The Cash Flow Group, Inc

Consumer and Commercial Debt Collection Florida

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Fort Lauderdale / Miami, FL

Toll Free: 800.226.2006

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Archive for the ‘The Cash Flow Group’ Category

Knowing when You Need a South Florida Collection Agency.

Thursday, December 13th, 2018 | The Cash Flow Group | No Comments

The Cash Flow Group, South Florida Debt Collection

As a business that deals strictly with other businesses, you would naturally expect that you would not have any problems getting your customers to pay their bills. After as your customers are other businesses, surely they understand how important it is that they pay their bills in the same way as they expect their customers do. Sadly, this is not always the case as you will find that from time to time you are going to have to hire a collection agency to recover your money.

In as much as you would like to be able to count on all of your business customers to pay all of their bills on time, there are going to be times when this just is not going to happen. When the time comes that one of your customers does not pay, you may be left with no recourse other than to contact a collection Agency such as The Cash Flow Group. We specialize in business debt collections and our team of experts will work with you and your customer to ensure that you get the money you are owed.

Know when to Make a Deal on that Invoice? South Florida collection agency

Thursday, December 13th, 2018 | Florida commercial collection agency, Florida Debt Collection, The Cash Flow Group | No Comments

South Florida collection agency

 

Tips from THE CASH FLOW GROUP a South Florida collection agency, When it comes to companies that owe you money there are two basic types, those who won’t pay and those who can’t pay. With a company that can pay, but won’t, either because they are unhappy with the work or simply want to get away without paying, it’s best to act quickly. If a company is attempting to cheat or defraud you, your best course of action is to send them to a South Florida collection agency, as quickly as possible. However, if a company wants to pay you but is having a cash flow or other financial problem, you may want to consider making a deal.

The first step in deciding whether or not to consider a deal is to get a thorough understanding of the nature of the company’s financial problems. Ideally, you would start to notice signs of financial problems with a company before the invoice was due. That way you could be prepared and even discuss the problem before the payment is late. But, if an invoice is going unpaid, especially from a formerly trusted client, you may want to get on the phone and find out what’s going on. It’s likely that your contact in Accounts Payable, or on your project, will not be willing, or able, to share the full scope of the issue. In this case, you’ll want to speak with an executive or owner, someone qualified and able to share details.

The most compelling reason to make a deal is if a deal is the only way you’ll receive any of the money that you’re owed. If a company is on the verge of bankruptcy or closure, a deal may be your only choice for getting paid. If, however, the company is experiencing a temporary cash flow problem or is likely to rebound, you may want to negotiate a new payment date and add fees or interest. Be careful though, plans to recover from a financial problem are never a sure thing. By agreeing to wait to be paid you could wind up losing the short window of time in which you could be paid. Once a company goes to bankruptcy you are unlikely to ever recoup your money.

Deciding when, how, or whether to make a deal for owed money is complicated. Most people simply do not have the legal or professional expertise to know when it is and isn’t a good idea. That’s why we always recommend consulting with a professional commercial South Florida collection agency. A reputable commercial South Florida collection agency is trained to get you more of the money you are owed than you can on your own and can save you time and irritation. If you have an account that you’re considering making a deal on, give The Cash Flow Group a call first.

Florida Collection Agency – Nonpaying Clients

Sunday, November 25th, 2018 | The Cash Flow Group | No Comments

Florida Collection Agency – The Cash Flow Group

 

Call The Cash Flow Group

How to Spot the Signs of a Nonpaying Client

Every single business owner in the US has experienced problems with nonpaying clients. The following shoes the worrying statistics once an invoice is delinquent. Collecting on the debt decreases by more than 1 percent every week the debt remains unpaid. Once the invoice is 90 days overdue, you have less than a 70 percent chance of collection. This drops to almost half once the invoice is six months overdue. Rapid action is necessary and taking steps could improve the situation. Consider putting in place a B2B online payment processor.
 
The key to resolving nonpayment issues is to look for the red flags. Flags that show a client could be in trouble before a company even misses a payment. Here are some top things to look for that can show future payment problems.

Red Flag Signs

  • The company is changing locations. It’s expensive to move, so you need to look at the reasons behind it. Is it a smaller location? If so, that could point towards financial problems resulting in downsizing. If it’s a bigger location, that could be a good sign. Financing expansion is often at the expense of companies that the company deals with.
 
  • The company is laying off workers. The cause of this is usually financial problems. You may notice that an employee you usually deal with has disappeared. This could be a sign that he or she has moved on to a more reliable workplace before the company goes out of business.
 
