Businesses with clients and debtors from Manhattan to Hoboken to the Jersey Shore and Long Island should show understanding and good will when working with those affected. Some are shut down. Most are struggling to get by. Operating in hard hit areas is a daily challenge, noted one commercial debt collection firm. The havoc wreaked on recovery and cash flow will take time to recover.
“Commercial collections in times of natural disasters like Superstorm Sandy create the perfect storm of debt recovery,” said Robert Cooper, CEO of Johnson, Morgan & White, a Boca Raton, Florida, recovery firm specializing in business-to-
Cooper offered the following advice to clients facing debt recovery after a natural disaster:
First, if you work with companies in the affected area, reach out to see how their recovery is progressing. Ask what they may need. Let them know you’ll be extending some leniency to their commercial debt obligations.
Next, if you’re based in an affected area, reach out to all your debtors. Tell them your business still is functioning. The more contact a business can keep with its clients or debtors, the more “normal” AR will stay and cash flow will be.
Finally, no matter where you or your customers are based, keep collections current in good times. Allowing accounts receivable to grow stale opens the door for crisis should an emergency occur. Immediately address accounts that have grown delinquent. If needed, hire a commercial collections or debt recovery firm as soon as payment terms have been broken.
“Debt recovery is an ongoing process that requires diligence in good times and understanding during tough times,” Cooper said. “Following a natural disaster, businesses – like people – suffer. A little grace and good will can go a long way in ensuring economic recovery.”
Johnson, Morgan & White is a commercial collections and corporate debt recovery firm offering customized services to match a diversified clientele. Based in Boca Raton, Florida, the firm targets its clients’ corporate and small business debtors, selects the right tools and techniques to match each client’s unique situation, and recovers what’s rightfully theirs. Learn more at www.jmandw.com or call 561-241-2500.