Debt collection Belarus
Though Belarus declares export as one of the main economical priorities, trade balance is still negative. Economy is subject of strict governmental regulation.
Belorussian foreign trade heavily depends on Russia which is the main trade partner of Belarus, responsible for almost half of turnover. The majority of other trade partners are from Europe – Ukraine from CIS, UK, Germany, Poland from EU.
Belarus is member of Customs Union along with Russia and Kazakhstan with no customs borders and unified formalities within the Union.
Since the Belorussian economy is tightly connected to Russia and CIS, western business practices are not widespread.
Belarus culture is mostly Slavic, quite close by nature to Russian.
National languages are Belorussian and Russian. English is less developed; it is spoken only by some people, mostly businessmen.
The main challenges to collect debt in Belarus are:
- Low understanding the principles of working with European and US business.
- Low penetration of English may create difficulties in understanding business partners from EU and US;
- Local debt collection market is not developed, so successful debt collection in Belarus requires more efforts.
How to collect debt in Belarus?
Amicable collection is the most effective and cost-saving way to recover debt in Belarus. It is advised to refer case to collection when the debt is delinquent over 5 months. The less delinquency is the more chances to collect debt are.
Amicable collection is applicable almost in any case apart from case of debtor’s bankruptcy or liquidation.
Amicable collection is still possible even after statute of limitations (3 years) expired, though chances to collect in such case would be very small.
What we do to recover a debt in Belarus?
- study case details
- find core reason of failing to pay
- find debtor’s decision makers and financial controllers
- arrange negotiations with the debtor
- consult in finances to enable debtor to pay
- consult in local legislation and business threats to convince debtor to pay
- negotiations with the both parties about payment schedule
- control flow of the debtor’s promises and payments
How long it takes in Belarus?
Average time to recover debt in Belarus is 93 days.
What the fees are?
The success fee makes 12% commission from any money recovered.
No collection – no fee policy applies.
- we have debt recovery experience in Belarus
- we know local Belarus laws, finances and customs
- we speak free in local Belarus languages
- we know Belorussian culture and mentality
- we charge no fees, unless debt is recovered
- we provide operative reporting
How to send case?
- Send your unpaid invoices and supporting documents for our review.
- Sign our debt collection contract and POA received from the manager.