and then they have to contact them at the new address or phone and try to persuade them to pay.
If you have a signed, filled out credit application at the time of the sale, most of this can be avoided and your account can be collected much quicker and with less effort.
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