Debt Recovery Services

The Debt Collection Process

We have extensive experience in helping clients recover debts of all sizes. Here’s a breakdown of our approach to debt collection, focusing on non-complex invoice collection for debts up to £100,000:

1. Letter Before Action

The first step in any debt recovery process is to issue a Letter Before Action (LBA). This is a formal demand for payment, sent in accordance with the Civil Procedure Rules. We typically allow the debtor 7 to 14 days to pay. If the debt is settled at this stage, we charge a flat fee of £150 plus VAT. For multiple invoices, we will agree on the cost with you in advance.

2. Negotiations

If there’s a dispute over the debt, we can negotiate on your behalf to reach a settlement. We offer 1.5 hours of negotiation for a fixed fee of £275 plus VAT. If the negotiations exceed this, we’ll notify you beforehand. This step often results in debtors paying up to avoid legal proceedings.

3. Issuing Proceedings

If negotiations fail, we will proceed to court. There are two sets of fees involved: Court Fees and Our Fees. These fees cover claims up to the point of obtaining a Default Judgment. If the case is defended, we will discuss an hourly rate with you.

• Small Claims (up to £10,000): £2,500 - £5,000 plus VAT

• Fast Track (between £10,000 and £25,000): £5,000 - £15,000 plus VAT

• Multi-Track Cases: Fees to be reviewed based on the complexity.