Own my own business and closing down?

Question

It is a mobile business. I have people who owe me money. Total of 15k. It is alot of different people. I need to collect it. Some won't pay. Can I report to collection agency or how does it all work? thanks

Answer 1

You can always make up some nice invoices and send them out once every two weeks and make sure you add penalties for late or no payments.  Once you have sent 6 letters to each of them with no success then report them to the credit bureau's if you use a collection agency they will charge you at least 1/2 of what your trying to collect.  You can do this all by yourself also call them once a week to remind them they owe you money.  Just leave a nice message requesting them to return you call.

Answer 2

Collection agency will buy it for like 5 cents on the dollar and then they do collections.  Not sure if your business is established enough to do it.  Some collections agencies might work on commissions too.  Better to work out a deal with the people who owe you money if possible.