Debt Recovery

Late or overdue payments can cause significant problems for any business, and quickly turn a profitable operation into one with cashflow difficulties. If there is no dispute over the amount owed, but no payment has been forthcoming, it may be beneficial to seek debt recovery advice.

Our legal experts have many years of experience in dealing with credit control and can help you to achieve full payment of the debt. Evidence suggests that the longer a debt goes unpaid, the chances of recovery reduce so swift action is essential. From advising over interest which can be added to the enforcement action you can take, our legal team can provide practical and economical advice on all areas of debt recovery.

For more information about our litigation services please call us on +44 (0)20 3475 6751 or email info@carterbond.co.uk

More information about Debt Recovery

Are you looking for commercial debt recovery? We can help with statutory demands and all aspect of commercial debts, including interest and compensation payments

Having an effective debt recovery strategy is vital for the survival of any business. With profits and returns based on clients paying what they owe, being left out of pocket could place a financial strain on your business.

There are many different strategies you can employ to follow up on unpaid debts. These may be relatively informal at the start, using your existing relationship to try and persuade your client to pay. Ultimately, if your business has debts which simply aren’t being settled, you’ll need to move to a more formal means of debt recovery.

Recovering Debts

We understand that when recovering debts, the last thing you want to do is spend a lot more time chasing payment that never arrives. That’s why a clear and simple debt recovery process which is proven to be effective is essential.

In many cases, a letter from your legal representatives is enough to persuade your client to pay. We act as an extension of your business and follow your commercial lead at all times. We understand the desire to protect your reputation so it is critical to tread a balancing line between chasing debt effectively and being too tough.

You are legally entitled to add interest to late payments and as a commercial debt you are also entitled to compensation. The amount you can charge is £40-£100 per overdue invoice plus interest at 8% above the base rate. This is in addition to payment of the original sum due. You may also be able to claim for legal costs (depending on the size of the debt). 

Some of the processes we can use include:

  • Letter before action
  • Issuing a statutory demand
  • County Court proceedings
  • Enforcement
  • Bankruptcy
  • Winding up the Company
  • Defended actions

We have an outstanding track record in commercial debt recovery. Our swift and effective strategies will help to improve your cash flow and ensure you are receiving the payment due.

More of your debt recovery FAQs answered

What does a debt recovery solicitor do? 

A debt recovery solicitor will help you understand options that are available to you to recover an unpaid debt. These options include:

  • Writing-off the debt
  • Negotiating a settlement
  • Insolvency proceedings
  • Court proceedings

A solicitor will be able to give you a view of your legal rights and start the process of recovering the debt if you want to recover your monies.

Can you draft a letter before action for debt recovery? 

Yes, we can help you draft a letter before action for debt recovery, however, we need to understand the nature of your debt. You can have a personal debt or a trade debt, and we need to understand if the debt involves a written contract.

Our service is not limited to just drafting and sending a letter before action. Our debt recovery service aims to find a resolution, which will help recover your debt.

Can you make a company or individual that owes you debt insolvent or  bankrupt? 

Yes, you can threaten the other party with insolvency proceedings and proceed to make them insolvent.

In some circumstances, a creditor can recover a debt by threatening the debtor with insolvency proceedings through a statutory demand.

A statutory demand is a written notice in a prescribed form demanding payment of a debt owed by a company to one of its creditors.

The purpose of a statutory demand is to establish whether a company or individual is unable to pay their debts. If the debt remains unpaid and ifof it is not disputed, the debtor is deemed to be unable to pay their debts and this gives a creditor the ability to present a winding-up petition against the company.

How can we find out if the debtor has the means to pay the debt? 

Our team can help you in gathering financial details of the company or person who owes you debt.

We can obtain a pre-litigation report which helps identify the assets, debts and judgements against the individual. The report covers various financial matters of the company or person, and we would recommend this if you don’t have a good understanding of the party that owes you debt.


Temilola Ade-John

Commercial Litigation Partner

e: temi@carterbond.co.uk
t: +44 020 3475 6751
m: +44 07940 722 825

Jayesh Jotangia

Litigation Barrister

e: jayesh@carterbond.co.uk
t: +44 020 3475 6751

Enis Rifat

Consultant Solicitor

e: enis@carterbond.co.uk
t: +44 020 3475 6751
m: +44 07538 597 236


Acting for a high street food retailer in claims relating to theft and misuse of confidential information

Acting on behalf of housing Association Tenants in a class action against a well known UK Housing Association

Partner Led

Unlike many law firms when we say partner or barrister led, we mean partner or barrister led. When clients work with us, they get constant access to the lead on their instruction. Yes, we have a team of solicitors and juniors for some of the groundwork and necessary research required by our clients, but this is when it makes financial sense to the client for us to do this. We provide constant contact at no extra cost as part of our service as most of our lawyers have their own business, so they know first-hand how important having a proactive, responsible and trusted partner on their side can be. And also how to work to a financial budget, and the way that legal decisions impact the wider organisation, which often requires balancing risks and competing interests.

Proactive Contact

Many ask us ‘what’s different about you?’ and we like to reply, ‘because we go the extra mile’. We see our work as building and maintaining good business relationships rather than just earning fees. How we do this is by keeping in constant contact with our clients and intermediaries. From pre to post instruction we ensure that our clients are informed of all legal issues that may impact their business and therefore lives. That is why we provide daily or weekly updates to ALL of our clients whether there is anything to tell them or not (we don’t charge for this we just see it as part of our service). We like our clients to rest peacefully knowing that when we are instructed, and we say ‘we will take it from here’ they know we mean it.

City quality, outer City fees

The world is changing, and many individuals are realising that lifestyle is as vital to them as is income. We are the lucky ones who can hand pick lawyers who can provide the best quality advice but at outer city costs. Our offices are in North West London which may not be the most salubrious in the market but at the same time this allows us to charge our clients for what they pay for, our advice NOT our office space.

ALL our lawyers have previously worked in large city-based law firms and continue to practise and offer  the same high level service  they provided to clients in the City but without the pressure and demands often dictated by City law firm. This allows us to be competitive on our fees without compromising our service.

All in all, our clients win, which is the way we like it.

Our knowledge and resources are yours

All our clients benefit from the same high level of care and attention whether the instruction is big or small. At the outset of each matter, we discuss the entire process with our clients, including the costs, potential outcomes and issues associated. This is to ensure clients are fully aware, knowledgeable and are in control always. Supporting and ensuring we provide the highest level of services, we offer our constant contact process with the partner or barrister leading  your file, a document log in for matters which are for larger and more complicated instructions and on-going support post transaction should our clients require it. Our aim is not just to get the work done, but to make our clients’ lives easier as we do it, which is why we ensure that our clients have regular access to the resources they need from us.


“They gave us excellent advice and did fantastic work.”

Monica Mihai 
Monica Mihai

“Very professional and knowledgeable.”

Sanjay Samani The Seven Harrow Limited
Sanjay Samani

“Quick to respond and always stayed on top of everything.”

Bini Patel, Veswas Ltd
Bini Patel,

“Can’t recommend Carter Bond highly enough!”

Vimal Patel, E-Apps Solutions
Vimal Patel,

“The team at Carter Bond operate ethically, efficiently and they work around the clock to make your goals, their goals.”

Shaz Memon Digimax Dental
Shaz Memon
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For more information, or to discuss your requirements, please contact our team on +44(0) 20 3475 6751 or info@carterbond.co.uk