There is no doubt about it – collections is an integral service within your business. It is a strategic and scientific process that is paramount to the success of any individual studio or growing franchise. The FCS collections process is driven with the intentions of shifting your clients into creating good financial habits and helps strengthen the payment culture among them. This process also helps generate steady revenue for your business since you can convert chargebacks and past due accounts into income.
If you’re like most business owners, I am willing to guess that keeping your recurring billing in-check is one of the most time consuming, costly and difficult parts about running your own studio. This is the same whether you operate 1 studio with 20 members or 20 studios with thousands of members.
As your business grows and you are required to attend to other critical areas within your daily duties, I commonly find that the most painful errors that begin to present themselves lie within properly managing billing, like delinquency. Which is why it’s helpful to work in tandem with a company that can help take care of some the guess-work that is often involved.
What you want to look for:
Assessment: Look for a reputable company that conducts data scrubs and uncovers the type of client you’re dealing with.
The ability to credit report members: This will ensure that you have the choice if you wish to credit report based on the respective markets and your local competition.
Strategy: Remember, the objective is to sell the benefits of paying on time to take advantage of your valuable program offerings while creating a positive payment culture with the client.
Secure payment commitments: Look for a company that negotiates everything. This includes the when, where and the amount the client must pay. For situations where the debt is too much for the client to pay at the time, this company should be willing work with them to commit to reprioritizing payment.
Compliance: Look for a team that will operate with the highest levels of customer service on your behalf. These practices should never be aggressive or abusive with members. All calls with your customers should be recorded and stored as per requirement of the laws.
Nationally licensed and bonded in all US states: This means your credit services partner can handle collections, even if the member has moved out to a neighboring state or anywhere nationally.