Top-Rated Debt Collection Agency in Cameroon
Fast and reliable debt collection in Cameroon - no upfront costs, only pay for success. Request a FREE Consultation or upload your claim today.
In Cameroon, the most straightforward method to collect your outstanding debt is by using a debt recovery service.
Debitura specializes in debt recovery in Cameroon, offering a variety of services including accounts receivables management, debt collection notices, pre-legal and legal debt collection, and enforcement court proceedings. Our experienced professionals possess a deep understanding of Cameroon's debt collection laws and regulations, allowing us to offer efficient and effective solutions to businesses seeking to recover outstanding debts.
We provide unwavering support throughout the entire process.
Tailored collection approach.
Our team consists of over 500 professionals who specialize in international debt collection.
We achieve a 87% success rate at the most affordable cost.
We are a full service bilingual law firm of international repute delivering tailored services of utmost quality to local and international clientele. Our ethos, services, and principles are driven by Integrity, Diligence, Professionalism, and Excellence.
International righly-ranked bilingual business Law Firm serving the needs of diversed worldwide clients. within a highly volatile jurisdiction that necessitates permanent vigilance at all levels
Kinsmen Advocates Law Firm is a premier law firm in Cameroon. We provide world-class services to local and International clients. Our strength lies in the depth of experience of our lawyers who maintain high professionalism and standards and we pride ourselves in our sector strength.
Our main priority is to secure the interest of our clients in both representative and consultancy aspects. We assist and represent our clients in the law courts, Arbitration Tribunals, Specialized Courts, Alternative Dispute Resolutions etc.
D. MOUKOURI AND PARTNERS is a leading business law firm in Cameroon that structures deals in the key sectors of the Cameroonian economy including infrastructure, telecommunications, technology, international trade, transportation, banking, and Fintech.
Ashunchong and partners law firm in Douala is a corporate and commercial firm that handles all commercial,debt recovery and Due diligence matters for world wide clients for the past 13 years
The ultimate guide about debt collection in Cameroon
If you are owed money by a business or customer in Cameroon, we can help you! We have helped hundreds of other businesses get their money back from people who owe them.
Collecting a debt in Cameroon can be hard because of different languages, cultures, and laws. It can also be hard because Cameroon is far away.
It is easier to get your money back when you use a collection agency that knows the laws and customs of the country where the person who owes you money lives.
At Debitura, we always try to help you get your money back while still keeping a good relationship with the person who owes you money. Our PR efforts are always fair, but also firm- which means that making sure your reputation is good is our number one goal! If you want to learn more about how to collect debt yourself, keep reading this guide. But if you would rather work with a law firm that does this kind of thing all the time, we can help you with that too.
At Debitura, we can help you collect money that someone else owes you. You can start by uploading your claim online. We will look at your case and give you 3 free quotes from local debt collection lawyers within 24 hours. We use a people-oriented approach with the latest tech-driven solutions to drive results and provide better contact management. This comprehensive method gets the results you need while preserving customer relationships. In addition, our network of debt collectors, attorneys, suppliers and vendors are cherished relationships that allows us to get the job done. We value each of these relationships, no matter how small or large.
Begin the process of recovering your debt in Cameroon at zero cost today. Simply create a free profile, and submit your case within 2 minutes.
We will use our effective pre-legal recovery process for the first 3 months to collect your claim. Our service comes with a 100% no-cure-no-pay guarantee.
If your debt remains unpaid in the pre-legal phase, we'll give you three quotes from local debt collection attorneys.
You get access to our online portal where you can track your case in real-time
Introduction to collecting debt in Cameroon
If you have trouble getting people to pay you back in Cameroon, we can help. We make it easy for you to get paid by your customers in Cameroon.
When someone owes money in Cameroon, the person who owes the money is called "the debtor." The person who gave the money or invoice is called "the creditor." If the original creditor collects the debt, this is called "first-party collection." If the creditor gives the collection process to another person, this is called "third-party collections."
- People are not paying their bills on time. People should be paying their bills within 30 days, but they are taking 60 days. Payment terms are supposed to be agreed upon by the people involved in the contract, but that is not happening.
- Financial information is not always accurate. A company's trading history is often a better way to see if the company is doing well.
- Some companies try to avoid paying their debts by pretending they are insolvent. They do this by removing goods from the company during audits. But if we investigate deeply, we can usually prove that they were never really insolvent in the first place. And then we can take legal action against them.
Days Sales Outstanding (DSO)
The payment terms usually say that the person who buys something has 30 days to pay. But in real life, people usually have 60 days to pay. The payment terms are an agreement between the people who have the contract.
Common payment types in Cameroon
Bank transfers are a common way to pay for things in Cameroon. This is because they are fast and secure. When you use a bank transfer, it is easy to track the money. People use bank transfers to pay taxes or when the person they are paying is not in the country.
If a check is not paid, it can be used to show that someone owes money. This can help the court decide if the person should go to jail. Letters of Credit are mostly used when people are buying things from other countries.
Main corporate structures
In Cameroon, there are many different types of businesses. But two of the most common are SARL and SA entities.
