How to Hire a Collection Attorney for Small Business and Why They Are Beneficial Part Two

How to Hire a Collection Attorney for Small Business and Why They Are Beneficial Part Two

One of the key factors in hiring a collection attorney is to look for one that offers various collection amount levels. Small businesses often fall under the mindset that collection attorneys are only interested in large debts, but the truth is that no debt is too trivial for a collection attorney to collect, especially if it is a bad debt. Another factor is making sure that the collection agency your small business hires works within the law, as harassing debtors with early morning and late night phone calls will lead to nothing but having your business swimming in harassment lawsuits. Debt collection must adhere to strict and complicated laws, often requiring a well-thought out and clever plan. Collection should begin with having three notification letters, known as demand letters, sent to the debtors last known address, with the third letter being a warning that if the debt is not paid or a payment plan is not worked out by a certain deadline, then they will be reported to credit-reporting bureaus.  With the threat of damaged credit, most debts often get paid. If the demand letters, phone calls and the reporting of failure to pay to the credit bureaus fail, litigation is employed as an absolute last resort. 
Small businesses are much less financially stable, and a bad debt or several can prevent growth of the business or even lead to the downfall of a small business. Collecting debts is frustrating and exhausting, as well as a tedious and delicate task, so hiring a collection attorney is often a small businesses best chance at collecting money owed. If you have any questions call your Miami Debt Collection attorney.