C2C Resources Releases Bad Business Debt Timeline in Response to Business Summer Slump

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Licensed commercial debt collection agency C2C Resources released a bad business debt timeline for companies struggling through the seasonal summer slump.

bad business debt

Past-due accounts result in bad business debt. C2C Resources suggests following this timeline to increase a business's cash flow.

To overcome [the ripple effect], stick to a schedule when invoicing customers and following up on past-due accounts.

C2C Resources, a leader in commercial debt collection across the United States, released a bad business debt timeline today to assist companies who are struggling through the seasonal summer slump.

With employees often taking leave for family vacations, the summer months typically result in a delay in sales and productivity. Many businesses also feature season products and services such as pool supplies, AC repair and summer tourist town attractions. C2C Resources believes B2B and B2C companies of all sizes struggle from the summer slump.

“Unfortunately, while your business may have forecasted a decreased cash flow in the summer, there are other businesses that do not, and many could be your customers,” explained Todd Tinkler, President of C2C Resources. “The ripple effect can easily occur once this happens. To overcome it, stick to a schedule when invoicing customers and following up on past-due accounts.”

The company released the following timeline to help companies decrease bad business debt by establishing credit and accounts receivable policies.

Day 0: Send the invoice to the customer.

Day 15: For new customers or large invoices, place a pro‐active call to confirm the customer has received the invoice. Always verify that the shipment was received and the order was correct. It is a good way to avoid a dispute later.

Day 35: Depending on the payment agreement, send a past-due reminder notice.

Day 45: Send a past-due follow up notice on smaller accounts and make initial past-due calls on larger accounts. If time permits on smaller accounts, a call is better than written communication at this stage.

Day 55: Move forward with the initial past due call or follow up call depending on the action taken on Day 45.

Day 65: Send a termination of credit notice or a 60-day demand notice to the delinquent customer.

Day 80: Call the client with a final demand for payment.

Day 90: Send a final demand notice.

“After 90 days you need to turn to a third-party agency for help,” said Tinkler. “Don’t risk losing the chance for payment. The longer you wait, the harder it will be.”

About C2C Resources:
C2C Resources is a global Commercial Debt Collection agency headquartered in Atlanta, Georgia. The company collects commercial debt on behalf of their over 25,000 clients and is considered one of the top agencies in the country. The executive team at C2C brings more than 60 years of experience helping businesses collect their accounts receivable.

C2Cs powerful combination of Profit Maximizer, InfoMax Collection System, and Legal Forwarding Edge, can help your company be more effective with your own in-house collecting and maximize recovery of accounts turned over for collection.

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Trey Cefalu
C2C Resources
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