Create a Collection Letter for Past Due Invoices for Customer Support with Ease

Collection letter for past due invoices for Customer Support

[Music] hello everyone thanks for tuning in i'm emily the home bookkeeper and on this channel i help business owners and fellow freelance bookkeepers navigate the ever-changing quickbooks online while also sharing insightful videos on all things business ownership and finance you might hear my kiddo in the background but in today's video i am going over the process of sending a client to collections as a service based entrepreneur every now and then i'll get a scammy client who tries to gain services rendered for free not often does this happen but yes it does recently i had a real estate investor from arizona try and fail to dispute her invoice payments and currently i have my longest past due client in collections a contractor from salt lake city utah she will most likely be filing bankruptcy and the collection will be consolidated in that which is a bummer but her financial situation was too far gone before she reached out to me for help anyways bankruptcy will be covered in another video in the future though make sure you are subscribed so you don't miss any future uploads what you'll need to send a client to collections when you have an overdue invoice you are ready to send to collections there are a few items the collection agency will request from you the debtor's name whether an individual or a business the debtor's address the debtor's phone number the amount owed the date the debt was incurred and an invoice or statement to validate the debt typically when you send a client to collections they will notice the phone calls or get a credit alert and either reach out to you directly to settle their invoice or the debtor will collect and you will have to share a percentage of the recovered funds with the collection agency no one wants to see debts on their credit report as this limits their ability to access credit use services and utilities take out loans etc so if they are smart they will see this and they will want to settle it immediately however sometimes they try to dispute a collection this is why it's so important to have a well-detailed and signed contract or consulting agreement a credit card authorization form and a statement of work form before any work or services are provided also if you're a bookkeeper make sure to run all of your invoices through your quickbooks online accountant profile this saves the invoices electronically in your sales history allowing you to download and print if you ever needed to when you send invoices through qbo accountant you can check a box that sends a copy to your email as well as to your clients this creates a digital paper trail making it harder for your dishonest client to win their collection dispute i will leave a link to a customizable version of my consulting agreement credit card authorization form and statement of work form below for you to edit and use in the efforts to protect your own practice for more business resources my online self-paced home bookkeeper masterclass supplies gadgets must-haves and more make sure to check out edjconsultinggroup.com backslash resources and of course like this video subscribe to my channel and turn on bell notifications so you'll never miss an upload for even more content feel free to follow me personally on instagram emma dawn and connect with me on linkedin if you need more assistance personalized one-on-one entrepreneurship coaching business development services or bookkeeping and payroll management feel free to email or visit edjconsultinggroup.com my firm is fully inclusive and ready to help you along wherever you may be in your entrepreneurship journey [Music] you