- Limited Liability Companies (Sociétés à Responsabilité Limitée, SARL) have gotten better and it is now easier to create this type of company. The minimum amount of money needed for a SARL is (approx. EUR 150). This company can have just one partner who owns 100% of the shares or it can have several partners. SARL companies are the most common type of entity because they offer more flexibility.
- Public Limited Companies (Société Anonyme, SA) can have either a General Director or a Board of Directors. SA entities are often used by larger companies because they offer more rules and protection to the shareholders.
- Another kind of business is called a Sole Proprietorship. This is when one person registers to do business. There are usually rules about what kind of business a Sole Proprietorship can do, but often people do not follow these rules. For example, Sole Proprietorships are not allowed to have an importer card, but often people find a way to get one anyway.
The debt collection process in Cameroon
The debt collection process in Cameroon usually happens in more than one step. The picture shows the standard way to collect debt in Cameroon.
1 Upload your claim:
If you want to get your money back, you will start the process by finding a company that collects debt. You will give them your information, and they will try to get the money for you. If you use Debitura, we will provide you with 3 quotes from local partners in the African country relevant to your case. This is 100% free - no strings attached.
2 Amicable collection:
The collection process begins with sending reminders to the person who owes you money. This is called a "campaign." The reminders are sent through email, SMS, and letter. The goal is to get the debtor to pay or acknowledge the debt and start a payment plan. Debitura offers a no-cure-no-pay solution for amicable collection. This means that you only have to pay a small success fee if we recover your debt. Amicable collections with Debitura are completely risk-free!
If you have not received payment after trying to work things out, it is time to look at what to do next. We will look at the size of your claim, the chances of getting paid and other factors. There are three typical next steps:
If the amount of money you are asking for is less than 2.000-5000€, it is not worth it to continue with legal action. In this case, we recommend that you do "debt surveillance." This means that we will keep trying to contact the person who owes you money and try to reach an agreement about payment.
B: Legal collections:
We suggest that you begin taking legal steps to deal with bigger issues. The steps you need to take will depend on what you are claiming and how big the claim is. Usually, it takes around 1 to 1 and a half years to finish this process.
C: Debt enforcement:
If the person you are trying to get money from agrees that you are owed money or if there is a court order, you can go to the bailiff's court.
At Debitura, we can help you with all three steps in Cameroon.
Amicable collection in Cameroon
At Debitura we offer a 100% risk-free and very efficient process for Amicable collections. This means that you will not have to worry about anything and we will get started within 24 hours.
We will contact your debtor through different ways in Cameroon. This might include email, text messages, letters, phone calls, or social media.
The purpose of this process is to either:
A) get the debtor to pay the full amount, or
B) get the debtor to agree that they owe the money and start a payment plan
If the person you are trying to get money from has said that they do not owe you money, you cannot try to resolve this issue peacefully. You must go straight to legal collections.
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amicable debt collection
Upload your claim and get started with our 100% no-cure-no-pay collection solution.
Legal collection in Cameroon
If the other person has not paid you during the first part or if they say your claim is not true, we will give you 3 free quotes from our local debt collection attorneys. During the legal phase, our local attorney will talk to the other person and try to get them to agree on a payment. Our partners can also go to court and get an official order that says the other person owes you money. This order can be used to make the other person pay you through enforcement court.
In Cameroon, there are different ways to handle civil and commercial law cases. One way is through Summons, and another way is through quicker recovery proceedings like the Order to Pay. The Order to Pay is often used to recover debts that people owe.
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legal debt collection
Upload your claim and get 3 FREE quotes from our local collection partners.
Debt enforcement in Cameroon
If you have written proof that the person you are suing owes you money, or a court order, you can go to the bailiff's court in Cameroon to get your money.
A judgment is normally enforceable as soon as it becomes final and definitive (i.e. when appeals are not available anymore). When the defeated party fails to abide by the court's decision, the successful party may therefore ask the court to order enforcement proceedings. A bailiff would be appointed and would summon the debtor to discover whether any money can be collected directly from the debtor’s account, from a third-party (saisie attribution), or by seizing their belongings in order to settle the debt along with costs and interest (saisie vente).
The way to do this and how much it will cost depends on your situation. You can upload your information onto the Debitura website, and you will get three different quotes from different companies within 24 hours.
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Upload your claim and get 3 FREE quotes from our local collection partners.
Our analysis concludes that the risk of running a business in Cameroon is medium. Based on this medium score, we recommend being careful providing credit and considering charging upfront payment or using credit insurance when trading if you don't know the customer in Cameroon well. If possible, provide a short credit period or even better upfront payment. The average risk is conluded on the following areas:
The economic risk in Cameroon
Our conclusion based on the economic risk factors, is that the economic risk in Cameroon is high (5 out of 6). An economic risk of 5 out of 6 is pretty average in Africa.
GDP and economic growth are critical drivers for economic risk.
The GDP of Cameroon is 45,24 bn. USD (2021), growing by 3,49% per year.
In terms of the size of its economy, Cameroon ranks #85 out of 183 countries and has a medium-sized economy.
Having a view at the growth rate, it is ranked #115 out of 183 countries and is therefore considered an excellent growing economy.
