What Does ‘No Recovery No Fee’ Mean?
It is inevitable to have some questions when it comes to work with a contingency fee. In this article, we do aim to answer these questions and clarify our pricing model which is No Recovery No Fee.
- What do you expect from a debt collection agency in Turkey?
- Only to recover your receivables from Turkish debtors or also to provide customer retention while doing so?
- How much money will you pay to get your money back?
- Will it cost too much for you? Do you need a local partner in Istanbul who can provide prelegal debt collection services on a risk-free model?
Let’s start with the basic principle of working with ‘No Win No Fee’ model. You pay nothing until there is a debt recovery. We understand the stress of uncollected receivables or bad debts. It certainly creates pressure on creditors. For this reason, we provide the supportive atmosphere you need and proceed with the utmost care.
Since we start working on debt collection cases without asking any fee in advance, we constantly concentrate on giving the best possible success rate to our international clients. We provide our best support to help you pass through difficult times as harmlessly as possible when you need debt collection services in Turkey.
We do not want our customers, who already have difficulties in cash flow, to get bored with long debt recovery processes, unknown results and high costs. Instead, by understanding what the problem is and focusing on the solution at the earliest, we enable our international customers to earn money.
We understand that you do not want to make an additional payment and pay for an unknown result. Instead of facing the possibility of losing more time and money, we want to help you with our professional debt collection team who are native Turkish speakers and fluent in english. Together with you, we design the most suitable action plan to minimize your risks on your behalf.
Here is An Example of Our Commission Calculation
If a Turkish company or individual owes you 50.000 EUR, we request you to provide supporting documents to let us review them at first. Then we share our commission offer which depends on the age of the debt, evidence and the location of the debtor.
Let’s say the day you contacted us, it has been 120 days since the invoice date. This is a relatively young case compared to 1 year old or 2 years old debts. In this example, let’s assume our commission offer is %10 commission. Once we make an agreement with you about our prelegal debt collection services, we take action within 24 hours and start with investigating the Turkish debtor. Within 2 working days after our assignment, we send a case specific demand letter in Turkish by email, post and fax (if available).
We start the collection calls within 7 days which is the deadline for payment. If the debtor pays 10.000 EUR, you pay us only %10 of the collected amount and in this scenario, our service fee is 1.000 EUR. In other words, our service fee becomes payable only after the debt collection and from the recovered amount from the Turkish debtor. If the debtor makes an additional payment of 20.000 EUR, then our next commission invoice will be 2.000 EUR. If the Turkish debtor pays nothing, then you do not have to pay anything for our services.
Of course, we are more eager than you to collect the maximum amount in the shortest timespan. However, sometimes when Turkish debtors claim to experience financial difficulty, we may ask for a goodwill payment or negotiate for a payment plan with installments.
We Are Confident in Our Abilities and Act Accordingly!
As ARS Consultancy, the first international debt collection agency in Turkey, we support you in the field of Receivables Management in Turkey and in any country around the world. As explained above, we do not charge you any fees or expenses unless the debtor makes a payment to your bank account. We do not hold our international clients responsible for any other costs if there is no debt recovery.
We do take the risks for you in our works that we have been carrying out with the principle of No Recovery No Fee. Since 2011, ARS Consultancy conducts its prelegal debt collection activities in Turkey professionally, with the aim of minimizing its client’s losses.
Our Commission Rates Depends on What?
It is clear that the older the debt, the less collection capability. When it comes to international debt cases in Turkey, the delay of our assignment of a specific case may also make it difficult to recover the debt before legal action. Therefore, our commission rates increase up to %20 or %30 if the case is older than 1 year old. Because of this, our assignment of a case without delay is highly important in order to agree on a lower commission rate.
Please be noted that, our success rate for cases younger than 1 year, is %78!
We wish you to be part of this success framework. With our professional business principles, as your collection agency, we provide you an effective and fast debt collection with the right, ethical and lawful interventions. And all of them are presented to you on a risk-free model.
We love our job and that explains most of our high debt recovery rates in Turkey. Providing a meditation between a foreign creditor and a Turkish debtor supports our motivation.
ARS Consultancy is just one phone call away to provide you the assistance you need. Call us now +90 212 296 9147 or use the online chat box to get a free consultation. You can also reach us by email.
We are here to collect your receivables in Turkey and ready to offer best commission offers for our prelegal debt recovery which is NO RECOVERY NO FEE. As we said in the beginning, time is money and leave the debt collection process to the experts to save both time and money.
Çagla Çevik | Director of Turkish Affairs