About Startup Costs
The startup costs provided in this database include an approximate financial investment that will be needed to start the business. This is generalized information and should only be used as a yardstick to determine business startup costs. Your investment will vary based on factors such as equipment, transportation, licensing and permits, operating location, working capital and initial marketing and advertising budgets. Remember a successful entrepreneur is one who carefully researches and plans every aspect of a new business venture, including the financial investment needed to start a business and the working capital required to achieve positive cash flow.
Business At A Glance
Collection Agency
Startup Costs: $2,000 - $10,000
About
Home Based: Can be operated from home.
Part Time: Can be operated part-time.
Franchises Available? Yes
Online Operation? No
It's a tough job, but someone needs to do it.
Business Overview
If you have had past experience in the field of debt collection, then a logical new business venture for you to start is a collection agency operating from a homebased location. Generally, the duties of a collection agency focus on collecting financial debts typically owed to a company or business in a nonharassing manner and utilizing the telephone and official sounding letters as your main debt collection tools. Securing clients for the service is extremely easy, due to the simple fact that you will not be paid for your service unless you are successful in collecting the debt owed. Rates for the services are based on a percentage of the amount of money that is collected, and the longer the debt has been outstanding, the higher the fee charge to collect the debt. Typically, a 25 percent fee would be charged on successfully collecting debts that have been in arrears for up to 180 days. Beyond 180 days the fee could increase to as much as 50 percent of the total debt collected.
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ACCTCORP Int'l.
Collection agency