JIM FINUCAN’S BILL COLLECTING Q & A Issue 2Written by Jim Finucan
Dear Jim,I have a client who, for most part, is an excellent customer. However, I’ve run into a problem. He has refused to pay a $7,500 Bill, claiming that services we provided had to be redone by Someone else after we did job. I have spent a great deal of Time developing this relationship and I don’t want to end it. On other hand, I don’t want to be looked on as a chump and get taken. What should I do? Ticked Off in Jersey Dear Ticked Off, This does not sound like a case of someone taking your services And then claiming they don’t have money to pay you. It’s Important to be able to recognize difference between a Genuinely disputed bill and someone who is deliberately trying To rip you off. This Appears to be a quality client, kind you want to keep and Nurture. I’m guessing that your business relationship with this client Has resulted in a lot more income for you than $7500 in Question. Put your experience and business skills to work here and Ask yourself some questions:
| | Haven’t You Waited Long Enough to Get Paid?Written by Jim Finucan
Business-to-business debt collecting is a different ball game compared to collecting from an individual debtor. Once a business debtor has owed you for quite awhile it’s perfectly OK to take gloves off and go all in an effort to get Money. After all, things have reached point where you wouldn’t do business with that outfit again anyway so you have nothing more to lose! But first, be clear about what your objective is: getting balance owed to you paid in full. Don’t be willing to accept anything short of that. .It’s OK to threaten legal action (if carried out, this would create a public record showing that this firm is stealing from you). Essentially you are going to be calling this person a thief to try and make him see himself as you see him and thus make him change his mind about paying you. You simply cannot be timid about it, nor can you approach campaign half-heartedly. The debtor already has you figured as a pushover. He already has a catalog of excuses set-aside just for you, so it’s up to you to convince him otherwise. You have to have a mindset ready to sweep excuses aside and convince him you mean business. First, be sure you’ve reached right person. Don’t mess around with underlings or gatekeepers - they don’t cut checks. You want owner or guy who authorized purchase and is now telling someone else to ignore your invoices. Seek him out. Call him as often as you need to, even at home in evenings if necessary. Let him know in words or tone of voice that you are angry, and don’t be overly concerned with business etiquette; it doesn’t apply here. In fact, federal Fair Debt Collection Practices Act does not cover commercial transactions so you are pretty much free to try anything, although common sense suggests you avoid doing anything that would reflect badly on you or your firm.
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