Frequently Asked Questions

What is necessary to assign an account for recovery? An initial engagement letter is executed with our clients. Following, providing the contact information of your customer and the invoice(s) to our office will constitute an assignment.
Does it cost anything up front to assign an account for recovery? No. Collections and legal forwarding are done on a contingency basis. We only invoice our clients for what they are paid after assigning the account.
What is the remittance process for client payments? Our office instructs all payments directly to our clients by their preferred payment method. We do not accept payments on our clients behalf. We invoice clients only after payment is received for our fee.
Are expenses charged to clients? The only expenses charged to clients with collections are for the use of private investigators or to send an attorney demand letter. This is rare and always with the express written approval of our clients to engage outside services.
Do fees or expenses change if an account needs to be litigated? Yes. The contingency rate for collections is significantly less than the rate to litigate an account. As well, a retainer is required to file the lawsuit, equal to expected filing fees.
What approach is used to recover delinquent customer accounts? We pride ourselves on professionalism and customer service, both for our clients and their customers. Aggressive tactics are avoided in favor of our proprietary collection approach.

What are common consulting services provided? Most often, we work with clients to evaluate their present accounts receivable policies and implement changes that will reduce bad debt and improve cash flow.
What are the terms of a consulting contract? Consulting contracts are initially for a set amount of hours, determined to coincide with the goals developed during the free client orientation. The contract is payable 50% upon execution and 50% after completing half the contract hours.
What happens after the initial contract? Following completion of the consulting contract, Professional AR Solutions, LLC will remain available on an as-needed basis, billed at our present hourly rate. A discount is offered to consultation clients for ongoing services.

How could management services benefit your organization? These services are aimed at helping small to medium size businesses. Often, businesses cannot justify employing a full-time credit or collections manager. As a result, these tasks are picked up by individuals without expertise in the area. This leads to ineffective policies, aging accounts receivable, and uncollectible bad debt.
What are specific services provided? We are able to evaluate credit applications, generate invoices, then follow up at regular intervals for prompt payment. This includes reminder and demand letters, as well regular evaluation of the credit line.
How would this be presented to your customer? Management services are performed as an outsourced agent of your company. Invoices, emails, letters, phone calls, etc. will all be presented directly from your company. This is meant to give the impression you have a full-time credit and collections manager on staff.