Is a particular debtor starting to play on your mind? Then it’s time to call a lawyer, because it’s better to get advice at the first sign of trouble than to under-react.
By getting advice early, you can take charge and put yourself in the best position to recover money owed to you. Even if you’ve waited until your client isn’t returning your calls, it isn’t too late to get legal advice.
Whatever stage you’re at with the debt and the debtor, getting advice will help you to put the right strategy in place for your circumstances.
In debt recovery matters, there’s usually no (genuine) dispute about the fact that the person or company owes money. Your debtor knows they owe you, so by the time it becomes a debt recovery matter, you’re not going to get a resolution with another statement of accounts or a phone call.
You could bring in a debt collector, but debt collectors are limited in what they can do. Your debtor is already willing to refuse to pay you, the people they ran up the debt with. That makes it likely they’ll have no trouble turning down the debt collector, too.
When that happens, the debt collector can only recommend you engage a lawyer to take further action. But now you have an obligation to the debt collector, too, which means you’ll owe their fees and be paying for a lawyer.
Going straight to a lawyer early on could save you time and money, as well as getting your debt recovered faster.
As lawyers who recover debts all the time, we’re qualified, skilled and experienced at getting a clearer picture of the situation. We can quickly put a debt recovery strategy in place.
Using lawyers means you won’t run the risk of doing something on your own that could potentially jeopardise your entitlement to the debt or drag out repayment.
The best chances of debt recovery come from following the right legal and commercial strategy, which will put you in the best position to get paid. And by working with a lawyer, you have someone on your side who can be on speed-dial anytime you have an issue with a debtor in the future.
In forming a strategy to recover a debt, there are many different factors to consider. As specialist lawyers in debt recovery we’ll:
Consider the debtor’s circumstances — why are they under pressure? What factors could influence them to repay?
Understand the profile of your debtors — because we know each debtor is different. A one-size-fits-all approach isn’t going to be the most effective. A debtor that is 90 days overdue may be less of a payment risk than one that is five days overdue. It all depends on the context.
Advise on measures you can implement to overcome credit control issues, as well as terms and conditions of trade, so you’ll be in the best position to recover debts owed to you in the future.
We’re specialist debt recovery lawyers who devise strategies for clients in all types of industries. We can also help if someone is trying to recover debts from you.
If you have a feeling something isn’t quite right with a debtor, give us a call for an initial chat about what to do next.