  • The business is being sold. Usually, a business is only sold when financial difficulties are being experienced. When the company sells, collecting on overdue invoices becomes harder than ever.
 
  • Personal problems. If your client is running a small business, problems could take priority over overdue invoices. Problems such as marital difficulties or an illness,
 
  • Excuses. You may here, “We can’t find the invoice.” “The invoice isn’t approved yet.” “The person responsible for signing checks isn’t in the office at the moment.” This could be a subtle indicator that all isn’t right at the client’s end.

What to Do When You Spot A Red Flag?

If you recognize any of these signs from one of your customers, it’s time to get some answers. Call the client and find out more about the situation. Whenever possible, speak to several people. Then you can determine the consistency of the story. If possible, go to the client’s premises and find out the extent of the problem.
 
If you suspect there is a red-flag situation with one of your clients, you need to take aggressive action. If not, you won’t receive a payment quick, or, even, at all. Give the account extra attention and avoid waiting around to see what happens.

How to Improve Chances of Payment

One of the best ways to improve the chance of payment is to put in place a B2B online payment processor. This makes the process of paying for goods and services a lot simpler and more convenient. Use An online payment portal that accepts many payment methods. A portal can make the difference between receiving payments on time and having to chase nonpaying customers. Also, put in place the facility to take payments over the telephone.  During collections, telephone conversations will help to improve cash flow with real-time authorizations. This way you don’t have to rely on waiting for the client to write a check.

Call the Cash Flow Group today with any questions or concerns you might have.  We look forward to hearing from you!

Florida Commercial Collection Agency – Top Tips

Tuesday, November 20th, 2018 | The Cash Flow Group | No Comments

Florida Commercial Collection Agency – The Cash Flow Group

Top Tips For Small Business Owners

Having a small business can be a very exciting venture. There are also many tedious procedures. You need to follow these procedures so the business can function well. Being a business owner is a major responsibility. Even if that business is small. It can be a very steep learning curve to discover how to best manage and run that business. All this sounds daunting, but there is good news! There are many service providers that can help you manage the different elements of your organization. While there is any number of things that your business will need to be a success, three are of key importance. They may not be especially exciting, but they are vital. Business owners tend to overlook them at their peril. The key elements are business insurance, accounting services, and online payment processing. These are for all small business owners. Let’s take a look at why each is important and why you should make sure you have them in place.

Accounting Services

Having good accounting services is key to your business’ success. This goes for whatever type of company you have and whatever size it is. Accounting is vital to keep track of all your company’s accounts. Equity, liabilities, and assets and for any business to function well. Having a strong grip on how, why, and where money goes. You can opt for online accounts services. Or use the services of accounts to keep this information within easy reach. Keep on top of all transactions. This way you can plan your budget, report your profits, and keep investments in your company with ease.

Business Insurance

Car insurance helps drivers if they have an accident. Business insurance is essential to protect your business in case something goes wrong. Being prepared for a worst-case scenario is essential. Having a backup plan is as essential should anything go wrong. There are many kinds of business insurance. Insurance including fire, hazard, unemployment, and workers’ comp. Making sure you have the ones that are most appropriate to you in place is essential. Insurance is all the well-being of your business.

Successful Debt Collection

Friday, November 9th, 2018 | Florida commercial collection agency, Florida Debt Collection, The Cash Flow Group | No Comments

Tips for Successful Debt Collection by Phone and Email

What is one of the biggest mistakes you can make? People try to collect an unpaid debt while communicating in an unprofessional manner. Being in debt and collecting debt can both be stressful situations. There are many laws around debt communications.

Phone Calls

The phone is generally seen as the most effective and efficient way of collecting an unpaid debt. Some general rules to follow:
 

Be polite and professional.

No gum chewing, eating, or web surfing while calling.  Use please and thank you, and introduce yourself. One trick receptionists have used for years is to smile while on the phone.
 
Call at the right time of day. Some people work mornings, others don’t come into the office until the afternoon. By knowing when the debtor is available to talk on the phone, you can avoid playing phone tag. Ask the debtor what time they are generally available. Doing this can save a significant amount of time.
 
Take notes or record conversations.
If you are going to record a conversation, you must get permission first. But taking notes can be effective. By keeping a log of any agreements or issues, you can avoid repeating what you have already said. After the call, send an email summarizing the conversation and any commitments so there are no disagreements later.
 
