Recovery Company Turkey

Good Credit Management & Debt Collection is essential, not an option. Our Mission? To provide excellent service to our clients in the fields of receivables consulting & training. Clients are the reason for our existence and we focus on listening to their needs, providing solutions and rendering service in a manner which we would like to enjoy when we are clients of an organisation.

English speaking debt collection agency in Turkey

Recovery Company Turkey

The key to success in many aspects of life lies in the thinking. Thought leads to action. Making an effort to design a good system for your debt collection will save you much time, stress and energy down the track. It will improve your cash flow and protect client goodwill. A good system is more likely to be used by staff. Where possible it should be simplified.

Outsourcing Debt Collection

Debt collection is an essential role within business and is part of the corporate “body”. If it is neglected then the whole body suffers. It is important the collection role be properly integrated with the rest of the company. Sales and Credit Management should work much more closely together and staff within each department should be aware of the key considerations.

Sales Management should take a key interest in the debtor’s ledger – much valuable information can be gained, including aspects of sales targeting, profitability and opportunities.

A system which promotes client goodwill:

Efficient credit management an impression to clients the company is organised

Ideally then, a business needs an efficient debt collection process that meets the following basic criteria:

1. Well-thought-out system designed to speed up collecting money.
2. Use and implementation of the system.
3. Understanding and support for the system in all relevant divisions of the company – including Sales.
4. Regular management reviews.
5. A system which promotes client goodwill.

Efficient credit management sends an impression to clients the company is organised – this contributes to the sales process because people have greater confidence in the rest of the company activities. Clients are also more likely to realise that they cannot “take advantage”, leading to an improvement in cash flow. Some companies can even go one step further and turn the collection process in to something that produces goodwill and increases sales.

An example is where a senior staff member, perhaps the Sales Manager, calls the client to say thank you for an account payment. People like being appreciated (basic human need) and the call is an opportunity for the staffer to ask about the client’s opinion of the company and discover how else (more sales) the company could help. Thanking people also promotes continued similar behaviour.

A good Debt Collection System has several main parts, which include:

A Credit Policy:

We understand the need for tight credit control. In today’s economic environment businesses are taking their lives into their own hands if they do not install prudent credit checks and controls.

Two of the most important steps for a business that extends credit are:
1. Create a formal credit policy.
2. Implement this policy so it is part of the day-to-day running of the business.
A Contact Management Program.

A contact management program is needed to keep track of every contact you made during the Debt Collection Process, who was spoken to, what they said and when they agreed to pay by. This should also provide a reminder of when to call again.

A Debtor Database.

Obviously you have one of these. The information it contains however should be relevant and ideally allow relevant input from other departments.

Collection Letters.

These should range from friendly reminders to demanding letters. It is very important that these are not only correctly worded, but also used at the correct time, in the right way.

Telephone Scripts.

I use this term loosely because top class collection is not mechanical or parrot like. However there are things which are best said in certain ways, or in a particular order.

Legal Documents.

You will need legal documentation to help you with the collection process when taking, or threatening, legal action. This may include standardised Solicitor form letters

Staff Training.

Continued staff training and development is needed to ensure that standards are maintained and improved. We can always do better. Relief staff should be well versed in the debt collection process in case of sickness, absence or other issues.
SUMMARY

The credit management process is closely intertwined with other key facets of running a business. You may find some aspects of this material challenging. Change does bring challenge. Progress demands it.

Money is such a key ingredient of running a business and it affects almost everything we do. If you do not master the money it will master you. A farmer has a better chance of getting a good crop if he treats his land properly, sows good seed at the right time and ensures there is a demand for what he is sowing.

So it is with credit management. If you do not set up and adhere to good systems you will have problems.

Another point which I want to discuss is that of basic business attitudes. Many credit related problems can be traced back to basic attitudes.

We know the feeling of “wanting business”. Often the fear of lost profit or opportunity leads to the writing of bad business. There are varying degrees of the “business at any price mentality”. It is fundamentally a defeatist attitude.

The solution to this problem can be found in deciding on some key goals, writing them down in a sound business plan and acting on them. The key is to decide on the right goals and have the right attitude. Decide not to accept poor business from clients. Decide to get good quality clients and profitable business. Decide to be the best for your clients. As you can see – this boils down to quality attitudes and a belief that you and your clients deserve the best. And what’s more – you are going to go out and achieve it!

You will then find that even more of your credit control problems disappear and that you are no longer running an unofficial financial institution.

Getting started