Hire Best Collection Agencies in Arizona

Small businesses in Arizona who provide services on credit will eventually have customers who fall behind with payments.

How a small business responds to the delinquent accounts could be the different in literally thousands of dollars.

If you are wondering, “How the heck do I hire a collection agency”? No worries, we have you covered!

Below we will discuss how to find a collection agency that can assist you in recovering the money owed and help you understand how much a collection agency charges.

Here are some important details to consider before hiring a collection agency in Arizona.

1. Licensed and Bonded– Arizona has strict licensing requirements for a collection agency to operate in the state. Confirm a collection has the proper state license before allowing them to represent your business.
2. Tenure– How long has the agency been in business for? Most collection agencies will disclose this information in the introduction e-mail or on the company website. A collection agency that has a long track record typically means they are trustworthy and successful at recovering debt.
3. Recovery Rates– An Arizona collection agency should be able to provide an average of successful collections. This number gives you a general idea of how effective the collection agency is but specifics such as size of balance, age of accounts, and your companies unique industry will affect outcomes as well.
4. Customer Service– Nothing is worse than e-mails and phone calls going unanswered. Make sure the collection agency is prompt with answering any questions you may before hiring them. The collection agency will typically assign an individual rep to your account to handle all of your needs.

After you have gone through those four important details, you should be ready to hire any Arizona collection agencies that meet those criteria’s.

Before you make a selection, you need to also understand how much debt collection agencies charge.

How Much Does a Collection Agency Charge?

This question comes up in nearly all conversations when a business is considering hiring collection companies in Arizona.

Collection agencies will normally work on a contingency rate.

The collection agency will keep a percentage of all money collected.

If a collection agency is unable to collect a payment, the business owes them nothing.

For example, let’s assume AZ Painting Company LLC has 5 customers past due that owe a total of $8,000.

The painting company hires a collection agency to collect the debt on a 25% contingency rate.

The collection agency is known for being the best construction collection agency so the results should be solid.

The collection agency is able to successfully recover a total of $5,000!

The Painting Company will receive a check for $3,750!

The collection agency keeps $1,250 for the quality collections provided.

This is a win-win situation for both the painting company and the collection agency. Instead of writing off the bad accounts, the painting company can now invest the $3,750 into growing the business further in the future!

Perks of Hiring Local Collection Agencies

Using a collection agency located in the same city that your business is located helps provide a level of trust and comfort. The business can easily setup a face to face meeting so that communication isn’t only limited to phone or e-mail.

Hiring a local collection agency also gives an edge on collection performances as the debt collectors in Arizona have a firm grasp on the current economic conditions. Plus, debtors are put at ease when they hear a local dialectic on the phone rather than a boiler room based in India.

For example, if someone owns a Trucking company in Phoenix, hiring a collection agency in Phoenix Arizona would be the ideal fit.

It could be possible they can’t find a Transportation collection agency within the Phoenix area.

They could contact a collection agency in Tucson that has deep knowledge of B2B collections within the Trucking & Transportation industry.

As long as it is within the same state with experience within your industry then the collection agency in Tucson AZ will be a great fit and likely will be able to deliver top notch results!

Looking for a debt collection service for small business can be challenging and possibly have you feeling overwhelmed.

No worries, CollectionAgencyMatch.com can take the worries away!

We match you with a professional collection agency based on your location and type of business.

Get a risk free quote now!