bob – the builder (part 7)

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bob – the builder (part 7)

this is part 7 of a live Case Study. click on the picture for the full story bob – the builder is a real, live Case Study. I am recording what does or doesn’t happen so that you can see the thought processes behind an effective collection strategy and how the three principles of effective account collections are applied in real life.

To see all of bob – the builder as it unfolds/unfolded click here.

 

 

Part 7

Monday, 02 March 2009
Success! The next $10,000 received.

This email was received by Bob as a result of the email we sent on Friday, 27 February.

Hi Michael,

Please refer to my fax sent this morning to the number below.
The short month crept up on me.

Regards,
Jane (Dave the debtor’s wife)

——————————————

09/03/09
After confirming the money was now in cleared funds and waiting a few more days – timing is important – we sent this short email to Dave’s wife

Hi Jane,

Thanks for last month’s payment.

The balance remaining is now down to $40,000
now that interest is suspended.

The next one will become due in three weeks,
on Friday, 27 March.

Regards,
Michael Todd

——————————————

What should we do now?
Nothing, until just before the next due date. Just as we did in part 5 of this series.

Points To Note
It looks like Dave has allocated future payments of this debt to his wife. That’s a very good sign. If he did not intend to pay the rest he would not have done so.

So, what do I expect to happen now? I think the next payment will be made just before the due date. Why? Because, generally speaking, people don’t like to be contacted about overdue accounts. They like to save face.

Bob the Builder (Part 8)

By | 2017-09-20T13:04:20+00:00 March 11th, 2009|case studies|0 Comments

About the Author:

Have you ever wondered why a client does business with you and then ignores your invoice like they had no intention of paying it in the first place or they treat you like their own personal line of credit, leaving YOU dangling, waiting months for their payment? Unfortunately this situation is all too common and can even be puzzling for the most experienced business owner. If you’ve ever had to handle outstanding accounts or you are just so over non-payers, then we can help. Real-world skills, solutions, tips & strategies to get more accounts paid on time, and, most importantly, how to maintain customer goodwill while keeping YOUR cash flow in the positive. You will find the blog posts helpful but to get real results, contact us by using any of the forms on this site, by email or by phone. I’ve been involved in the management of accounts for over 30 years, heard every excuse in the book, can spot a non-payer at 20 paces. Finance Companies in the 70s (systematic, tough), professional firms in the 80s (no systems, too gentle) and, since then, just about every other sort of business you can think of. I’ve written books on the topic, spoken all over the place about it and the blog in this website is my way of “giving back”. I hope you find it helpful.

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