Commercial Collection Agencies in Canada

Profit from an option you may not have considered.

   Commercial debt recovery in Canada is alive and well. Like our U.S. cousins, there are contingency lawyers and collection agencies; however the number of contingency law firms from which to choose, are much fewer than the U.S. market. If your law practice or commercial collection agency regularly receives Canadian claims, it becomes critical that you partner with a supplier that can provide the following:

• Reports to all seven Canadian credit bureaus
• Provides 24/7 on-line access for instant reports
• USD clients trust account to avoid currency exchange problems
• Full professional liability insurance 
• Capable of working in all Canadian provinces & territories
• Innovative solutions like Pre-judgement garnishes/Seizures and Mechanics or Construction Liens. 
• Fully compliant with Canadian Laws

   Generally there are two reasons why a company doesn't pay its bills. It’s either a dispute of some nature or it is a cash flow problem. In either circumstance your clients will want you to act quickly; however filing a suit isn't always the answer and doesn't guarantee payment.

   More and more American and International law firms, commercial collection agencies, and creditors are submitting claims to Canadian Commercial agencies prior to considering legal action. A collection agency only receives payment if it collects. The agency does not have the ability to earn a fee from the provision of hourly legal services and therefore are highly motivated to liquidate claims quickly for the highest possible amount.

   The collection agency will make the determination very quickly if the reason for non-payment is a legitimate dispute or cash flow problem and will obtain all the necessary searches to confirm if legal action will result in a high probability of recovery or turn a bad situation even worse for your client. A professional Canadian collection agency understands your needs for timely and through reporting so you and your client can make sound business decisions. Choosing an agency can be a daunting task. Look for the agencies industry affiliation and certifications. Does the agency owner actively participate in industry conferences? Do they specialize in commercial debt collection? Are they able to supply references in your clients industry and do they understand your clients business?

   Unless you are 100% comfortable picking a Canadian commercial debt collection provider, we recommend equally splitting your forwarded accounts to at least two vetted suppliers and let the results and service speak for itself.

About the author: Brad Lohner is a 32 year veteran of the Canadian collection industry. He owns a commercial agency and lien filing firm, each capable of providing service Canada-wide.

For more information look him up on LinkedIn. 

The Physiology of Making Collection Calls

If not done correctly, collecting past due receivables can actually have a negative impact on the human body. According to ScienceDaily.com in a typical work day people sit an average of 5 hours and 41 minutes each day.  Researchers indicate that the cumulative impact of sitting all day for years is associated with a range of health problems, from obesity to diabetes to cancer.

Health experts say that sitting is the new smoking.

For example, sitting in an office chair all day can lead to:

·         Poor posture

·         Poor digestive activity

·         Eye strain

·         Obesity

·         Neck injuries such as herniated discs.

·         Bad voice projection, and;

·         Poor voice inflection

Top credit analysts and collectors know that communicating with a clear voice that is strong, yet measured - goes a long way to ensure you are heard and exudes confidence in your delivery.  Opera, professional singers and stage performers know that voice training as well as proper posture all contribute to successful and clear communication.

There are many ways to give yourself this advantage in your own office:

·         When making a collection call, stand up. People in your office are going to notice – so have fun with it.

·         Make sure you have a clear goal in mind before you make the call.  Never “just wing it”.

·         Purchase a stand up desk that you can adjust up or down as required. We have included a picture of a desk that we use called Varidesk.com

·         Purchase a longer telephone receiver cord or even better, a Bluetooth enabled headset.  If you’re going to stand up during your collection calls, you may as well get your daily steps in too.

As we all get older, obesity can be the number one problem unless you make a conscience effort to have more movement throughout the day. The key to reducing the risk of obesity is consistent, moderate levels of movement throughout the day.

It’s Like Our “Cadbury Secret” – Get the Benefit of Our High-Power Collection Tool

“Hello? I’d Like to Pay My Account…”

Every business has those customers whose balances are consistently under $1,000.00 per month.  When reviewing your accounts receivable, these customers don’t really register on the radar because you likely have bigger balances to keep your eye one.  If your business is highly transactional (many unique customers with small balances); then these $1,000.00 balances begin to amount to a lot of money.

So How Do You Manage These Customers For Maximum Profit?

Priority Credit Recovery (PCR) concluded a successful campaign for an international paint manufacturer.  The manufacturer has many retail and commercial outlets across Canada and the U.S.A. where commercial painting companies could purchase supplies on an open account.  Over the course of time, several thousand customers with smaller balances began to make a dent in the manufacturers’ cash flow.  This company needed a way to contact the customer requesting payment, yet preserve the customer relationship without hiring an army of receivable staff.

After careful review of the manufacturers’ requirements, PCR designed a custom contact campaign designed to get the commercial customers to call the manufacturer and speak with their receivable team.  The campaigns were unique to each office across the country, taking into consideration time zones, and optimal calling times. 

56% of All Small Balance Accounts Paid Within 10 Days!

The custom campaigns resulted in 56% of the customers paying their accounts in full.  And a majority of them immediately placed another order.  Disputes were solved and miscommunication eliminated.  The manufacturer was able to make contact with thousands of customers without adding extra staff or paying fees to temporary staffing companies.  And most importantly, the manufacturers customers had no idea PCR was involved.

If your company struggles with the management of low margin past due customers – give us a call today for a confidential consultation.  PCR has many tools at our disposal that can assist you without the fear of sending your customer to a collection agency.  Priority Credit Recovery Inc. is a member of The PCR Group of Companies where our goal is to be your #1 choice for credit services.

Cash flow is the lifeblood of your business.  At PCR, We Protect Your Corporate Heartbeat®