How to Know When It’s Time to Partner With a Debt Collection Agency

Man in a gray shirt review accounts receivable

Non-paying and late-paying customers are the average business owner’s worst nightmare. Late payments can negatively affect your cash flow and derail your expansion & growth plans.

The debt collection process is very complex. If you decide to collect outstanding debt yourself, your employees will spend a good deal of time chasing late payments and may be unable to focus on their most important tasks. Instead, consider hiring a California debt collection agency to assist with your collections efforts.

Here are some circumstances that necessitate hiring a professional debt collector.

The Customer is Untraceable

If you are unable to locate a customer who is past due, chances are they gave you their incorrect address. An experienced professional debt collector has the know-how and skills required to locate such customers. They use specialized tools designed to assist in the tracking process.

Customers Ignore Payment Requests

Some customers won’t pay even after you send them several payment reminders. Such customers don’t return calls and may avoid discussing due payments. If a customer has no intention to pay, traditional debt collection methods won’t work. No one understands this better than debt collection professionals. They come up with customized strategies to recover overdue payments while ensuring that their clients’ relationships with debtors are not negatively affected.

Unpaid Invoices Are Piling Up

If you have customers with debts that are more than 60 days past due, consider reaching out to a debt collection agency for help. The sooner you act, the better. Accounts receivable requires specialized skills and may not be your area of expertise.

Benefits of Partnering with a Collections Agency

  • Debt collection agencies complete necessary paperwork for debt collection. They make sure all IRS guidelines are followed.
  • A reputable debt collector knows debt collection laws. They operate within the law and never use unethical or illegal methods for debt collection.
  • A debt collection agency can manage your debt collection process, allowing your employees to make time for the work that matters.
  • Debt collection agencies work on a contingency basis, meaning the client pays only if the agency recovers past-due debts.

Tavelli Co. is one of the most trusted debt collection agencies in California. Our ability to craft customized debt collection solutions for our clients sets us apart. To learn more, call (707) 509-5565.


Tavelli Co., Inc. has over 37 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.

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