Commercial Collection Agencies are a valuable tool in most industries
. The business to business is world is a great example. Take a commercial equipment leasing company. These lenders lease equipment from office copiers up to heavy construction equipment. Often times the lenders equipment goes missing due to a business closure, or an unscrupulous customer trying to keep the equipment without paying for it.
A professional collection agency will be able to locate the equipment and either get the customer to relinquish it voluntarily or possess the means to repossess it. They should have the facilities to store, repair, and then sell the equipment for top dollar. Once this is done they will be able to transition the deficiency balance to their professional collection staff to recover the remaining debt. This should be done at no upfront cost to the client. This can be a daunting task not to be taken on by just any commercial collection agency.
Many commercial equipment leasing companies that deal with smaller ticket items such as office copiers, printers, and phone systems have their own repossession companies that they use and then sell back the merchandise to the original vendor that sold the equipment. That still leaves a deficiency balance due. A commercial collection agency is able to take the burden of trying to track down and recovering the debt owed from the lender. This allows more time for the client to focus on growing their new and existing portfolio without dealing with accounts that have already cost them money.
Commercial Collection Agencies are a highly specialized debt collection agency. They are normally dealing with higher balanced debts that require more background work. Their collectors are trained to thoroughly review documents provided by clients as well as do plenty of research on the company they are trying to recover a debt from. This can be very time consuming and costly for a client to do themselves. It could involve hiring several employees for this job alone. This translates to salary and benefits for each employee hired (not to mention training). Its easy to see the benefits of hiring a professional debt collection company as opposed to hiring, training, and paying employees to do a job that the agency is already trained and equipped to do at no additional upfront cost.