Be careful about leaving messages.
It is very important that debt collectors never disclose private information. As a general rule when collecting from individuals, collectors should assume that any voicemail messages they leave will be heard by somebody other than the debtor.  If it is a business debt, full detail can be left on any business phone number and personal phone known to belong to a involved party.
 
Don’t blame or shame.
Having unpaid bills is stressful. It is not helpful to blame the debtor or imply that they have failed by not upholding their commitment to pay. Doing so will only make them upset and less willing to pay. Speak and find out why the debtor hasn’t paid their bills, and then try to work towards a solution to the problem. If they have a complaint about the product or service, find out why and try to resolve the complaint. If the customer doesn’t have the money at that time, ask them to prove this and have them suggest a solution. Forcing the debtor into a payment plan they know will default on will likely cause the debtor to be less interested in working with you.
 
Email
Although phone conversations are the preferred method for discussing unpaid debt, email also has an important role to play, especially when documents are being requested or sent, a paper trail is needed, or for quick follow ups and reminders.
 
If you can’t write, don’t.
Everybody knows their own skill set. If you are not a good writer, please do not write your own emails. Instead consider hiring an in-house or freelance copywriter to create a set of email templates for you that will help you communicate.
 
Be polite and professional.
Because tone of voice is so hard to determine in an email it’s especially important that you be polite and professional. Do not attempt to joke or be lighthearted about the situation. Keep your messages short and ensure they only emphasize the point you want. Shorter emails are more likely to be read in their entirety, and if you make the message you want to send to the recipient very clear they’ll be sure to get the point.
 
Being polite also includes responding to emails on time. If you want someone to respond to your emails, you must do the same for them.
 
Create a factual and short subject line. Your recipient will be far more likely to open the email if they know what it’s about.
 
Don’t send the message to people who don’t need to see it. Remember that any email communication can be used in a lawsuit if the debtor sues you for disclosing information to parties against regulation (especially in the case of consumer collections). Email communications are permanent, and the debtor will be able to find a copy of the message stored online with ease.
 
Communications are one of the tricky elements that sometimes makes it easier to hire a professional collection agency. If you’re having trouble finding the right way to talk to debtors, please give us a call.

The Cash Flow Group

Fort Lauderdale / Miami, FL

Toll Free: 800.226.2006

commercial collection agency

Monday, November 5th, 2018 | Florida commercial collection agency, Florida Debt Collection, The Cash Flow Group | No Comments

When it comes to companies that owe you money there are two basic types, those who won’t pay and those who can’t pay. With a company that can pay, but won’t, either because they are unhappy with the work or want to get away without paying, it’s best to act . If a company is attempting to cheat or defraud you, your best course of action is to send them to a collection agency, as as possible. Yet, if a company wants to pay you but is having a cash flow or other financial problem, you may want to consider making a deal.

Commercial collection agency

 The first step in deciding whether to consider a deal is to get a thorough understanding of the nature of the company’s financial problems. , you would start to notice signs of financial problems with a company before the invoice was due. That way you could be ready and even discuss the problem before the payment is late. But, if an invoice is going unpaid, especially from a trusted client, you may want to get on the phone and find out what’s going on. It’s likely that your contact in Accounts Payable, or on your project, will not be willing, or able, to share the full scope of the issue. In this case, you’ll want to speak with an executive or owner, someone qualified and able to share details.
 
Sometimes making a deal is the only way to receive payments. If a company is on the verge of bankruptcy or closure, a deal may be your only choice for getting paid. If the company is experiencing a temporary cash flow problem, you may want to negotiate a new payment date and add fees or interest. Be careful though, plans to recover from a financial problem are never a sure thing. By agreeing to wait for payment you could lose time in which you could receive. Once a company goes to bankruptcy you are unlikely to ever recoup your money.
 
Deciding when, how, or whether to make a deal for owed money can be overwhelming. Most people do not have the legal or professional expertise to know when it is and isn’t a good idea. That’s why we always recommend consulting with a professional commercial collection agency. A commercial collection agency will help get the money you’re owed. If you have an account that you’re considering making a deal on, give us a call first.

The Cash Flow Group

Fort Lauderdale / Miami, FL

Toll Free: 800.226.2006

What is commercial debt collections

Thursday, November 1st, 2018 | Florida commercial collection agency, Florida Debt Collection, The Cash Flow Group | No Comments

Commercial Debt Collections

Consumer Debt Collections

Commercial debt collections involves collection between a business (creditor), and a consumer (debtor. Debt collections like those are more governed than its counterparts.
 
