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Archive for the: Debt Recovery category

New Debt Recovery Protocol; what businesses need to be aware of...

Posted by on August 31st 2017 in Blog Posts, Debt Recovery, Insolvency

New Debt Recovery Protocol; what businesses need to be aware of...

On 1 October 2017, there will be a new Pre-Action Protocol to follow for debt claims involving businesses pursuing individuals. To be clear the new Protocol does not apply to business to business debts unless the debtor is a sole trader.

The most important change companies should be aware of is to the Letter Before Action which needs be sent by post to the debtor before proceedings are issued.

The new Protocol sets out various details that need to be included in the letter, specifically;

  • The amount of the debt and whether interest or other charges are continuing to accrue;
  • Details of how...

Is Your Aged Debt Causing More Than Cash Flow Problems?

Posted by on February 17th 2015 in Blog Posts, Debt Recovery

A recent study by Bacs, the payment processor, has uncovered some interesting, if not perturbing, statistics on the late payment of invoices. Consider the following:

  • The average small company is owed some £32,000;
  • The additional costs incurred by small companies resulting from late payments are in the region of £677 per month;
  • Companies employing fewer than 250 people are owed £32.4 billion;
  • Larger companies are owed £9.1 billion;
  • Overall, some 59% of businesses are affected by the issue.

If that wasn’t enough to give you pause, the overall effect of unpaid invoices means that a lot of directors, partners and sole traders are forced to...

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