What are Business to Business Collection Calls?

Collection calls in any business are to collect money that is owed to the business. In the case of business to business collection, it's one business calling another to collect debt owed to them. Some businesses make the calls themselves while others outsource that task or eventually sell the uncollected debt account.

In-House Business to Business Collection Calls

Businesses do allow other businesses to purchase items on credit or with credit terms. After the owed amount of money is not paid on time or insufficiently, the business that is owed the money resorts to collection calls in an attempt to get payment. Someone may be appointed that task specifically or it may be someone who has another role, such as a secretary. It often depends on how large the company is as to who does the business to business collection calls.

Outsourced Business to Business Collection Calls

Some companies are too large to do their own collection calls or simply prefer to outsource it. In other cases, the business has been unsuccessful at their own collection efforts and need a knowledgeable and successful agency to do it. These companies specialize in debt collection and are well trained with high-response tactics to accomplish it. They manage delinquent accounts for as many clients as they can manage and may receive a percentage of the delinquent debt on accounts they successfully receive payment for.

The Collections Business

At some point, a debtor may give up on collecting the debt or may wish to liquidate it for cash. This is the secondary money market. A collections agency agrees to purchase blocks of delinquent accounts for cash, then pursues the delinquent businesses on their own.