Automated Collections

Every organization faces challenges with Accounts Receivable (AR) and collections - and failed payments can mean missed revenue, lost donations, and even involuntary churn of your customers.

Chargent’s new Automated Collections add-on solves this problem for you! By proactively contacting customers over failed payments and making it easy for them to update their payment details, see how automation can make the difference.

Your team has better things to work on

You can start spending less time and money collecting missed payments right now.

93% of businesses report late payments from customers. And the administrative costs and time spent to collect those payments keep increasing.

Sending emails or making phone calls to track down payments and get updated billing information from customers is critical, but not strategic for your organization.

With the proper automation in place, you and your staff should be able to focus on more important things, like reporting and analysis, upgrades and expansions, new contracts and more. Automate collections!


How does it work?

Chargent’s Automated Collections add-on automatically:

  • Emails your customers with a Payment Request link
  • Retries payment collection on a schedule you choose
  • Returns customers back to their regular schedule once missed payments are captured

Fully customizable, it works for:

  • B2B, B2C, B2G
  • Multiple industry use cases
  • Plugs in to Chargent’s core recurring billing functionality

1st Chargent Order Payment Fails
  • Automated Collections is triggered
  • Automated Collections record is created
  • Automated Collections Stages records are created
  • Payment Request link is generated
2nd Automated Collections Stages are Scheduled / Executed
  • Emails are scheduled to be sent to customers
  • Automatic retries are scheduled
3rd Automated Collections Completes
  • Payment succeeds on Chargent Order
  • Automated Collections Process is halted
  • Unused Automated Collections Stage records are auto-deleted
  • Automated Collections and Used Automated Collections Stage records are auto-deleted

Involuntary Churn Kills Revenue:
Save Customers who don’t want to Cancel

You’ve worked hard to get your customers or donors. Don’t lose them due to payment issues!

Involuntary, accidental or passive churn happens when a payment is declined, and customers don’t update their payment details. Maybe they aren’t notified properly or providing an update isn’t made easy for them, and their accounts or recurring donations are eventually cancelled.

Payments fail due to:

  • Expired cards
  • Cancelled cards
  • Insufficient funds / credit limits
  • Fraud alerts
  • Address changes
  • Account number changes

Involuntary churn can kill your business or organization, because these are customers or donors who would’ve otherwise stayed with you.

Some churn is unavoidable, but by providing clear and regular AR communications, and making it easy to update payment methods, you can reduce involuntary churn significantly.


Keep Configuration in Your Hands

We made Automated Collections fully configurable by any business user in Salesforce, with an interface where you can add and remove steps, reorder, and more. No code required.

After all, no one understands what works in collections for your customers or donors better than your collections people. Model your existing process, email messaging, and scripts in this automated Salesforce app.

And if you need to tweak your collections process, you can easily experiment with changes to timing, email subject lines or text, and more, all inside of Salesforce.

  • Fully customizable in Salesforce by any business user
  • Add as many stages and steps as you want
  • Configure payment collection retries and emails to customers in any manner
  • All clicks, no code!


Hiring alone cannot scale AR effectively

Did you know? The average organization that relies on manual accounts receivable process spends:

  • 15% of their time gathering information
  • 15% of their time prioritizing their tasks
  • ONLY 20% of their time communicating with customers about failed payments

More than 50% of mid-market B2B companies are using spreadsheets to manage their accounts receivable today. What makes this even scarier is that 95% of spreadsheets contain errors (based on a study by Dartmouth College’s Tuck School of Business).

The average cost of an AR specialist is $40,000. Chargent offers a solution that drastically reduces the need to hire more people, while helping your existing team scale more efficiently.

Automatically notify and make it easy for most of your customers to fix failed payments themselves, and your team can just focus on the most difficult to collect receivables, such as customers who need a negotiated payment plan, or where your contacts have left the business.


Reduce DSO:
Get Paid Faster with Less Work

Are you measuring DSO (Days Sales Outstanding) at your company?

That is the average number of days account receivables remain outstanding before collection. In other words, how long does it take customers to pay for your products/services?

DSO is important because the speed at which a company collects money is key to its efficiency and profitability. DSO average statistics are often much larger than they should be for many companies. Chargent helps our customers get paid faster with greater process efficiency. Automated Collections offers settings to schedule retries, email notifications with payment links to send to delinquent customers, and more.

Improved Dunning Management =
Less Bad Debt Risk

The longer you carry an accounts receivable, the greater the risk of bad debt. This gets unsustainable very quickly if it isn’t managed through a careful dunning process.

For example, a company with a profit margin of 10% that incurs a loss of $10,000 due to bad debt typically must generate about $100,000 in additional revenue just to recover the loss of capital. So there’s a compound effect, because if you haven’t collected failed payments, not only can you not invest in the business, but you may need to use lines of credit or other sources of capital that charge interest and fees, just to cover your payroll and other expenses.

Automated Collections can deal with failed payments quickly and automatically, allowing your team to focus on just the more difficult AR issues requiring a human touch, and reducing the chance that receivables will be around long enough to become bad debt.

Want to learn more about Automated Collections and the future of revenue recovery?

At Chargent, we are always here to help!