Small Business Debt Collection Letter Writing

Written by Joel Walsh

Writing a debt collection letter is one ofrepparttar most important skills of any small business owner. Do you have what it takes to getrepparttar 150926 money you’ve earned?

I have a confession: I'm a business writer who's let clients get away with not paying me--a huge sign of failure of my writing abilities. You see, I never learned one ofrepparttar 150927 most important writing skills for any self-employed person or small business owner: how to write a debt collection letter.

Debt collection letters--an overview

"Debt collection letter" inrepparttar 150928 singular may be an oxymoron, since unfortunately, one is rarely enough. You should have a series of letters to send to deadbeat clients, each one becoming a little more insistent. Here are some ideas for a five-letter series.

1. Don’t make your first letter look like a collection letter at all. Make it a friendly note. You’re more likely to get money from someone who thinks of you as a partner than a dun.

2. If that first letter doesn’t get a response--and usually it won’t--send anotherrepparttar 150929 next week that’s more urgent and directly asks forrepparttar 150930 money. Express your concern that you have not been able to contactrepparttar 150931 client. Ask if he or she is all right, and if he or she is having any trouble paying.

3. The next week, if you still have not gotten a response, send a letter referring torepparttar 150932 payment terms inrepparttar 150933 agreement you andrepparttar 150934 client originally made (you did have some kind of written agreement, even if it was just onrepparttar 150935 back of your invoice, right?). Mentionrepparttar 150936 effect this nonpayment is having on your cash flow, and that your business’s cash flow is just as important as theirs.

4. Still no response byrepparttar 150937 next week? State plainly that you are asking forrepparttar 150938 money forrepparttar 150939 final time before referring it to collections. Include a copy ofrepparttar 150940 entire agreement between you andrepparttar 150941 client.

5. If you still have not heard back fromrepparttar 150942 client, and are confident that you do not simply have a problem with their contact information, call a collection agency—in fact, you may have wanted to have gotten a collection agency from step one (more on that below).

More Tips for Successful Debt Collections

Tip: Don’t wait to start asking for your money.

If it’s been a week sincerepparttar 150943 payment deadline passed, it’s been a week too long. Send out that first “reminder” letter today. Don’t hesitate to send these letters as little as a week apart from each other. The longer your bill goes unpaid,repparttar 150944 less likely it is you will ever see that money again.

Business Plans and Small Business Funding for Internet Business

Written by Mat Siltala

Most Internet Business Entrepreneurs Lack Bothrepparttar Funding, and Proper Planning Needed to Last as a Business. Commentary onrepparttar 150925 two most prevalent problems Internet business entrepreneurs face, namely, lack of funding and planning. This press release announces a new product designed by four small business consultants.repparttar 150926 product is essentially a combo small business funding report/ internet business planning software.

(PRWEB) May 19, 2005 -- For many “want to be entrepreneurs,” starting an Internet business appears inviting due torepparttar 150927 low start up cost. The cost is low becauserepparttar 150928 entrepreneur does not need a building, and many times does not even need inventory to begin selling. The result of these and other factors is a large group of excited entrepreneurs who get involved in some type of Internet “biz op.”

Four professional Internet marketing consultants Dave Mink, Mat Siltala, Dane Ing, and Mike Ing have worked with literally thousands of these kinds of entrepreneurs and have noticed two recurring problems withrepparttar 150929 ensuing business ventures. First, there is a general lack of funding for these small Internet business start-ups. Althoughrepparttar 150930 cost of starting an Internet business can be low in comparison to an offline business,repparttar 150931 cost is often times considerably more than people realize or haverepparttar 150932 capital set aside for. These same people have no idea where to go in order to getrepparttar 150933 money required to fund their business effort. This is precisely whyrepparttar 150934 founders of createdrepparttar 150935 small business funding report to educate entrepreneurs onrepparttar 150936 different funding options, strategies, and procedures available to them.

Cont'd on page 2 ==> © 2005
Terms of Use