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Accomplishing More With Less
Payroll and collections…What do these two processes have in common? Though routine tasks, both require a lot of detail and attention. Both are tasks that never go away, regardless of the economy or circumstances. And both are tasks that are time consuming, eating up hours of an employee’s time that could be better spent focusing on customers’ needs.
So how do you free up time spent on lengthy tasks? How about outsourcing? Both payroll and collections, among other things, are ideal candidates for being outsourced, and the option can be a great solution for businesses, especially when time spent on these activities is limited.
In an economy like we have today that is taking its toll on nearly all businesses, outsourcing can be a lifesaver. The lack of cash flow can cause a shortage in human resources. With fewer employees to handle the same or even larger workload, the reality is that employees these days are doing more than what their job descriptions include. Often times, that extra work takes away from not only the employee’s daily responsibilities but inhibits their focus on business growth. If businesses want to survive in this economy, it means embracing help today.
Companies that currently outsource tasks have made at least the first step to saving time and money. Following through and using the outsourcing agency to its full potential is crucial. For example, a company that chooses to outsource its payroll will see better results if they continuously update their employees’ data, keep their data organized using an appropriate accounting program, and have a schedule they stick to for sending data to the agency and distributing paychecks.
Likewise, companies that choose to outsource their collections to an agency, such as Transworld Systems, will see better results the more they stay on top of updating their customers’ contact information and if they have a consistent schedule of submitting past-due accounts. Submitting accounts early, between 30 and 60 days past-due, normally produces a better recovery than submitting accounts that are 90 or more days overdue. Also, using Transworld Systems’ full line of services will allow them to collect to their full potential. If Phase I alone does not work to collect on an account, choosing to use Phase II or First Party/Third Party services may make all the difference in collecting a past-due account in full.
The Benefits of Outsourcing
According to allbusiness.com’s article entitled “The Benefits of Outsourcing for Small Businesses”, there are seven major benefits to outsourcing:
- Control capital costs
- Increase efficiency
- Reduce labor costs
- Start new projects quickly
- Level the playing field
- Reduce risk
- Focus on your core business
The last benefit alone is a great motivator to start outsourcing work. If employees and managers have more time to focus on their core business, they’ll have more time and attention to focus on customers and create strong relationships that could enhance success and growth.
So what’s the easiest task to start outsourcing? Payroll is an easy task to outsource because it’s a consistent, scheduled task. Collections is another easily outsourced task that can save time and money. Rather than have your employees spend their time creating and mailing statements and making follow-up phone calls for your past-due accounts, outsourcing to a profit recovery agency such as Transworld Systems is a more economical option delivering a flat fee per account and allowing your employees to focus on growing the business.
According to the Dartnell Institute, the average cost of working an account internally over a six month period is $31.60 per account*. If you compare your business’ internal collection procedure, how does your cost measure up?
If you add Transworld Systems’ GreenFlagSM Profit Recovery service to your collections procedure, you can continue your own in-house process but rather than spending all the extra money and time each month you have to follow up on past-due accounts, just have Transworld do all the work for you. Or, cut out the majority of the time it takes to collect on past-due accounts in-house and outsource the entire process to Transworld Systems for a low flat-fee cost per account. Just upload your data to Transworld in one easy click and save the $31.60 per account it can take to collect on your past-due accounts.
Isn’t it time you start saving and outsource some of your time consuming tasks? Aside from saving money, you’ll have more time to focus on your customers and growing your business.