DEBT COLLECTION IN MOROCCO

Over the last 10 years, the payment culture in Morocco has changed substantially. As statistics show there are many companies, which are extremely late with their payment due to various reasons. Due to that reason debt management has become an essential part of everyday life for many B2B relationships. For many companies worldwide the problem of returning payment has become quite disturbing as well.

The system of debt collection in Morocco has been developed under the influence of French law. Nevertheless, the judicial system remains quite difficult to cope with due to some internal complications and influence. In addition, it can be hard to find a real financial statement of any company since as Tax Authorities of Morocco report many companies tend to provide false information on the official financial statements.

There are several courts in the country. Courts have jurisdiction to hear disputes regarding debt collection, however, they tend to be criticized due to their influence under the government and lack of transparency. That is why more and more companies prefer to outsource the debt collection agency to handle such an important problem.

According to local legislation, the payment terms in Morocco are to 60 days, however, in reality, they could be up to 83 days on average. When it comes to debt collection and recovery of payments our experts in CID DRS have developed strategies to achieve the best result. In addition, our research team is always monitoring any changes in the legislation and business practices to provide an up-to-date service.

Firstly, we examine the insolvency status of the debtor. Our research teams look for additional contact details and monitor the legal status of the company for the profile. Our lawyers send a letter of first demand notifying the debtor about the issue next. Our experts are able to communicate in the local language, which makes it easier for us to establish rapport. In case of a refusal of the amicable settlement, we propose our clients opt for a judicial option of debt recovery.

As it was mentioned before, there are 2 options on how to collect the debts for B2B companies in Morocco. There are companies, which prefer to recover the payment with the help of courts. Nevertheless, in Morocco, the judicial system could be extremely complicated and influenced. That is why outsourcing a debt collection agency could be considered the best option.

Firstly, it is time-saving. For many companies, there could be lots of tasks to complete on a daily basis and such things as the recovery of payment could be considered burdensome. Secondly, it is more efficient since the debt collection agency is able to recover payments for companies without damaging their reputation.

We understand the importance of debt collection for every and each business. That is why our goal is to provide you the best service possible to ensure that your money is returned safely. Our established partnerships worldwide allow us to reach debtors in any country. We understand local languages and business practice peculiarities in Morocco, which allows us to conduct negotiations on various levels. For more information feel free to contact us via the form below!