Effective Debt Collection Strategies

Learn skills and strategies to improve customer debt recovery
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4 students enrolled
Instructed by Zanette Phillips Business / Finance
$40
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  • Lectures 16
  • Length 1.5 hours
  • Skill Level Intermediate Level
  • Languages English
  • Includes Lifetime access
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    Available on iOS and Android
    Certificate of Completion
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About This Course

Published 11/2015 English

Course Description

Skills and strategies to improve debt recovery

Small Business Owners:

  • Wouldn't you like a strategy to reduce your current debt?
  • Wouldn't you like a strategy to manage your ongoing overdue customer invoices?
  • Wouldn't you like to streamline your office procedures and save money?

"Effective Debt Collection Strategies" is about controlling the activities of debt collection with systematic strategies so your customer knows you are serious about the credit you provide and you want to be paid by due date?

My Experience to Deliver this Course

I am a business manager, qualified trainer and small business owner. My background has been in office administration and then business management for over 25 years in 20 different industries. Cash flow control and cost management in addition to accounting, budgeting and debt collection has been my strengths. So I would like to share my knowledge and experience with small business owners to increase their recovery rate of customer debt.

What You Will Learn

Skills and Strategies to improve Customer Debt Recovery

Cost of Running a Ledger

  • Why don't customer pay? You will learn some reasons?
  • The cost of running a debtor's ledger.
  • The cost to the business to write off a sale.


Evaluating Office Procedures

  • Evaluating office procedures to identify inefficiencies. A detailed a Debtor's Ledger Health Check Questionnaire is attached to the course resources to assist in the evaluation.

Policies and Procedures

  • The importance of policies and procedures in a business
  • Which are the important policies needed to manage a ledger?

Strategy to Reduce the Current Debt

  • Evaluate the current customer debt and using a strategy to reduce it.
  • Clean up the old ledger so you have a manageable system.

Step by Step Advice and a Strategy to Manage Overdue Invoices

  • Process invoices, payments, credits, complaints and reports
  • Use the overdue invoice strategy
  • Deal with customer excuses
  • Run customer debt monitoring meetings with an agenda
  • Use a detailed phone call script to give callers confidence

What am I going to get from this Course?

For Everyone:

  • Learn how to control customer debt, reduce your stress and save money
  • Many forms and templates such as:
  • Debtor's Ledger Health Check Questionnaire
  • A Phone Script - for people who are uncomfortable making collection calls
  • Collection letters
  • An agenda for meetings
  • Payment installment agreement
  • The Strategy to reduce the current debt

For Small Business Owners in Particular:

  • Debtor's Ledger Health Check Questionnaire
  • A Strategy to reduce the current customer debt
  • A Strategy to proactively manage the ongoing overdue invoices

For Current and Future Bookkeeping, Accounts Receivable and Administration employees and students:

  • Efficient methods of controlling Customer debt
  • Ways of dealing with customer excuses
  • Ways of streamlining your office procedures

Join me in the course

I am sure you are like most people who go into business; you are doing it to make money, and you feel you need to give credit to make sales. Debt collecting costs you money. So let's give you a new strategy of running your business, so you can reduce that cost considerably and keep a good relationship with your customer.

What are the requirements?

  • Students should have a basic knowledge of bookkeeping and accounts receivable.

What am I going to get from this course?

  • Collect overdue customer invoices more effectively with new skills and strategies
  • Be able to use the Debtor's Ledger Health Check Questionnaire to assess their office procedures and identify gaps in the system
  • Be able to use the strategy to reduce the current customer debt and made decisions on old outstanding invoices.
  • Know how to use the overdue invoice strategy and contact customers in a systematic way using the overdue invoice strategy
  • Know when to make the first phone call or send the right letter out to the cusotmer
  • Use a phone script and have confidence and the knowledge of all the questions to ask an overdue invoice customer all the questions to get prompt payment

What is the target audience?

