Frequently Asked Questions

Q: How much does your invoice debt recovery service cost?

A: For business to business debts (limited companies, Plcs and LLPs) where there is no court judgement in place, our service is free. All our fees are paid by the debtor.

Q: Are all debts worth pursuing?

A: Before you start chasing debts it’s beneficial to check if they are worth pursuing. For larger debts it’s a good idea to investigate why an invoice hasn’t been paid. Disputed invoices are extremely hard to recover, so it’s best to resolve any issues first. We will always run a Companies House check first to ensure the company is still trading and they are not in serious financial difficulties.

Where you have a small debt (for example under £100) there are occasions where it might be necessary to write off the debt. This shouldn’t be done automatically as it can set a precedent for other customers. If a company is in financial difficulties try and come to a payment arrangement with them.

Q: Can you chase any type of debt?

A: Generally, any type of debt can be chased. However, the likelihood of payment being made will depend on the individual circumstances. To chase as a business debt you need to have invoiced a limited company, plc or a limited liability partnership.

Where the invoice was sent to a sole trader / individual these have a different process. They can still be worth chasing if there are significant assets that can be seized. If no payment is made after the initial contact with the debtor, further action to take the matter to court can be started. We will always advise you if this is the right route to go or whether the debt is not worth chasing. You can find out more on our personal debt services here.

Q: What happens if you can't get the debt paid?

A: There are some times when even after chasing the invoices the debtor still doesn’t pay. In these circumstances we would discuss the next options with you before progressing. If the business has the assets to pay the debt we would suggest starting court proceedings against them. With smaller debts it may be more cost effective to write off the debt.

Q: What makes you different to other business debt recovery companies?

A: Most debt collection agencies charge a commission on debts they collect. They draw people in with their no win no fee marketing, but there are still costs to be paid when they collect the invoice. With our service all the costs are paid by the debtor – we never charge you to collect pre-judgement business to business debts (applies to invoices to limited companies, plcs and partnerships).

Remember, ‘No Win, No Fee’ really means if you win there are fees and these can be substantial. What we offer for business to business debts is no fee ever – win or lose there are no fees, no commission and no charges. It is a completely free service to the creditor.

Q: Will this affect my relationship with my customer?

A: Many companies now outsource their debt collection, so contact from a third party won’t be unusual. We provide a professional service and deal with your customers in a calm manner. All the methods we use are legal and we don’t harass your clients.

Q: Do I need to provide any evidence of the debt?

A: All we need to start chasing the debts is a copy of the unpaid invoices / statement of account. It will also be helpful if you forward on any correspondence you’ve had with your customer, a copy of your terms and conditions and details of your standard payment terms

Q: What happens if the debtor pays us directly?

A: Quite often businesses are simply holding off paying invoices to maintain their cashflow. Once they start receiving letters from debt recovery companies this can spur them on to pay. Our business to business debt recovery service is provided free to you and we add our fees onto the debtor. However, if the debtor pays you directly (minus our fees) you will be liable to pay our costs, as per our terms and conditions. This is easily dealt with, in that you apportion the value, less our fees, to payment of the debt. Effectively this means that they have not fully discharged the debt and can still be required to pay it.

Q: Is there a time limit on chasing invoices

A: It’s always best to chase invoices as quickly as possible. This helps to maintain your cash flow and limits the negative impact on your business. However, if you have any old outstanding invoices these can still be collected for up to six years in many cases. You’ll need to have maintained some type of contact with the customer about the debt, such as sending a regular statement of account, and the invoice shouldn’t have been disputed.