If you have come to the conclusion that your client will not pay you for your services, you have two other options: Commissioning a collection agency or trying to get your money through court collection proceedings. In both cases, you have a good chance that the money will eventually end up in your account, but it might take several months or, even worse, years.
If you opt for debt collection, you need to hire a law firm or a specialized company to initiate an out-of-court collection procedure against your client. If the customer finally agrees to settle his debts, he usually also has to pay the costs for the collection agency as well. However, if the customer is stubborn, legal steps must be taken, for which you usually have to pay in advance. An alternative to a debt collection agency are court collection proceedings. This is a simple and cost-effective way to tackle defaulting debtors. You don’t need a lawyer for this as court collection proceedings are largely or even completely automated.