Every company, small, medium or big that is in the financial sector b2b debt collection agency always has 'receivable income' in the form of dues owed by customers. If you look at an Annual Accounts Statement there is likely to be a column denoting 'bad debts' or pending dues. Some of these amounts may be recovered, some not at all, or through long-winding legal procedures that can stretch through many years. The international accounting firm Pricewaterhouse Coopers (PwC) estimated that in the mid 2000s, external collection agencies recovered debts to the tune of $30 billion annually. This is a whopping amount!
In such cases, companies may either deal with receivables through internal mechanisms or outsource the collection of such amounts owed, to external collection agencies. These are third-party commercial collection agencies contracted by the company to use the skills and resources that the agency has in recovering the amounts due. Such an agency is called a Debt Collection Agency. These agencies are governed by the regulations of the Fair Trade Debt Collection Practices Act and so they have the knowledge and the expertise of the do's and don'ts associated with the collection of debts.