How do you determine how many people are needed to staff your collection department in order to achieve maximum recovery on receivables? Some may use the number of receivables as a guide, others, concentration using the 80/20 rule.
We suggest considering the following when staffing your collection department:
- The types of controls in place,
- The average balances owed,
- The number of accounts,
- Days out,
- Internal process for collections,
- Credit terms
- The billing process,
- Cost per collection staff,
- Expected/Actual return from collectors/staff,
- Cost to outsource and
- Cost benefit analysis.
If you need help collecting your receivables, streamlining your collection process or are thinking of outsourcing your collection department contact Frank, Frank, Goldstein & Nager, P.C.
FFGN, is a New York law firm devoted to the prevention and collection of bad debt. To learn more about our practice, contact email@example.com.