How to Recover Unpaid Agency Fees
How to Recover Unpaid Agency Fees
Unpaid Agency fees is a very common problem in the UK. One of the most important aspects of operating a business is getting paid for the services that you provide. Unpaid Agents fees can come in various forms from an Agent that has not been paid fees for their services to an Estate Agents that is owed commission.
In the modern world, many businesses are seeing an increase of Agent’s clients not paying what is owed. If part of your cash flow relies on agency fees being paid, it is critical that they are. Unpaid agency fees come under many guises yet they need to be paid whatever their nature.
Barclays reported that medium enterprises that were waiting on late payments rose to more than nine in ten (94%). This included many facing the prospect of unpaid agency fees up and down the country.
A reason for this is due to the number of transactions that are paid for after such services have been provided.
Many industries have adopted this nature of payment in recent years, with being paid upfront becoming a thing of the past.
In particular, businesses that rely on being paid through agency fees fall prey to this regularly. How an Agent deals with the problem is their prerogative.
Any agency that conducts a service on behalf of another business deserves to get paid. When clients fail to meet their obligations, this can present many financial difficulties that will affect cash flow.
If your business has not been paid for the hours you work, you need to take immediate action.
The Debt Recovery Process for Unpaid Agent Fees
Are you finding yourself asking the question of “I have unpaid agency fees, how do I recover these”? Agency fees can vary in size and can vary from industry to industry. Agency fees could come in the form of estate agents. Or it could be that a modelling agency has not been paid for commission due.
When a business faces a situation of unpaid agency fees it will directly restrict cash flow. Frustration follows and this can make Business owners feel like they are drowning in a sea of unpaid agent fees.
The stress that not being paid can cause is sometimes enough for business owners to abandon the debt completely. This is a sad reality and further demonstrates the need for a commercial debt collection solution for these matters.
At Federal Management, we understand how difficult it can be when agency fees go unpaid.
For this reason, we have produced this guide to help businesses that need to recover unpaid agency fees.
Your business may have heard every excuse under the sun in regards to why they cannot pay agency fees on time.
A selection of the most common late payment excuses we experience are:
- “We are in a financial position which means we cannot pay you.”
- “The person who deals with the payment is out of the office today.”
- “I was unaware the invoice had to be paid on this day.”
- “We are waiting until our clients pay before we can pay you.”
A level of leniency is needed when faced with excuses like this, due to their sensitive nature.
This should only be done for so long, however, as it may be a delaying tactic to not pay at all.
The Process of Recovering Unpaid Agency Fees
It is important to understand your client’s payment intentions before starting the debt recovery process.
For example, you might end up taking stricter action without knowing if the client is telling the truth. This could jeopardise the relationship with your client and impact any future business.
One way of understanding these intentions is to send a payment reminder to your client, stating any overdue amounts. In some situations, a simple reminder is usually enough to prompt payment from the debtor.
Should the client choose to ignore this, it will indicate to you that they are most likely not going to pay. When this happens, it is recommended that you take further action to recover the debt.
Getting the client to pay the fees that are owed may test your patience and leave you feeling without hope.
In reality, this is relatively straightforward and only requires a certain set of skills to be successful.
Federal Management has a demonstrated history of experience recovering agency fees for businesses.
Instruct Federal Management to Recover Unpaid Agency Fees
Using a debt collection agency to recover unpaid agency fees has quickly become the solution for many businesses.
Choosing a professional option will reduce the amount of time and money you spend on chasing the debt by yourself.
Federal Management is known as the leading commercial debt collection agency in the UK.
Since 2004, our levels of expertise and effectiveness have been unmatched across the industry.
We provide our clients with a low-cost service that boasts an average recovery rate of 90% and above.
If you are owed agency fees from a client, speak to one of our debt collection experts today.
Recovering Unpaid Agency Fees – FAQ
My business has unpaid agency fees, how do I recover these?
There are a plethora of methods available for recovering unpaid agency fees. The most effective one is by using a debt collection agency, such as Federal Management.
What is the debt recovery process for unpaid agency fees?
Once we have received all relevant information, our commercial debt collectors will provide you with a free pre-action appraisal. Our findings will outline how successful the recovery will be, based on its circumstances.
What information do I have to provide Federal Management?
It is important to provide us with as much information related to the case as possible. This can include anything from invoices, payment reminder emails, texts, signed contracts etc.
Will it cost a lot of money for you to undertake debt recovery?
Federal Management is the most cost-effective debt recovery agency in the UK. Our low-cost service is achieved by providing our clients with the lowest commission rates across the industry.
Our unpaid agent fees are from someone overseas, can you help?
We have helped many businesses recover money from clients in both the UK and overseas. Since 2004, we have built a strong network of experts operating across the globe.