NAICS 561440 - Collection Agencies
This page includes content generated by AI. It is intended for general guidance only and should be verified for your specific situation.
What is NAICS 561440
NAICS code 561440 covers establishments primarily engaged in the collection of payments for claims and subsequently remitting these payments to their clients. Businesses operating in this sector specialize in recovering delinquent accounts, unpaid debts, or other financial obligations on behalf of creditors. These firms employ various methods, including telephonic, written, and electronic communication, to efficiently manage and collect outstanding payments. The collection agency industry is essential for maintaining healthy cash flow and reducing financial losses for organizations across both private and public sectors. Government agencies contract these services to recover debts owed to them, such as unpaid taxes, fines, or fees, ensuring compliance and fiscal responsibility. Utilizing specialized collection agencies allows agencies to focus on their core missions while leveraging expertise in debt recovery.
Industry Classification for NAICS 561440
This industry comprises establishments primarily engaged in collecting payments for claims and remitting payments collected to their clients.
Illustrative Examples:
- Account or delinquent account collection services
- Tax collection services on a contract or fee basis
- Bill or debt collection services
Breakdown for NAICS 561440
- Focuses on collecting payments for claims and remitting funds to clients.
- Includes firms specializing in delinquent account and bill collection services.
- Supports government agencies in recovering unpaid taxes, fines, and fees.
- Contract performance often measured by collection rates and timeliness.
- Subject to fair debt collection and privacy regulations.
- Small businesses can compete for contracts through set-asides and preferences.
Included Activities for NAICS 561440
- Contacting debtors to collect overdue payments.
- Managing accounts receivable on behalf of clients.
- Remitting collected funds to government agencies or clients.
- Maintaining compliance with debt collection laws and regulations.
- Providing reporting and documentation of collection efforts.
- Negotiating payment plans or settlements with debtors.
- Utilizing electronic and telephonic communication methods.
- Conducting skip tracing to locate debtors.
Business Types for NAICS 561440
- Third-party debt collection agencies.
- Specialized tax collection firms.
- Accounts receivable management companies.
- Small and disadvantaged business collection agencies.
- Credit and financial services companies.
- Consulting firms specializing in debt recovery for government clients.
Subcategories for NAICS 561440
- Account collection services
- Adjustment agencies (except insurance)
- Bill collection services
- Collection agencies
- Collection agencies, accounts
- Credit arrears collection services
- Debt collection services
- Delinquent account collection services
- Tax collection services on a contract or fee basis
Government Buyers for NAICS 561440
Federal, state, and local government agencies are primary buyers of collection agency services. Agencies such as the Internal Revenue Service (IRS), state departments of revenue, municipal courts, and health services frequently require assistance in collecting overdue payments, taxes, fines, or program-related debts. By contracting with professional collection agencies, these government bodies improve recovery rates, reduce administrative burdens, and enhance compliance with financial regulations. Collection agencies also help government entities maintain accurate financial records and ensure that funds owed to public programs are efficiently recovered to support ongoing operations and public services.
Contract Types & Procurement for NAICS 561440
Contracts for collection agency services typically include firm-fixed-price, performance-based, and task order contracts. Agencies may use competitive bidding, request for proposals (RFPs), or simplified acquisition procedures depending on the contract value and scope. Smaller contracts may be awarded using micro-purchase thresholds or set-asides for small businesses. Contract values vary widely based on the volume and type of debt to be collected, ranging from modest agreements under $100,000 to multi-million-dollar contracts with larger agencies. Many contracts emphasize performance metrics such as collection rates and timeliness to ensure effective service delivery.
Details for NAICS 561440
Explore the hierarchy and related codes for this industry
| NAICS Code | Industry Title |
|---|---|
| 56144 | Collection Agencies |
| 5614 | Business Support Services |
| 561 | Administrative and Support Services |
Federal Contracting Intelligence
Find Collection Agencies Contract Opportunities
Access federal solicitations, track award history, and monitor agency spend in this industry in one place. Designed to support small businesses pursuing federal revenue.
- Opportunities updated regularly from SAM.gov
- Filter by set-aside, agency, NAICS, and PSC
- Get notified when matching opportunities are posted
Schedule a Call
30 minutes • Discuss your goals with our team
Guidance
Leverage Your Certifications for a Competitive Edge
Our federal contracting specialists can help businesses build certifications and capability statements to pursue opportunities in industries like Collection Agencies.
- WOSB, VOSB & 8(a) certification support
- Capability statement writing & review
- SAM.gov registration & compliance guidance
Construction
Technology
Logistics
Healthcare
+ Many More Industries
Discover Your Next Industry Opportunity
Browse thousands of NAICS codes across every federal procurement sector. Find industries aligned with your capabilities and uncover where government spending is concentrated.
Search the NAICS Directory
1,000+ industry codes • Free to browse