A debt collection company at the service of your business

The economic crisis which has hit France hard for several years has not spared companies: payment deadlines are lengthening, which can weaken their cash flow. Indeed, to deal with unpaid debts and therefore avoid financial difficulties, recourse to cash becomes essential.

Fortunately, there are solutions to recover your debts more quickly . For example, it is possible to call on an amicable and legal recovery company, like Paris Contentieux, which has been assisting companies since 1999.

What is the mission of a debt collection company?

When a creditor encounters difficulties with a debtor, he can choose to send his reminders himself, but for optimal recovery , it is recommended to contact a company specializing in debt management.

Obtain payment of unpaid debts

The main mission of the debt collection company is to enable creditors to obtain payment for their unpaid debts. Indeed, it happens that a debtor is late in paying his invoices, which necessarily has a negative impact on the creditor's cash flow. The objective is then to obtain payment of unpaid invoices as quickly as possible, initially amicably, then with legal proceedings if the pre-litigation phase has not had the desired effect.

The collection company acts on behalf of its client. Thus, the commercial relationship is preserved between the creditor and the debtor. And as the recovery procedure is optimized, obtaining payment of unpaid invoices is much easier and faster than if the creditor had sent his reminders to the debtor himself.

A mission that goes beyond recovery

Very often, debt collection companies offer additional services to their clients.

This is the case of Paris Contentieux which provides the following services to companies:

• Client post management
• Bottom of portfolio management
• Audit and Training

Thanks to the outsourcing of receivables and bottom line management, companies gain efficiency, which has a positive impact on their finances. The audit, for its part, is a very appreciated service, because it allows companies to take stock of what is working and especially what needs to be improved in terms of debt recovery. Finally, the training offer is very relevant for companies that want to improve their understanding of the issues of credit management, risk management or the prevention of unpaid debts.

What does the recovery procedure consist of?

The recovery procedure consists of 2 phases:

• The amicable way
• The legal route

Amicable recovery

If a creditor finds himself faced with a debtor whose invoices have fallen due, he can initiate an amicable recovery . In the majority of cases, recovering unpaid invoices without going through legal proceedings works: sending reminders is often enough to call the debtor to order.

It is then appropriate to send:

• A first reminder by mail: a registered letter with acknowledgment of receipt;
• A formal notice by means of a bailiff or by means of a registered letter with acknowledgment of receipt.

It is imperative to keep proof of sending and receipt, because if the amicable recovery procedure is not successful, it will be necessary to provide proof to the court that reminders were indeed sent and received. Indeed, without this evidence, the legal procedure will be rejected by the judge.

Judicial recovery

The debtor ignores reminders or refuses to pay late bills? When the amicable route is exhausted, legal proceedings can be launched.

An order for payment must then be requested from the court. After examining the file, if the request is deemed valid, an order for payment with an enforceable title will be issued.

On the other hand, if the request is rejected, the creditor will have to find another way to recover his unpaid debts. Judicial recovery can then take other forms such as the classic summons to court or interim relief.

Please note: the legal recovery procedure can be long and expensive. It is therefore only appropriate to initiate the latter for debts of substantial sums. For small amounts, this is not necessarily interesting.

Why outsource debt collection?

For companies that use a debt collection company , the benefits are numerous:

• As recovery is managed by experts, unpaid debts are settled more quickly, which allows you to maintain strong cash flow and therefore consolidate your finances;
• Internally, employees can concentrate on their core business: this saves time and money, because it is then not necessary to train them and assign them the recovery mission;
• The customer relationship is preserved, because the debt collection company is not affected: the risk of conflict is then minimized.

Is your business facing numerous unpaid debts and are you looking for a solution to limit bad debts? Contact our debt collection company !

At Paris Contentieux, we have been supporting our clients in all their recovery procedures since 1999. Amicably or judicially, we will be able to find an approach allowing you to recover the amounts owed to you while preserving the commercial relationship with your clients.

Do you want to know more about the services offered by our debt collection company ? Would you like to know our methods for recovering unpaid invoices? Whatever your questions, contact one of our advisors: we will explain to you how the Paris Contentieux team will be able to support you on a daily basis.