Collecting from past due customers is not fun. I don’t know any business owner that really likes to do it, especially when you have to learn so many laws and regulations in order to pursue money that is rightfully yours.
The Top 3 ways that you can maximize your cash flow while collecting your money and stay out of trouble are:
- Stay on top of your accounts payables and receivables. Have a meeting once a week and set aside a certain amount of time to do this. It is worth it.
- Use a personal approach. Make a list of everyone who is past due and call them. If you get voice mail, leave a message but don’t say anything about a past due bill.
- Follow up. If you call, and leave a message and don’t receive payment, follow up with a certified, registered or priority mail letter with delivery confirmation.
