Hi guys, chasing debts under $300 sucks but given it is a perennial problem for small businesses, I hope this helps you all:
Do’s:
– Contact the customer the moment it falls due
– Be persistent and don’t give up if they aren’t responding. The last thing you want is them telling their friends that you don’t pursue small balances
– Use reverse psychology. Instead of asking them to pay, ask them if they have any intention of paying or not as you don’t have the time to keep chasing such a small amount
– Get them to pay at least $50 that day as a show of goodwill
Don’ts:
– Discount the debt. This is a huge no no- it diminishes your brand, makes you appear desperate and lessens the chances of them actually paying. Remain steadfast.
– Sue them. It’s not worth it guys honestly, even in small claims.
– Sound desperate. Even if you are, make sure they think you are pursuing it out of principal, not because you need the money
Hope this helps guys.
Cheers