Recovering debts is never an easy task. It requires great staff that are prepared to do a very difficult job and very reliable infrastructure and systems. The challenges of staff management, staff retention, scalability, time zone support and system can significantly impact the customer experience and result in poor performance. This is why many companies choose to outsource their debt collection processes.
Business owners know how costly, difficult, and time-consuming debt collection is. In the midst of the current economic conditions, you need a scalable, reliable, low-cost solution that will get the results you need while maintaining a good relationship with your clients.
If you don’t have the resources or time to implement a quality debt recovery team, then it’s best to seek a trusted outsourcing provider with in-depth industry expertise to do all the hard work for you and get your team of debt collection professionals up and running fast!
Outsourcing can offer you faster and better solutions to maintain positive cash flow.
What can collections outsourcing do for your business?
- Lower collections and operating costs
It’s not easy to recover past due debts. It’s an extremely time-consuming and detailed process and depending on the volume of work, you will need a dedicated collections team. If you are building an internal team, you’ll need to hire and train your collections staff and make sure they have the tools and workspaces to do their job properly. Outsourcing debt recovery services will reduce running costs and help recover more outstanding debts. You can quickly and easily build a team of debt collection professionals at a fraction of the cost and not have to worry about staff management, IT support, payroll, HR, office space, hardware or communications infrastructure.
- Increase focus to minimize collection time
If you have a local team spending just a few hours on debt recovery it may not be a scalable solution. As your company grows, you may find that outstanding debt grows with it. Debt recovery is most successful when it is actioned early. If debts are left dormant or allowed to increase, it will reduce the likelihood of successful recovery. However, if you have a dedicated offshore collections team, they will be able to focus on actively recovering debts resulting in more successful outcomes and less outstanding debt.
- Boost productivity and generate revenue
Can your business really grow if your core staff spend their entire day collecting delinquent payments? Of course not. This is exactly why it’s better to have your own dedicated collections experts who will help you increase incoming payments and maximize your ROI. When you outsource your debt collection functions, you allow your core team to focus on the more important business projects—such as finding new clients, making sales, improving your brand, and generating revenue and other higher-value functions.
What should you look for in an outsourcing provider?
- Industry expertise
When you decide to outsource your debt collection department, you should be able to get access to skilled professionals who are proficient english speakers, well-versed in collections laws, familiar with the latest tools, software, and processes for successful debt recovery. Your outsourcing provider needs to thoroughly understand your requirements and offer the best collections and debt recovery solutions. Not having the right people for the job can cost you a lot of money in unrecovered debt and customer loyalty.
- Excellent communication
What are your expectations as you venture into outsourcing? You need to clearly discuss your requirements and expectations with your outsourcing partner to ensure that you get the results you need. Reliable service providers can offer you the most effective tools for communication so you can stay connected with your team, get accurate reports and maximize productivity.
- Security and compliance
You need to take security seriously when outsourcing debt collection because of the sensitive nature of the data that your staff deal with. This is why you need to make sure that your outsourcing provider can deliver the highest levels of security and privacy for your data and make sure the staff are well versed in security procedures and policies. They should be able to protect your valuable IP and data and allow you to process payments safely and securely. Experienced outsourcing providers like Cloudstaff even have additional security options in place for your specific needs, including the Vault and PCI compliant workspaces.
Looking for other outsourcing tips and strategies?
Cloudstaff’s outsourcing experts are always available to help. We’ve been setting up teams of outsourced staff in the Philippines for over 10 years for companies of all sizes. From helping you get started, to fine-tuning high-performance teams, we are always happy to share our experience with you. Speak with us today.