Debt Collection: The Importance of Hiring an Attorney
Whether your company is a large corporation or a small, local establishment, there’s one thing that all businesses have in common; customers who don’t pay. Sometimes they slip through the cracks and other times it’s an ongoing battle to get in touch with them. Whatever the situation is, in the event of debt collection, you need a Chicago business lawyer.
What Not to Do
The more frustrated you are as a business owner, the more you might go to extremes to get paid. There can really be a fine line between asking a client to fulfill their invoice and being reported by that client for harassment. While they may just be buying themselves a longer period to take action, it can be damaging to your business reputation to have false accusations. Here are a few things you want to avoid when it comes to collecting that debt:
- Excessive phone calls
- Sending threatening letters
- Trying to do all the debt collection on your own
When Late Becomes Debt
Trying to recoup what is owed to a business can be a pain. Depending on what type of service or product you offer, it could cause massive problems for a company to be out of payment. It seems like no matter how many fail-safes you put into place to keep this from happening, someone ends up taking advantage. It could be a vendor or a customer. It happens every day.
Generally speaking, a payment is late the day after it’s due. Most places offer a grace period to keep late fees from piling up. After that two to ten-day period, fees begin to compound. Once you’ve hit 30 days past due, that’s when things are starting to get serious.
Ahead of reaching out to a Chicago business attorney, it’s likely that you’ve done everything you could to recoup money before it’s a loss for your business. Calls, letters, maybe even emails. This often happens when whoever owes you goes dark. Communication really goes a long way and when you’ve been ghosted, it’s probably a sign that the person is not planning to pay. So, what are your options?
What can business lawyers Chicago do to help with debt collection?
If you’ve exhausted all your efforts or getting close to it, do yourself a favor and stop. You have a business to run and chasing after someone is just wasting precious moments. If they are that hard to get a hold of, they do not want to be found. You need more than traditional means to move forward. Grzymala Law Offices deal with this scenario all the time.
At this point, you need an advocate for your business who has the means to make more progress than you can. Once you hire a business lawyer Chicago to assist in debt collection, you have signed up for a longer and more knowledgeable reach. They will pick up where you left off and have the ability and resources to get further in the search.
Once on the case, a lawyer will come up with a plan specific to your needs that will focus on recovering debts owed to your business. To achieve this, experienced Chicago business law attorneys will be completing any paperwork needed for legal recourse for the money that should be coming to you. If necessary, they will stand up for your business in court if it comes down to a lawsuit.
Don’t Lose Out
Hiring Chicago business lawyers to handle debt collection can sound complicated and perhaps more work than you want to invest in this problem. However, the reality is that they can save you so much in the long run. There are only 24 hours in a day and hiring a professional who specializes in debt collection can be like a weight lifted off your shoulders.