BizSugar.com › Raising Capital › How to Start a Debt Collection Agency

For those wondering how to start a collection agency, this industry offers an excellent way to grow your wealth. Debt collection agencies work by collecting debt payments from individuals or businesses that owe debts to banks or stores. Most collection agencies act as creditor agents, and make money by earning a fee off the debt that they collect. While debt collecting in itself is a lucrative field, debt buyers are the ones who see the most rewards. The reason for this is simple – instead of simply earning commission of around 33% on debts collected, you will instead be able to double dip and earn over 100% on every payment that is collected. This is due to the fact that you own the debt rather than simply collect the debt.