How to Find a Local Collection Agency

For a business, customers with unpaid debts can be a real problem. When a business's unpaid accounts receivable mount, that business is not able to pay its expenses. That, in turn, can cause the business to suffer or even fail. When this happens, it becomes necessary to hire a third-party collection agency to collect the unpaid debts. It is easy to find a reputable local collection agency that will soon have your business back on track.

Instructions

1

Look in a local phone book to see if any collection agencies are listed. Local collection agencies work best for accounts with a small amount of money to collect. These local companies will know all the laws and requirements for collecting money in your area.

2

Look online, too, for local collection agencies. Search for collection agencies in your city, region or even by zip or postal code. Some local collection agencies will have an online presence rather than a listing in the phone book. It is often easier to tell if a company will be able to handle your collections from the information listed on its website.

3

Ask other local businesses or friends what agencies they have used to collect their unpaid debts. Someone who has used a particular collection agency previously will be able to tell you if that agency is right for your needs. They will be able to tell you if the agency was able to collect the necessary debts and how long it took to do so.

4

Create a list of potential local agencies that have recommendations from other local businesses or that you think will be able to work with you. Call or e-mail these agencies to set up a face-to-face visit. A personal visit will help you solidify your final choice. Cross off any businesses that are rude or that do not have working numbers. Also cross off any agencies that are not members of ACA International (the association of credit and collection professionals).

5

Visit each potential collection agency with a list of qualifications. You want to choose a collection agency that presents integrity, professionalism, expertise, reasonable rates and fees and a friendly attitude. They should also be able to present a record of what percentage of unpaid debts they usually are able to collect. An agency with several different collection methods is likely to provide the best results.