Landscape is one of the first things people notice when they visit a building. When it is lush and well-kept, it enhances the space and highlights the architecture. When it becomes dry and dead, it can make the entire structure look lifeless. Water is the most important factor in keeping these landscape projects looking beautiful, and commercial irrigation companies are the ones who make it flow. You create intricate systems for water delivery, from planning to installation to programming. It’s a huge undertaking that mostly happens behind the scenes. These projects can be very costly, so it’s a major disadvantage when payments are delayed. Here are some of the challenges of collecting overdue payments and how to solve them.
Challenges of Commercial Irrigation Debt Collection
Working with other businesses has unique challenges. One of the most challenging differences is in billing and collecting past due invoices. When billing individuals, typically payments are due upon receipt or have a very short payment window of only a few weeks. Businesses have much longer billing cycles. A commercial client will usually expect at least 30 days to pay, with some expecting as much as 60-90 days. If your due date and their cycle for paying bills don’t align, your payments could be late. Additionally, if you have obtained the job through a bid process, you may have a contract in place where certain progress payments are expected. If those payments aren’t received, it can bring your whole project to a halt.
Advantages of Professional Debt Collection
Collecting past due payments quickly is especially important for commercial irrigation companies. Not only do you need to keep cash flowing in order to fund new projects and pay employees, but you may also need progress payments to keep an existing job running. That’s why it’s so important to partner with a professional debt recovery agent early and send your past due invoices to them right away. Studies have shown that people are more likely to pay a debt when they are contacted by a collector instead of the original creditor. It lets them know that you’re serious about collecting what you are owed.
Professional recovery agents also report unpaid debt to credit bureaus. Most people want to make sure their good name is untarnished, and this is especially true for businesses. They want to maintain their credit worthiness. This is a different process than it is for consumer debt, so you want to make sure you partner with a company like Southwest Recovery Services that is familiar with the different legal considerations that must be made when it comes to commercial debt.
Southwest Recovery Services is a Trusted Partner
Southwest Recovery Services has been working with businesses to collect commercial debt for over 15 years. Our founder, Steven Dietz, has over 30 years of experience in the collections business, and he has mentored our team into one of the finest groups of professionals in the industry. We know that maintaining integrity and a good reputation with your clients is especially important for businesses. That’s why we operate as an extension of your business, helping clients resolve their debts on your behalf so you can get back to work. Give us a call today to learn more about our commercial debt recovery solutions!