To begin with, there are state laws controlling debt collection. For example, in Florida, collection agencies can operate without licenses in the state. This goes for collectors and debt buyers as well. A sole proprietor business can still collect a debt. Make sure that your business is not doing other business within the state.
 
What is the purpose of the Fair Debt Collection Practices Act?  Also, ensures the privacy of debtors is still protected. The FDCPA is now codified and amended to watch out for and prevent abusive practices. It is also designed to provide consumers with a venue to air their disputes. It has penalties enacted on distressing collectors. Finally, the FDCPA provides validation of accurate debt information.
 
FDCPA scrutinizes the collection activities of consumer debt collection agencies. It ensures that agencies don’t use abusive and deceptive tactics towards debtors.
 
One of the advantages to hiring a collection company is their knowledge of laws. These laws pertain to your case. Collecting debts on your own, while staying within the laws, can be a daunting task. This is especially true when dealing with consumer debt collection.

Commercial Debt Collections

Commercial debt collections is also called business-to-business debt collection. It involves debt payment from one business to another. This is assuming two things. That businesses are now sophisticated. They need to have discipline to comprehend their own rights and financial duties. Thus, commercial debt collection is much less controlled.
 
FDCPA does not apply to commercial debt recovery. This allows agencies to take a different approach to each claim.
 
The secret here boils down to the skills of the debt collector. Consumer debt collectors have different skills compared to commercial debt collectors. Not all who start from consumer debt collection are able to adapt to commercial debt collection. This is because commercial collection agencies are now specialized.
 
Part of a collectors job is to balance relationships. Recover money from the client’s debtor. But, do this while maintaining a good relationship between the client and customer. Yet, there are agencies that handle collections both from individuals and from businesses.

Which Is Easier To Collect?

There are pros and cons to collecting each type of debt. Consumer debt involves compacted laws and regulations. Commercial debt collection may need specialty skills or an effort to maintain a relationship with the client. Either way, debt collection is often complicated. Anyone attempting to collect debts can generally enjoy the help of an experienced collection firm.

 

The Cash Flow Group

Fort Lauderdale / Miami, FL

Toll Free: 800.226.2006

Debt Collection in Florida Techniques

Monday, October 22nd, 2018 | Florida Debt Collection, The Cash Flow Group | No Comments

Debt Collection in Florida Techniques and Strategies

Debt Collection in Florida

 

Are you uncertain whether your debtor will pay your unpaid debt? Or did you run out of ways to effect debt recovery? It’s a very cumbersome task to recover past due receivables. The Cash Flow Group utilizes a unique blend of techniques. We incorporate phone calls, strong written communication skills and litigation. Sometimes traditional collection methods fail. We and our debt collection attorneys will then deploy advanced collection techniques. Below are some of the methods we use to collect outstanding monies. These debt recovery techniques will help you recover your money immediately.

Making Phone Calls

Ask for payment in full. If the debtor refuses to pay the entire debt, determine what the problem is. The debtor’s priorities may be other creditors get paid or their cash flow may be poor. Make sure your outstanding receivables are his or her priority.

While making calls keep the following things in mind:

  • Call the debtor at the right time of day
  • Monitor their working routine.
  • While on the call document the conversation.  Don’t forget the important points verbalized by the debtor
  • Don’t leave messages
  • Communicate to the debtor company clearly and concisely
  • Don’t be vague

Written Communication

Strong written communication when it pertains to debt collection is essential. Deploy invoices. Also deploy firm and professional demand letters when asking for immediate payment. The goal is to get the debtor’s attention and to avoid any misunderstandings. You want to get paid-in-full as quick as possible. Make it clear to the debtor company when the bill needs to get paid, and any charges applicable. In some cases make the consequences clear for not paying.

Litigation

In the case of non-payment, taking strong legal action against the debtor may be the best course of action. This is if all else fails. We recommend that you use litigation only if your unpaid bill is now uncontested. If the debtor company contests the bill, it can be a no-win situation. This process will involve the presentation of legal documents and court summonings. Even though legal action is now initiated, negotiation and resolution are still possible. This can be the best path towards debt recovery.

These are just a few techniques from The Cash Flow Group.  Please contact us if you have any further questions or concerns.  We are here for you!

Florida Debt Collections and Payment

Friday, October 19th, 2018 | The Cash Flow Group | No Comments

Florida debt collections and payments – advice from The Cash Flow Group.

Florida Debt Collections

How to Avoid Preferential Debt Payments

Everyone has creditors they would rather pay back before others. This includes debts owed to family or friends. You should pay back these debts before bankruptcy. Then they are now considered preferential debt payments. This would allow the bankruptcy trustee to recover any payments made. Preferential payment helps to make payments distribute more even amongst all creditors.

