Accounts Receivables Collections

This month we asked members about their accounts receivables collections. If you have an idea for a survey for CRA members, please send your request to CRA at Info@CalRental.org. 

1. What type of Rentals do you have?
Party Rental: 12% (2 responses)
General Tool Rental: 59% (10 responses)
Both General Tool and Party: 29% (5 responses)

2. Do you carry Account Receivable Balances?
Yes: 100% (17 responses)
No: 0 (0 responses)

3. Are they Qualified Accounts?
Yes: 71% (12 responses)
No: 29% (5 responses)
If yes, what is the percentage of total?
1. 100%.
2. <5%.
3. 99%.
4. 100%.
5. 100%.
6. 60%.

4. FORCED AR/Balance Dues?
Yes: 47% (7 responses)
No: 53% (8 responses)
If yes, what is the percentage of total?
1. 1% deadbeats that fail to pay balance on return or for damages.
2. 40%.

5. Can you run Credit Reports?
Yes: 44% (7 responses)
No: 56% (9 responses)
If yes, please provide a name.
1. BusinessIQ.
2. Experian.
3. BICA.
4. Experian.
5. Not any more, need a new company.

6. How do you collect on past due accounts? Check all that apply.
• Collection Agency: 56% (9 responses)
• Small Claims Court: 44% (7 responses)
• Private Company or Individual Local Source: 19% (3 responses)
• Just Write Off & Move On: 69% (11 responses)
• In House: 88% (14 responses)
• Other – Please indicate in Comment Field: 6% (1 response)
Additional comments:
1. Hit and miss. Seems there are NO long standing collection companies that our industry has used over the years. Needed.
2. California Mechanic’s Lien Law procedures.

7. Survey Ideas
1. Effectiveness of charging back for customer damages.