Tempest

Traditional debt collectors act as agents for creditors, typically charging a commission—often around 20%—on the funds they successfully recover. Their methods generally rely on phone calls, written demands, and occasional site visits.

While this may sound similar to the role of an internal credit controller, businesses typically employ collection agencies for two primary reasons:

Specialised Efficiency: Debt collection requires a specific psychological approach. Collection agencies are highly adept at managing debtors efficiently, often recovering funds at a lower operational cost than an in-house team.

Resource Allocation: An internal credit controller’s primary task is maintaining steady cash flow, making it more efficient for them to focus on reliable clients. Chasing evasive debtors consumes valuable time and resources. Collection firms utilize strict, systematic processes to ensure delinquent accounts do not slip through the cracks.

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https://www.tempest.net.nz/blog/disputed-debts-and-how-to-avoid-them/

EOFY is Approaching: Don't Let Bad Debt Freeze Your Cash Flow!

The 2026 Financial Year is drawing to a close. For New Zealand businesses, this is the critical window to clean up your ledgers and ensure a stronger start to 2027.

While glimpsing signs of economic recovery are appearing, the road ahead remains challenging for many Kiwi households and businesses. Recent data paints a picture of continued financial strain:

🏡 Mortgage Strain: Thousands of homeowners are feeling the pinch, with a notable number in arrears on their home loans and council rates as interest rates take their toll.

🛒 Material Hardship: Over 160,000 Kiwi children continue to live in households experiencing material hardship—unable to meet basic, everyday costs.

💳 Debt Write-offs: Challenging economic conditions are impacting customers' ability to pay, leading to increased write-off expenses for businesses and government departments alike.

What this means for your business:
Holding onto ageing debt is holding onto risk. If your customers are struggling, the likelihood of recovery decreases every day. Act now before the books close for the year.

Tempest has two powerful solutions to unlock your capital:

Sell Your Debt: Instantly convert bad debt into cash. We buy your outstanding debtor ledgers, giving you immediate cash flow and removing the risk from your balance sheet.

Litigate: When payment is due and negotiation has failed, we provide expert litigation services to enforce your rights.

Don't start the new financial year burdened by the old.

Let’s chat about how Tempest can help you free up cash flow and focus on growth. Send us a DM or visit our website. 🤝

At Tempest, we believe all debtors must be held accountable. We take a direct approach. If debtors don't engage with us swiftly, our in-house team of specialist lawyers immediately commences with legal proceedings. We don't just send letters; we take action.