Generally, no. The Fair Debt Collection Practices Act governs the collection of consumer debts owed by individuals. Unpaid staffing invoices owed by client companies are commercial debts, and they fall outside the FDCPA in most circumstances. We follow all applicable federal and state regulations for commercial collection. If a specific account involves an individual debtor rather than a business, we adjust our approach accordingly.
Staffing Agency Collections
STAFFING AGENCY DEBT COLLECTION
Staffing Agency Collections
Staffing agencies run on thin margins. You spend real money sourcing, screening, and placing workers before a single invoice clears. When a client company stops paying, that cost does not disappear. It sits on your books while your team keeps fielding calls, filling orders, and hoping the balance resolves itself. It rarely does. Southwest Recovery Services collects past-due commercial invoices for staffing agencies. We have been doing this work for 22+ years. We know how to recover what you are owed from business clients without torching the relationship or dragging out the process.
Where Staffing Invoices Fall Apart
Why Staffing Invoices Go Unpaid
Unpaid staffing balances come from a few different places. Some client companies dispute a worker’s hours, performance, or fit after the fact. Others run into cash flow problems and start prioritizing their vendors in ways that push your invoices to the back of the line. Some simply go quiet after the project ends, especially when the hiring manager who made the engagement has moved on. Whatever the reason, each unpaid invoice represents labor you have already delivered. The balance is owed. Getting it back is a matter of consistent, professional follow-up. That is what we do.
Collections That Do Not Cost You the Client
Protecting the Client Relationships You Built
The staffing industry runs on repeat business. A hiring manager at a logistics company becomes a long-term client because you filled three roles well and the process was smooth. Putting that relationship at risk over a collections call is a real concern. We understand that. Our approach is direct and professional, not aggressive. We make clear contact with the right decision-makers at the debtor company, document everything, and work toward a resolution that brings the account current. We do not threaten, harass, or create a story the client tells their peers at the next HR conference. We collect what is owed and leave the door open for future business.
End-to-End Account Recovery
How We Work Your Past-Due Accounts
When you place a staffing account with us, we take over the entire collection workload. We review your invoices, assignment agreements, and any prior communication from your team. We verify contact data for the right person at the client company, which is often the AP manager or CFO rather than the hiring manager you worked with originally. We handle skip tracing on accounts where the contact has gone stale. Then we make structured outreach, follow up consistently, and negotiate toward payment. If an account warrants legal referral and the documentation supports it, we evaluate that and bring a recommendation to you. You get reporting throughout so you always know where each account stands.
Why Early Placement Wins
The Problem With In-House Follow-Up
Most staffing agencies try to collect past-due invoices internally first. An account manager sends a reminder. Then another. A recruiter makes a couple of calls. Meanwhile the client is slow-walking it, and 90 or 120 days have passed before the account ever gets treated as a real collection problem. Recovery rates drop as commercial debt ages. What was collectable at 45 days gets harder at 90 and harder still at 180. We recommend placing accounts with us before that window closes. The earlier we engage, the better the outcome. Your team’s time is worth more than chasing non-responsive clients through three rounds of unanswered emails.
No Fee Unless We Collect
Contingency Pricing, No Upfront Cost
We work on contingency. You pay nothing to get started. Our fee comes out of what we actually recover. If we collect nothing on an account, the cost to you is zero. There are no retainers, no monthly minimums, and no administrative charges for placing an account. You send us the documentation, we pursue the balance, and you receive the recovered funds minus our agreed percentage. For staffing agencies sitting on a stack of aged receivables, it is a straightforward way to find out what is still collectible without committing internal resources to the effort.
Ongoing AR Partnership
Ongoing AR Support for Active Staffing Operations
We can also work as an ongoing partner for agencies that carry a steady volume of delinquent accounts. Instead of reviewing your AR aging report each month and deciding case by case, you set an aging threshold. When client invoices cross that line, they route to us automatically. Your billing team stays focused on current accounts. We work the past-due ones. You get regular reporting and a more predictable cash flow. It is a cleaner system than chasing accounts in-house month after month, and it scales with your placement volume.
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STAFFING AGENCIES ACROSS THE COUNTRY
Stop Absorbing the Cost of Unpaid Client Invoices
Southwest Recovery Services collects past-due commercial invoices for staffing agencies. 22+ years of experience, no upfront cost, no retainer. Tell us about your delinquent accounts and we will get to work.