Collection Tips

©2000 Michelle Dunn

• Let your customer know the terms of sale when you make the sale or at the time of the order.
• Customers are usually happy to comply if they see your stated credit terms right from the beginning.
• Send a friendly reminder notice. Many businesses pay 90-120 days after purchase. Send a reminder notice to speed up payment. E-mail or fax is a fast, good way to touch base with a slow paying customer.
• Make a phone call. You should always assume payment has been made and ask, "When did you send your check?" Then don’t say anything; let them break the silence, no matter how long it may seem.
• Pick up the payment in person. Once you show up in person to pick up a payment you should never have to pick up a payment again, if your customer has every intention of paying. If you repeatedly have to go to their place of business, you may want to put them on a COD basis.

Michelle Dunn started and successfully ran M.A.D. Collection Agency for 8 years, and has received wide press with articles appearing in Ladies Home Journal, PC World, and many other magazines and newspapers. Michelle owns and operates www.Credit-and-Collections.com (an online professional collections community for networking and discussions) and Never Dunn Publishing, LLC.

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