  • Small and medium business owners will learn how to collect customer debt more effectively. They will achieve this by by assessing their office procedures and reducing their current customer debt with the step by step strategy in this course.
  • Bookkeepers and Accounts Receivable employees will learn effective debt collection strategies to enhance their current skills.
  • Students in office administration course will gain extra employment skills from this course.

What you get with this course?

Not for you? No problem.
30 day money back guarantee.

Forever yours.
Lifetime access.

Learn on the go.
Desktop, iOS and Android.

Get rewarded.
Certificate of completion.

Curriculum

Section 1: Introduction
03:02

Introduction of the topics in the course such as rules and strategies, how to avoid legal action and the importance of following up on overdue invoices

02:38

A detailed discussion of the benefits of the course such as saving money, an efficient system and the control of engaging a strategy in debt collection

04:42

In this lecture reasons are listed of why customers do not pay and a case study in the consequences of cash flow mismanagement

Section 2: Cost of Running a Ledger
03:38

The various activities required to manage an efficient ledger are described and the cost of labour in collection activities is expalined

07:22

The costs of writing off a sale and the consequences of that write off are discussed, what sales are needed to be generated to break even. Spreadsheets are used to demonstrate these costs and the hidden costs revealed.

1 question

Cost of running a ledger include

Section 3: Office Procedure Evaluations
06:59

This lecture discusses improving office procedures and what you should do to assess the current state of the office processes. A case study is presented to demonstrate the importance of everyone following correct procedures.

Section 4: Policies and Procedures
04:15

Introduction to Policies and Procedures and why they are important to a business. What is a policy and what is a procedure and why a business should have a Credit Policy and Management Plan

Section 5: Currency of the Ledger
06:25

This lecture describes the step by step strategy to reduce the business current customer debt and bring the ledger under control.

Section 6: Debt Collection Activities
06:21

Efficient debt collection requires the ledger to be up-to-date. This lecture explains the activities required to keep payments up to date, complaints kept to a minimum and the sort of detailed reports that should be produced.

Payments
1 question
04:57

for the customers who do not pay by due date, there is an overdue invoice strategy. This strategy includes how to use collection letters and when to make contact with the customer. Also included the installment payment agreement.

04:51

This lecture lists various common customer excuses and how to deal with them. There is also a list of other excuses in the resources of the course.

03:35

Meetings to monitor the customer debt are an integral part of monitoring overdue customer invoices. An agenda template is included in resources of this course

Complaints
1 question
06:08

There are 6 basic questions in the phone script. This lecture goes through the preparation before the phone call to the customer.

10:48

Each question is discussed and advice is given on what to say and further questions to ask the customer in order to get the answer of when payment will be made.

04:17

Cash flow problems: how to recognise a customer has cash flow problems and what you can do about it and delinquent debtors.

Section 7: Conclusion
02:17

A list of 10 ways to control customer debt and a list of targets for improving business practices.

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Instructor Biography

Zanette Phillips, Business Trainer

Zanette Phillips is an entrepreneur, business manager, qualified trainer and small business owner. She currently the owner and manager of Biz Skills business training based in Cairns, Queensland, Australia.

Her background has been in office administration and then business management for over 30 years covering over 20 different industries. Cash flow control, cost management in addition to accounting, budgeting and debt collection has been her strengths.

After completing a training qualification in 2003 she designed and delivered training courses in debt collection born out of concern for many small business owners trying to manage their cash flow. Zanette believed there had to be a more active proactive way of approaching the problem of customers not paying their accounts by due date and founded Biz Skills in 2012 to develop a course that would deal with the whole system encompassing accounts receivable, policies and procedures and evaluating office procedures plus good advice so the small business owner could learn strategies to be proactive and take control.

Her qualifications include a diploma of accounting and certificates in small business management and quality assurance management. Zanette has recently written a book 'Don't Let Your Customers Run Your Business' which is available on Amazon.

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