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Debt Recovery

CASHFLOW-

potential no cost debt recovery*


Our aim is to recover your debt at minimum cost to you.

Ways to Pursue a Debt…

  • £ By Statutory Demand
  • £ By making a claim in the Courts
  • £ By using Alternative Dispute Resolution

*We can recover certain costs from the debtor and where we cannot we try and limit our costs to the interest due on commercial debts.

 

Statutory Demand

Statutory demands give a debtor 21 days to pay the monies owed. A Statutory Demand can be prepared and served without any intervention from the court and the procedure is fairly straightforward.

A statutory demand cannot be used where there is any dispute as to whether the debt is owed. Also if you wind up a company or make a person bankrupt you may be last in the line to recover your money as secure creditors will take precedence.

 

Making A Claim Through The Courts

If you decide to make a claim to the court then there are several steps that will need to be taken. Below is a basic outline of what may happen.

Cashflow flowchart


If court proceedings are commenced, as well as issuing the claim form, you (the creditor) must pay a court fee. The current court fee is dependent on how much you are claiming from the debtor.

You can claim interest on the sums owed. If the debt is owed by a company it may be possible to recover interest at up to 8% above base rate.

 

Enforcement

Despite payment being ordered it is not always forthcoming but there are a number of ways to try and enforce the debt. If necessary, we will advise you upon your options at the appropriate time.

To discuss any of the matters outlined please contact us

 

Alternative Dispute Resolution (ADR)

ADR comes in several forms but the basic idea is that an agreement is reached between the parties as to how to resolve the debt. This can be done via a third party acting as a neutral ‘go between’ and making suggestions to both parties on how the issue could be resolved, known as mediation. This option could be especially useful to avoid the need to go to Court, particularly if parties want the opportunity to retain business relationships.

GoodyBurrett LLP use Greater London & East Anglia Mediation (GLEAMED) and further information can be obtained by visiting www.gleamed.co.uk

Did you know..?

The current maximum weekly payment for redundancy from 1st October 2012 is £430.