Late payments occur virtually in every activity. This problem affects both small shopkeepers and large enterprises. How to deal with contractors who fail to meet their obligations? There are several possible solutions.
Agreement with the debtor
Not every outstanding payment is due to the dishonesty of the contractor. Sometimes arrears result from temporary problems with financial liquidity.
Then, instead of going to court, try to talk to the debtor. This solution will avoid the costs of court proceedings and maintain good business relations. The settlement is best concluded in writing through a professional mediator. If the debtor does not comply with it, it will be helpful in effective redress.
Field debt collection
Field debt collection is best entrusted to a professional debt collection company. Her employees are well trained in recovering overdue cash receivables, thanks to which they are much more effective in contact with the debtor. Often, it is only during direct negotiations that an agreement can be reached.
Reporting to the information office
A good way to mobilize a contractor to pay is to use the services of an economic information office (BIG). Making the debtor’s data public can effectively motivate him to honestly meet his obligations. Several such offices are already registered in Poland. They all collect and share data on unreliable payers. You do not need to have a final court judgment to register a debtor in the register.
Sale of receivables
When it is known that recovery of debts will take a long time and will be expensive, sometimes it is better to sell them. Especially when we need funds immediately. There is a risk that, in the final analysis, the costs of recovering debts will be so high that it would be more profitable to sell them even at a discounted price than to collect debts with the help of a debt collection company or in court. First of all, because the money will be obtained immediately.
Take the case to court
If, despite your efforts, you have not been able to recover your debt, there is nothing else to do but go to court. Before filing a lawsuit, the entrepreneur should collect all evidence of the existence of debt and prepare a lawsuit.
However, it should be remembered that the return order is just the beginning of the debt recovery process. If the debtor does not want to voluntarily pay his debts, it will still be necessary to carry out enforcement by a court bailiff.