Debt recovery range of fees

Pre-action protocol

For a business to business (limited company) debt that is undisputed there would be a range of costs from £225-£450+vat

For a business to business (non-limited/individual) debt that is undisputed there would be a range of costs from £225-£375+vat

This includes:

  • Taking your instructions
  • Carrying out appropriate searches through Companies House
  • Calculating any interest due under Section 69 of the County Courts Act or through The Late Payment of Commercial Debts (Interest) Act 1998 and The Late Payment of Commercial Debts Regulations 2002 and Late Payment of Commercial Debts Regulations 2013
  • Reviewing your terms and conditions to calcuate any contractual costs due under those terms
  • Perusal of your terms and conditions with reference to your retention of title under those terms
  • Looking over all your contractual documents including contracts, purchase orders, delivery notes, terms and conditions, invoices, chasing emails/letters together with any replies
  • Preparation of the pre-action protocol

If the case becomes disputed, there will be an hourly rate applied of £225 (excl. vat)  for the work undertaken.

Court claims

Our fixed fees are:

Debt value Court fee (no vat due) Our fee (excl. vat) Total (incl. vat)
Up to £300 £35 £50 £95
£301 to £500 £50 £50 £110
£501 to £1000 £70 £70 £154
£1001 to £1500 £80 £80 £176
£1501 to £3000 £115 £80 £211
£3001 to £5000 £205 £80 £301
£5,001 to £10,000 £455 £100 £575
£10,001 to £15,000 5% value of the gross claim £225 £1020 (estimated)

 

These costs apply where your claim is in relation to an unpaid invoice which is not disputed and enforcement action is not needed.

Our fixed fees include:

  • Preparing and issuing proceedings through the Money Claims Online (MCOL)
  • Receiving from the court a Notice of Issue which provides the date of service of the proceedings against the debtor together with a date that judgment can be entered if the debtor fails reply
  • Notifying you as to the date of service and to the date of judgment
  • Where nothing is received from the debtor, proceeding to enter judgment
  • Completion of the Request for Judgment form and lodging the form with the court
  • Once we receive a Notice of Judgment, this will be served upon the debtor with a demand for payment
  • If no reply is received, we will provide you with further advice as to the next stage regarding enforcement and likely costs

They do not include:

  • Additional work required if the case is not straightforward and proceedings need to be forwarded to the court by post including all supporting court documents.
  • Further work that may arise if the other party disputes your claim at any point. This additional work could be on a fixed fee basis (for example if a one-off letter is required), or an hourly rate if more extensive work is needed. This would be fully discussed with you.

If you wish to proceed with a claim, please note:

  • 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 costs quoted above are not for matters where enforcement action is needed to collect your debt

Matters usually take five weeks from receipt of  your instructions 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 judgement in default. If enforcement action is needed, the matter will take longer to resolve.

Meet the team and find out more about our debt recovery service.