The Initial B2B Debt Collection Letter

In our recent article titled Five-Step Process To Dealing With Non-Paying Clients, one of the steps discussed sending a letter to your business debtor.  Preparing a timely letter can mean the difference between receiving payments due or not.  So here are some steps for creating an effective b2b initial collection letter:

1.       Be brief –Only include information that’s pertinent to the debt you’re trying to collect. The details you want to include would be the amount of the debt, the date of invoice, and original due date.

2.       Stay on point – There’s no need to go into a lengthy discourse on the matter. Be concise and cogent, using the first sentence to inform the debtor of the purpose of your letter.

3.       Personalize – When appropriate, your letter should be addressed directly to the individual responsible for their company’s accounts payables.

4.       Be understanding – Always keep in mind that you may not be aware of the circumstances contributing to why your debtor hasn’t paid you.  Encourage them to pay so as to maintain credit terms, or motivate them to take action with a follow-up phone call to kindly discuss their situation.

5.       Be professional – Most importantly, be professional. Maintain a respectful tone that reflects a desire not only to receive payment due, but also to maintain a good relationship with your clients.
There’s never a second chance to take a good first step. So be sure that your initial letter reflects a high level of professional regard, and doesn’t contain a disrespectful tone or unnecessary threats. Not only is it counterproductive to the business relationship, but it may also jeopardize your chances at getting paid in a timely fashion, or at all.

The Jayaram Law routinely and successfully assists its clients in their business-to-business (b2b) collection needs.  We take pride in obtaining payment on accounts receivables without fracturing critical business relationships or engaging in time-consuming and costly litigation efforts.

If you need business debt collection services conducted in a professional manner, contact our B2B (business-to-business) debt collection law firm by calling 312.454.2859 or visiting