Making a photocopy of payments checks by customers/clients/patients shortens the time we need to locate assets and collect for you.

 Detail information from debtor including spouse name, employer, residence, social security, tax identification number and any other asset information which you feel you can obtain initially from the debtor without souring your relationship with them enhances collectibility of the claim.  Make sure you get a street address and not only a post office address.

 Where debtor delays payment, obtain a written agreement from the debtor to make payment to pay in a short time.  This will assist collection in the event debtor then decides, because he desires not to pay you, that your services or products were not suitable.

 It is usually prudent to apply customers' periodic payments to the oldest invoice or bill unless otherwise specified by debtor.  With all contractual situations, there is a Statute of Limitations and sale of goods it is frequently shorter than the state Statute of Limitations for contracts.  If you apply payments to the most recent invoices, you may lose your claim as to the oldest ones.

A business debt, without a personal guarantee from the principals, is less likely to be collected.  Obtain one if possible. 

Get written contracts signed by debtor or at least confirm them in writing with debtor.  Try to include an interest rate, reasonable attorneys' fees and court costs on all past due balances on the contract terms.  If this is not possible, include it on your invoices and bills and require a customer signature on the bills.  Oral contracts create significant uncertainty as far as collectibility.  The signed written contract if properly drawn may be worth its weight in gold. 

If you are selling property of significant value to the debtor, obtain a security interest in the property as this will enhance collectibility.

Know who you are dealing with. When dealing with significant extensions of credit to corporations be satisfied that you know whom the principals are and have some idea of the corporate assets, debts and payment history.

Keep copies of all papers that relate to all customer's & client's debt. You have no way of knowing which debts will go bad. KEEP GOOD RECORDS.