When debtors refuse to pay the owed money on time, it can affect your cash flow and operations. Managing the affairs of your business in New York comes with inherent risks, but dealing with stubborn debtors is often the most challenging part. In this post, we are discussing some of the common circumstances when you need a New York collection attorney.
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#1: You don’t have a separate collections department
If yours is a small company, you probably outsource accounting work to a CPA. Having a separate collections department is not feasible for many businesses, and if that’s the situation for you, consider having an attorney deal with unruly debtors. The step becomes even more critical when your business is growing and has a longer list of clients who refuse to pay.
#2: You had hired an agency but didn’t get the results
There are debt collection agencies that specialize in recovering money, but there is a limit to what these firms can do. If you tried using collectors to contact debtors but haven’t received the response you expected, you have to get an attorney. Also, these professionals often use unscrupulous tactics and means to get the work done, which can impact the overall reputation of your company. If your debtor list includes high-profile individuals with a strong desire to stay away from creditors, you cannot expect an agency to do the job.
#3: Your debtor is no longer traceable
Many debtors do their best to avoid contact, and in some cases, people have common names. If you cannot trace an individual to send them reminders or when someone claims that they don’t have any assets but are concealing facts, you need a collection lawyer. Lawyers know what it takes to find people through tools and private contacts and can initiate an investigation to find difficult-to-find parties.
#4: When legal action is imminent
You have to contact a collection lawyer when there is no other option but to go to court. Legal action requires experience and expertise, and only a law firm specializing in the task can offer the support you need. A local lawyer will know the legal system and can navigate the various strategies and steps that can help get the money owed to your company.
Check online to find local collection lawyers near you in NY and meet a few to get claim assessments, for which you will only pay a nominal fee.