How long must you wait in order to avoid a preferential debt payment?

This will vary depending on your relationship with the creditor. A preferential debt payment is a payment made within 90 days of filing for for bankruptcy.
 
Three important things to note:
 
1. Payment must exceed $600
2. You must be insolvent at the time of payment
3. The creditor must receive more than they otherwise would in a bankruptcy settlement
 
Close friends and family have even stricter terms. These payments made within 1 year before filling for bankruptcy are being considered a preferential debt payment. The same three requirements will still apply.

What happens when a preferential debt payment occurs? 

What is a preferential debt payment occurs during the bankruptcy process? In that case, the trustee can recover (clawback) the full amount paid.
 
This is not illegal unless the payment was being made to defraud creditors or hide assets from the court.
 
In most cases, the payment is being clawed back from any of the involved parties. The payment will then become part of the bankruptcy settlement.

How to avoid preferential debt payments?

The easiest way is to simply avoid having payments fall within the designated periods. This means you may have to avoid filling for bankruptcy until these payments have cleared the preferential period. You should not do this with the intent of defrauding your other creditors or in an attempt to hide assets though, or else you may risk charges for your actions. One way to avoid this confusion is to stick to a regular schedule for payments, as to avoid the appearance that these payments were made purposefully to favor one party over another.

This article should not be taken as legal advice. Yet, the information provided should help you decide whether you have given or received a preferential payment. If you believe you may have an issue, we suggest you seek the advice of a lawyer.

Do you have questions about preferential payment?  Feel free to contact us today!  We look forward to hearing from you!

Commercial Collection Agencies Florida – 5 End of Year Tasks

Friday, October 5th, 2018 | The Cash Flow Group | No Comments

Commercial Collection Agencies Florida – The Cash Flow Group is here to help.

5 End of Year Tasks for Your Business

Commercial Collection Agencies Florida

Commercial Collection Agencies Florida

The end of the year always brings some predictable events. You know that magazines and websites will be releasing their lists of “best movies” or “most memorable events.” You know that car dealers and other large item retailers will be trying to sell off expensive merchandise. You know payroll departments will be preparing to fill out W-2 forms, and accountants will be getting ready for tax season. As a commercial collection agency there are certain tasks we’d love to see business owners add to their annual end of the year to-do lists.

Determine Which Invoices Need Attention

Once an account is 90 days overdue, there’s already a 26% chance that it will never get paid. At 7 months overdue, there’s only a 50% chance that you will get paid. Ideally, business owners would routinely check for late invoices and turn them over to a reputable collection agency while there was still a great chance of getting the invoice paid. But at the very least, reviewing past due invoices is something that should be done at the end of the year.

Update Terms and Conditions

The world has changed a lot in the last five years. If you haven’t updated your terms and conditions on credit applications recently it may be time to make a change.

Review Procedures

Are your internal collection policies and procedures working? Can you make changes to improve efficiency and effectiveness? Are you making phone calls when you should be writing emails to get answers in writing? Are you writing emails when you should be making phone calls? Is there anything you could automate, such as overdue notices, which would make life easier for your Accounts Receivable department? An annual review of your policies and procedures may help you identify both problem areas and strengths.

Update Payment Procedures

Strangely enough, many businesses, especially smaller ones, often make it difficult for clients to pay them. If you’ve resisted allowing online credit card transactions, or PayPal transactions because of fees, it’s time to rethink those ideas. Services such as PayPal and Square may make your business more time efficient. Don’t forget to update your check payment procedures as well. Services like Vericheck can help you avoid accepting bad payments.

Check on Your Providers

When you hire a lawyer or a credit collection agency you’re hiring a company that will represent you. The last thing you need is someone from outside your company creating legal or reputation hassles for you. The end of the year is a great time to check in with the reputation of any service provider that represents you. Check Better Business Bureau ratings, online reviews, and professional organization memberships.

The end of the year is a busy time and adding more “to dos” to your existing task list can be daunting. But, making sure that you’re on top of unpaid invoices and payment policies can be a great way to ensure that you start the next year off right. If you’re end of the year tasks reveal debts you need help collecting, make sure to let us know, The Cash Flow Group is here to help.

The Cash Flow Group, Inc

3389 Sheridan Street

Suite 135

Hollywood, FL 33021

Email: info@thecashflowgroup.com

800.226.2006 Toll Free

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