Bad Debt Doesn’t Age Like a Good Wine

If one were to throw a dart at a map of the United States with every collection agency marked, you would be hard-pressed to find one with more exposure to the wine and viticulture market than Tavelli Co. Perhaps this is due to our location as a Sonoma County collection agency, nestled in the heart of California’s Wine Country, or to our particular expertise in the field. Over the years, we have developed strong relationships and partnerships within the wine industry. Whether it involves collections on behalf of a bottler, supplier, or vineyard, we’ve handled it all.

Industry Challenges

On the other hand, we have also seen the negative side of the B2B wine industry. Relationships and handshake agreements fall apart, companies with stellar reputations and brand names crumble, staff are let go, and bank liens come into play. It is no secret that the wine industry is struggling right now, and we are witnessing the effects all around us.

In fact, just a few weeks ago, The Wall Street Journal reported in one of its audio episodes that “California’s Wine Industry Is in Crisis.” The report highlighted how the U.S. wine industry is facing its worst downturn since Prohibition: unsold grapes, low demand, and trade issues pressing down on growers. The effects are massive, including job losses and a significant impact on tourism. Moreover, younger generations appear to be consuming less alcohol, a shift that could greatly affect Sonoma and Napa Counties.

Fortunately, Tavelli Co. is here to help.

Our Role and Recommendation

If there is one key takeaway from this article for anyone in the wine industry, it is this: do not allow your receivables report to continue aging unchecked. Every day that past-due accounts remain unresolved, the harder they become to collect and the greater the strain on your cash flow.

Being proactive is essential. If you are not already partnered with an established collection agency, now is the time to get set up with one. A trusted agency can safeguard your business by ensuring that outstanding balances are pursued professionally and efficiently, allowing you to focus on what you do best—producing and selling exceptional wine.

What Makes Us Different

At Tavelli Co., we understand the unique challenges of the wine and viticulture market. Our expertise, combined with decades of industry relationships, allows us to step in quickly to protect your bottom line. There’s a reason we work with—and have collected from—some of the largest wine brands and producers in the world. While some companies are struggling, others simply find themselves at the bottom of an accounts payable list. The key is making sure you’re at the top. We review contracts, contact the right people within a business, and work to ensure our clients get paid.

Recognize Early Warning Signs

There are a few things you can look out for when dealing with managing past-due receivables. The first is often a breakdown in communication. Comms seem to get slower, there could be partial payments made or unusual payment methods. Additionally, one might notice a change in ordering patterns.

The bottom line is you don’t want your money tied up in overdue invoices leading to a limit in cash-flow. Recovery rates tend to drop as accounts age, so act early and be proactive!

If you or your company see some of these signs occurring within your business, feel free to call Tavelli Co. today! We are here to help, and have been an established part of Sonoma County for four decades. We have the proven ability and experience!

Reflecting on Wine Country

This past summer, my father and I were driving through Healdsburg, CA. I grew up in Santa Rosa and spent plenty of time in Windsor, Rohnert Park, and Petaluma — but not much in Healdsburg. We were recently there for a wedding, and when my father had his car serviced in town, he took the opportunity to show me around. Later, my wife and I visited the local farmers market and fell in love with it too.

Growing up, one of my friend’s family owned a vineyard, and every so often he’d invite friends over to help pick grapes, work the fields, or just hang out. In one way or another, vineyards were always part of our lives. Whether we were driving into the Bay Area for a Giants or 49ers game, heading to a doctor’s appointment, attending a wedding, or visiting friends — wine country was the backdrop. Even in college, many of my friends were in the wine and viticulture program.

Wine country is in our blood, and that experience gives us a perspective few agencies can match.

Let’s Connect – Tavelli Co.

If past-due accounts are impacting your business, it’s time to act. Tavelli Co. is the Sonoma County collection agency trusted by wineries and suppliers across the industry. If you or your company are interested in partnering with Tavelli Co., feel free to reach out today.

Call us at (707) 509-5565 or contact us online now to learn more.

We also have an excellent book available on Amazon that highlights our receivables systems and strategies. You can find it here:

https://www.amazon.com/TAVELLI-WAY-Business-Collect-Receivables/dp/B0DZLSBH7B

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Tavelli Co., Inc. has over 40 years of unparalleled experience in the debt collection and receivables management industry. Our mission is to achieve the right balance between getting clients paid and being empathetic to debtor circumstances, through implementing innovative practices, hiring experienced people, and improving business decisions through analytics. We provide peace of mind to all involved by collecting money with no complaints. Tavelli Co., Inc. takes the time to carefully listen to your customers and share their feedback with you through meaningful data and transparent communication, so you have access to the information you need to make quality decisions and improve your processes in the future. Contact us today and let the debt collection experts at Tavelli Co., Inc. help you set your business up for success.

IMPORTANT: Information provided by Tavelli Co., Inc., any employees of Tavelli Co., Inc., or its subsidiaries is not intended as legal advice and may not be used as legal advice. It is not intended to be a full and exhaustive explanation of the law in any area, nor should it be used to replace the advice of your own legal counsel.