A company that has significant outstanding debt can quickly find itself becoming insolvent. This is especially a problem with small or fledgling businesses that don’t have a large source of assets from which to draw in times of hardship. A New Jersey commercial collections attorney can help you collect outstanding debts so that your business remains fiscally healthy.
How Can a New Jersey Commercial Collections Lawyer Help?
Businesses large and small are weighed down by costs: marketing, expansion, research and development, equipment, salaries and benefits are but a few of the expenses that a company must plan for. However, many companies fail to account for the cost of unpaid debts. As a result, payments that were counted on don’t come through and the business suffers. A New Jersey commercial collections attorney will help you collect these unpaid debts and help you get back on good fiscal ground. You may feel that hiring an attorney for this is an unnecessary added expense, but consider the alternative: continual lost income through nonpayment.
How Can a New Jersey Commercial Collections Lawyer Help While Not Damaging Important Business Relationships?
We understand that your company has important business relationships with many of these debtors. We often can help you collect the debt without litigation. It is important for businesses to identify early on those debtors that are likely to fall behind. A New Jersey commercial collections attorney will assess your business and its debtors to help make this determination and create a plan for handling unpaid debts.
It is commonly assumed that most debtors who fall behind on payments will do whatever possible to avoid paying. While there is always a percentage of debtors who fall into this category, but during these uncertain economic times often it is the case that they are simply struggling to pay. Offering them a restructured payment plan may help.
What Kinds of Debt Does a New Jersey Commercial Collections Attorney Help With?
We can help you collect all types of commercial debt, including:
- Open accounts;
- Contractual obligations;
- Insurance subrogation;
- Leases on real estate;
- Technology-oriented debt; and
- Equipment leasing.
What Is the Process a New Jersey Commercial Collections Attorney Will Use?
We will conduct the process of collections from initial demand letters to litigation. Our New Jersey commercial collections attorney will generally begin with letters of initial demand, and then follow with legal action if the debtor fails to respond favorably. We will attempt alternative means, such as mediation, before taking the matter to trial.
Our services include:
- Attaining of judgments;
- Wage garnishments;
- Bank liens;
- Foreclosure; and
- Post-judgment remedies.
What Advice Do You Have for Collection of Debts?
It is important to keep debt matters civil. It does not help to demean, threaten or harass debtors, and indeed, this can work against any hope of collecting without assistance from the courts. The following are suggestions on how to handle collecting of debts:
- Be direct but not aggressive. Let the debtor know that you are aware of the issue and are monitoring whether payment is made directly;
- Avoid harassing phone calls. Listen to the other party. They may be interested in making a good faith effort to repay the debt if you only give them a chance;
- Think outside the box. If the debtor in question seems genuinely interested in repayment, consider creative ways of helping them do so. This is especially important if your relationship with this individual is important to your business; and
- Begin writing demand letters when phone calls prove fruitless. Your collections attorney will tell you that these should be direct and include a time within which payment is expected.
A New Jersey Commercial Collections Lawyer Can Help
It is important for your company to have a plan for collecting debts. Whether your business is owed outstanding debts or you wish to be proactive in creating a plan for handling such matters, a New Jersey commercial collections attorney can help. Call Snellings Law, LLC today to arrange a consultation at 973.265.6100.