Henley Recoveries GroupJuly 8, 20220 comments

Looking for the Warning Signs Before a Client becomes a Debtor

30 years in the business and never had an issue

It’s always great to hear the many success stories from businesses who succeed in avoiding debts. The sad reality is that this sentence is usually followed by “… until this one fella ripped us off so badly.” Unless you are paid prior to the work being done, there is no escape from the reality that humans don’t always do what is right. We see a plethora of different debtors, malicoious and accidental. We would like to think that most of these situations are avoidable before work even begins.

Why should we bother checking?

It’s great if business works well, but what if the one job could ruin it all? Many of our clients and debtors alike have been burnt by that one larger job they accepted which ended up turning the business upside down. For the smaller jobs, so much undue stress and time is put in to a situation which should never existed! It’s sometimes more frustrating that more time is needed to chase up a $100 bill which had little margin for your business. Either way, checking for warning signs prior to work for any job can save future hassle and hardship if done correctly.

“I wasn’t sure about them from that first chat…”

Whether you are potentially judging someone hard or have your Spiderman tingle firing, trust yourself and look further before starting! More often than not, there is a reason for your suspicions. This can include:

Unwillingness to pay a full deposit
Negotiation on a set price from the get-go.
Lack of personal contact details
Lack of communication
Requests to delay invoices
Go-Lucky/carefree attitude towards payment schedule
Avoiding anything in writing/word of mouth only
Bad credit history
Other debts
Past work not finished by past businesses
Job is for a client moving away
A Silver Tongue and promises which never eventuate

Many of these signs are easy to see but it’s hard not to try and help a client in need. We hope that if you cannot act for every client that you can take the right precautions to avoid future implications.

PREPARE!

Usually, 30 years of no debts means you have a good system in place. A quick check on a program like CreditorWatch can mean a world of difference as you can see credit scores and current credit ratings on the business. In addition to this, we always advise to protect your current contracts and potentially invoices by using our free protection service. We love to look at what we can do to help you avoid debts and cover you if you do have issues with non-payers. Again – it’s all free, no payment later on, no half finished job – Free. What are you waiting for?

What if it’s unavoidable?

If you are in business, a debt will pop up one day, that’s why we are here to help. With the protection in place, our recovery services can be free to you. We believe in our process and our drive to get your money back. If you are looking to recover for financial reasons or just the principle, don’t hesitate to contact us – we are here to help.

We have more blogs for our services and notes from experience in this industry. We hope you can profit from these and avoid situations with unpaid invoices.

Henley Recoveries Group are a no-win, no-fee debt collection agency with an excellent track record of collections. Recover your unpaid invoices by submitting a debt with us.

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