Debt Recovery

Recovering debt is a common problem in a business where you’ve done all the hard work, and you are still waiting to be paid.

Recovery of debt can take form in many different ways. Depending on the circumstances it may involve engaging in pre-action protocols, issuing a statutory demand, presenting a winding-up petition, issuing court proceedings, obtaining a county court judgment or issuing bankruptcy proceedings.

We can help to identify the best course of action to achieve the best possible results. We advise businesses and individuals with all stages of debt recovery.

Pricing for debt recovery up to £100,000

Court Claims

These costs apply where your claim is in relation to an unpaid invoice (business to business) which is not disputed and enforcement action is not needed. If the other party (the debtor) disputes your claim at any point, we will discuss any further work required and provide you with revised advice about costs if necessary, which could be on a fixed fee (e.g. if a one-off letter is required), or an hourly rate if more extensive work is needed.

Anyone wishing to proceed with a claim should note that:

• The VAT element of our fee cannot be reclaimed from your debtor.
• Interest and compensation may take the debt into a higher banding, with a higher cost.
• The court fee maybe more if it is not issued through Money Claims Online.
• Not all of our fees are recoverable from the debtor.
• The costs quoted above are not for matters where enforcement action, such as the bailiff, is needed to collect your debt.

Our fee includes:

• Taking your instructions and reviewing documentation
• Undertaking appropriate searches
• Sending a letter before action
• Receiving payment and sending onto you, or if the debt is not paid, drafting and issuing a claim
• Where no Acknowledgment of Service or Defence is received, applying to the court to enter Judgment in default
• When Judgment in default is received, write to the other side to request payment
• If payment is not received within 14 days, providing you with advice on the next steps and likely costs

Matters usually take 4 -8 weeks from receipt of instructions from you to receipt of payment from the other side, depending on whether or not it is necessary to issue a claim. This is on the basis that the other side pays promptly on receipt of Judgment in default. If enforcement action is needed, the matter will take longer to resolve.