3 reasons to outsource debt collection to a third party

Customer service operator working in officeThe process of recovering debt from customers can be daunting. Let’s face it: Placing calls about money that a customer owes and hasn’t paid is never fun or easy. You went into business to provide a great product, service or both. You didn’t become an entrepreneur, supervisor or manager to track down unpaid bills. Luckily, there’s a great solution you might never have considered: outsourcing debt collection for your business to a third party.

It’s important to say upfront that delegation of a key function within your organization isn’t always easy. Why in the world would you assign such a sensitive and crucial activity outside of your four walls? After all, collection of debts is important, no matter the size of the debt. Businesses depend on these funds to pay their employees, cover operating expenses and plan for future activities and even expansion. If money isn’t coming in, it’s tough to keep the lights on.

There are several reasons why outsourcing debt collection can be a great idea despite the hesitation you might initially feel.

Benefit 1: Outsourcing ensures the professionals are managing your debt collections process

One of the most immediate benefits of outsourcing is that it ensures collections are managed ethically and reliably. A qualified debt collection company has a team of trained professionals who will treat your customers with the highest level of care and the best rate of success at securing outstanding debts. You might fear debt collection is an extractive business that puts profit over people. On the contrary, highly skilled debt collections professionals seek a win-win that leaves customers and your business whole.

Benefit 2: Outsourcing can save your business money

This one usually gets the attention of leaders. Every business owner knows time is money. Activities that pull you away from your core business offering can’t be used to move product, strengthen customer relationships or plan for an expansion. Business owners often want to be in control of collections because it feels like they have a say in the matter—and that’s understandable. Yet when you outsource debt collections, you are scaling yourself and building capacity to do more by delegating this activity to a company you can trust to do the job right. Remember: Collections bring money in the door—dollars you’ve earned—so that you can help more customers.

Benefit 3: Outsourcing is reliable

No two days are the same for any business. At one moment, you might be completely overwhelmed with work, while at another moment, things are a bit slower. This start-and-stop effect is exhausting, and it limits your ability to focus for extended periods of time on debt collection. Enter a trusted collections provider. A consumer debt collection company focuses on nothing but collections, helping your business reliably make progress in a way you wouldn’t be able to do on your own.

Entrepreneurs know firsthand the value of patient persistence in building an organization that can withstand the whims of the marketplace. A trusted collections company can help you navigate the whims of the collections business so you don’t have to worry about it.

The world can be complex, but debt collection doesn’t have to be. Turn to the team at FCR Collection Services to avoid the financial risks of lingering debts, treat your customers with dignity and build a financially resilient and flourishing business. To learn how, give us a call at 877-326-4662. We’d love to help.