Lawn care and landscaping companies face rising challenges to keep their accounts in “green” and usually employ too few resources to properly manage the administrative side of the business mainly because they are looked upon as a cost center. Therefore, most Lawn Care and Landscaping companies do not have a good enough system in place for accounts receivables. But these past due accounts can quickly become a huge problem as it impacts cash flow in this fiercely contested industry.
Already the Lawn Care and Landscaping companies face numerous challenges like:
1. Finding and retaining dependable good field workers and supervisors.
2. Government regulations regarding the safety, chemicals, equipment and the environment.
3. Competition from non-licensed and uninsured businesses
4. Marketing and getting new clients.
5. Rising overhead and fuel costs.
6. Pricing pressure and tighter margins.
7. Personal stress.
8. High insurance costs.
Need for a Collection Agency:
A professional debt collection agency works an extended branch of your business. They are experts in debt collection. They will diplomatically approach your clients whose payments are late or employ various tactics to recover money from them. Collection agencies work within the laws of The Fair Debt Collection Practices Act (FDCPA) and their staff knows how to negotiate patiently.
Check this: Cost of hiring a collection agency
Your options include trying to collect by first sending low cost “Collection Letters” followed by “Collection Calls” or go for “Collection Calls” directly. Collection agencies are licenced , insured and bonded, and they do various checks to minimize risk for your business and attempt to maintain good relationship with your clients by using a diplomatic approach to recover money. If needed they will report the debt to the Credit Bureaus and may even file a Legal Suit to recover money.
While you make the world go greener, a collection agency will work aggressively to keep your accounts receivables in green as well.
Contact us if you are looking for a collection agency with experience in your industry.