Virtually everyone in this day and age has some contact with a telecom company. Parents buy their kids smartphones that require plans; businesses large and small need more and more sophisticated services to provide for their customers. In short, it’s a pretty good time for those in the telecom industry.
Of course, booming business means growing telecom companies. Whether your business is an established giant or a smaller firm, you’re likely experiencing growth as you look to add new services for your existing customers or try to get new products off the ground. And while growth is great, it also brings with it growing pains.
As companies go through those “growing pains,” they often wonder about outsourcing different parts of the business. Some companies outsource HR functions, while others will send customer service out of house. Still others, like you, are wondering about teaming up with a third party to better manage your accounts receivable. Is it the right move?
The State of Telecom Accounts Receivable
Almost every business has to deal with this task at some point or another, and telecoms are no exception to this rule. Most customers sign up with you for service on a monthly basis; you bill their accounts, and they pay the fee.
Accounts receivable is a large, encompassing task: From initially assessing a customer for account eligibility to collecting overdue payments, your team has a lot to do. The work is never ending; one billing cycle ends and the next begins, while others need to chase down those overdue accounts.
It doesn’t matter if you’re a telecom giant or a small start-up; it’s a lot to manage and you’re keenly aware of that fact. It’s the reason you’re considering outsourcing in the first place!
But Does It Make Sense?
Some business owners wonder if outsourcing is right for their particular companies.
In most cases, outsourcing a task like accounts receivable is simply good business sense. If your business is struggling, a third party can help you manage the task more efficiently and effectively.
What Are the Advantages?
Outsourcing has plenty of benefits for telecom companies of all sizes. First, it saves time and money. Outsourcing is usually used as a cost-saving measure, and it most certainly delivers on that front. Getting a dedicated team of seasoned experts using the latest technology to help them complete the task can only result in efficiencies.
There’s also the fact a third party will be (or should be) using the latest technology. Many firms can’t afford to invest in upgrades themselves, which makes it more difficult to perform certain tasks, like send automated reminder notices or follow up on overdue accounts. Partnering with a third party can get you access to the technology you need to complete these tasks quickly and easily.
Finally, outsourcing also delivers a highly trained team to your fingertips instantaneously. You don’t need to spend time and money hiring and training professionals for your team, one at a time. When you team up with a partner provider, you’re adding instant capacity to your accounts receivable team—which is a much better way of managing growth than hiring a person or two when your team has become overwhelmed.
A Good Fit
In almost every case, outsourcing accounts receivable makes sense for telecom companies—including yours. More efficient and effective management of this task will help you cut costs, get paid sooner, and access better technology.