One of the most frustrating problems business owners deal with is customers who don’t pay. This issue can be a source of enormous stress, aggravation and financial hardship. Customers who don’t pay their bills are, in effect, using (and abusing) a business as if it were a bank that provides free financing.
According to the Federal Reserve as of May 2015 total consumer debt in the U.S. was an astounding $3.4 trillion. (This excludes real estate mortgage debt.) The ACA (the Association of Credit and Collection Professionals) reported that in 2013 private collection agencies recovered approximately $55.2 billion in delinquent debt. Debt collection is subject to the federal Fair Debt Collection Practices Act.
How can businesses cope with this enormous problem? What must be done to get paid for fair and honest work?
To continue please purchase article...
Photo Acknowledgements and Credits: Business Man Walking © Julenochek | Dreamstime.com / Young Man Shrugging His Hands © Piotr Marcinski | Dreamstime.com / Composition & Modifications by Shawn Hill | VASTmicro