Pre-Suit Collection Strategies
1 hour 5 minutes
Understand how to perform the necessary initial steps when credit is extended in order to increase the likelihood of successful collections later.
All too often, the difficulties faced by businesses in collecting commercial debts result from insufficient planning before credit is extended. Creditors who fail to understand the nature of the business entities to which they are selling goods and services and the persons and assets behind those entities may be in for some hard lessons once an account becomes delinquent. These situations worsen if the creditor fails to select legal counsel with particular experience in obtaining judgments and penetrating business entities determined not to pay. This course will assist business owners, financial officers, and credit managers with the development of effective credit applications and procedures, and to understand the particular risks of extending credit to corporations, limited liability companies, and partnership entities. Methods to minimize those risks and how to plan and implement an effective collection strategy when an account becomes overdue will also be reviewed while emphasizing cost-effective collection planning and risky practices to be avoided.
• You will be able to review and assemble critical customer information before extending credit.
• You will be able to discuss best practices for managing a credit relationship.
• You will be able to explain how to develop an effective litigation strategy.
• You will be able to recognize potential pitfalls on the route to collection.