GDP per capita is 1662 USD, ranking Cameroon number #141 out of 183 countries. The result of this is purchasing power of citizens in Cameroon is low compared to the rest of the world.
You can see a more throughout picture of GDP and economic growth in Cameroon in the table below:
Another significant influencer for the economic risk score is the inflation rate and the interest rates. You can see a more throughout overview of monetary data points in Cameroon in the table below:
The inflation in Cameroon was 2,3% in 2021 which is considered a low inflation rate.
The business environment risk in Cameroon
Our analysis shows that the business environment risk in Cameroon is high (5 out of 6), which is a pretty average risk score in Africa.
Economic freedom and rights determine the business environment risk in a country. Take a look at the important facts for Cameroon in the table below:
As you can see in the table, the property rights index is 38 in Cameroon, which is considered low in Africa.
The business freedom index is based on 10 indicators, using data from the World Bank’s Doing Business study. The Index is 44 in Cameroon, a quite low score for a country in Africa.
Cameroon's overall economic freedom index is 53 out of 100 and is based on factors such as the rule of law, regulatory efficiency, and market openness.
The political risk in Cameroon
The political risk in Cameroon is high, with a score of 5/6. This is a pretty average political risk score in Africa.
The governance and political stability indicators are vital drivers for political risk. An overview of Cameroon can be seen in the data below:
The rule of law index analyses to which extent agents have confidence in and abide by the rules of society, in particular the quality of contract enforcement, property rights, the quality of the courts, and the police's ability to enforce court orders.
When doing business in a country, the rule of law index is critical as it describes your ability to enforce commercial contracts.
In Cameroon, the rule of law index is at -1,1 points, with the score going from -2.5 (weak) to 2.5 (strong). Cameroon has, therefore, a very low rule of law index, which means it is often close to impossible to enforce your contracts. We, therefore, recommend avoiding credits and recommend charging upfront payment instead.
Other drivers for the high political risks are the very weak control of corruption, the very weak political stability index, and the large shadow economy that is 28,93% of Cameroon's GDP.
The commercial risk in Cameroon
In Cameroon, the commercial risk score is 2/4, which in our model is a low score. This low commercial risk score is pretty average compared to the average in Africa.
The commercial risk is impacted by a country's international trade relationships. You can see some of the key facts for Cameroon in the table below:
Cameroon has a negative trade balance of -1,86% of GDP. This means that Cameroon imports more goods and services than the country exports.
The annual growth of exports of goods and services has been growing 6,9% annually - now 17,77% of GDP. Import of goods and services represents 19,62% of the GDP in Cameroon.
The financing risk in Cameroon
We have calculated the financing risk to be 3/4, which equals a medium risk. A medium financing risk score is pretty average for countries in Africa.
The country's banking system, efficiency, and stability influence the financing risk. You can find the extra information for Cameroon in the table below:
In Cameroon, the credit information sharing index is 6 on a scale from 0 (low) to 8 (high). The result of this is accessibility and quality of credit information available in Cameroon is medium.
This makes it easy for you to understand the credit risk of your counterpart in Cameroon. Based on this, it should be possible to to find a good local credit rating agency that can help you analyse the creditworthiness of your specific customers.
Your legal rights as a creditor (and as a borrower) are 6 out of 12 and, therefore, weak.
Debt Collection in Cameroon: Frequently Asked Questions (FAQ)
In Cameroon, if someone owes money, they're called the debtor, and the person who gave credit is the creditor. The debt collection process in Cameroon often occurs in multiple steps, which begin with amicable reminders to pay. If the debtor doesn't pay, we'll evaluate options, including surveillance, legal collections, or debt enforcement. At Debitura, we can help you with all three steps. Additionally, SARL and SA entities are the most common types of businesses in Cameroon, and bank transfers are the most frequently used payment method.
The debt collection process in Cameroon typically involves pre-legal collection, legal debt collection, and debt enforcement. Pre-legal collection involves sending reminders to the debtor to pay or start a payment plan. If that fails, legal action may be taken depending on the size of the claim. Debt enforcement involves going to the bailiff's court if there is a court order or acknowledgement of the debt. Debitura offers assistance with each of these steps in Cameroon.
To collect a debt in Cameroon, legal options include civil lawsuits, debt enforcement, and insolvency proceedings. If the debt is disputed, a civil lawsuit is necessary. It is important to note that legal action requires a local lawyer. During the legal phase, the lawyer will negotiate payment or go to court to get an official order. This order can be used for enforcement court to make the debtor pay. Cameroon uses Summons or Order to Pay for civil and commercial law cases.
Debt collection in Cameroon through Debitura follows a no-cure-no-pay model for pre-legal collection with a success fee of 10-20%. Legal action prices vary based on specific cases and desirable actions. Debitura can provide you with 3 quotes from the best debt collection lawyers in Cameroon.
The duration of debt collection in Cameroon depends on the debtor and the specific case. If the debt can be resolved in the pre-legal phase, it can take around 3-6 months. However, if legal actions are necessary, the process can take longer, typically around 12-18 months. The timeframe may vary depending on the complexity of the case and the cooperation of the debtor.