There are several ways for creditors and debtors to engage in International B2B Debt Negotiations.
Which are the most efficient ways?
International B2B Debt Negotiations in Person
What can be one of the most efficient ways of International B2B Debt Negotiations, is for creditor (and / or their representatives like lawyers or a debt collection agency) and debtor to meet each other in person. Meeting each other in person means that people can look each other in the eyes, notice each other’s body language, and connect on a personal level. This can be a positive impulse to work towards a solution for existing issues (whether financial, service-related or with respect to quality of delivered goods). However, in the case of international claims, there is likely a considerable physical distance between creditor and debtor. Therefore, it may not be cost-efficient to have (many) in-person meetings.
Using the Phone to Negotiate an International Debt
In International B2B Debt Negotiations, likely most of the negotiations between creditor and debtor will take place by phone. Depending on the complicity of the claim and the negotiations, it may be useful to have several conversations before reaching a conclusion – an agreement, or escalation (engaging third party intermediaries, starting legal action or freeze the commercial relationship, for example). During such conversations, creditor and debtor will be able to better understand each other’s position, show and receive empathy, discuss several potential solutions without formalizing anything yet (as that will happen by email).
Negotiating International Debts via Zoom and Skype
An alternative to phone calls or in-person meetings about international claims, is to engage in negotiations by means of video calls, like Zoom or Skype, or similar Apps. The advantages as opposed to phone calls, is the creditor and the debtor can see each other and make visual contact. This may be perceived as more personalized than a normal phone call, and a suitable (and more efficient) alternative if in-person meetings are not possible due to distance, costs or emergency (like the COVID19 crisis).
International B2B Debt Negotiations via Email
It is nowadays customary to carry out (part of) International B2B Debt Negotiations by email. Negotiations by email are key to summarize phone discussions, send formal proposals, to confirm agreements and to follow up on promises made. However, it should be complimentary to phone calls, Zoom or Skype discussions, or in-person meetings, not replace them, due to the static nature of email negotiations.
International B2B Debt Negotiations can be done via in-person meetings, phone calls, Zoom or Skype meetings, or email. Probably the most efficient combination is to have phone calls or Skype and Zoom meetings, whereby email is used as a complimentary tool to summarize, send formal proposals, formalize agreements and follow up on promises.
If you want to know more about international B2B debt negotiations, please reach out to Cobroamericas, on Linked-In or follow us on Twitter.
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