At Carter Bond, we appreciate that a lot of businesses are still feeling the financial impact of the pandemic. As a result, we have seen an increase in business owners chasing debts that are due to them. Oftentimes, these aged debtors are a product of financial instability as a result of the pandemic. Our clients have afforded the debtors payment holidays, plans and other relaxation when it comes to repayment. Now, as we enter the post-pandemic landscape, our clients are looking to recoup the debts they are owed, and which remain unpaid.

There are various debts our clients are chasing such as money from suppliers, associates or even from their own private business i.e. rent. We act for a whole range of clients when it comes to debt recovery including pharmacies, dental practice owners, GPs, nurseries, care homes, opticians, landlords, construction companies, accountants, jewellery suppliers…the list is endless.

It can be very stressful and time-consuming chasing late payments as a business owner, not least due to the impact on the business’s cashflow. We always advise our clients that it is imperative to keep your house in order in respect of finances and to have a system in place to recover the money at an early stage. It is also important to ensure your business terms and conditions are clear as to when the payment becomes repayable and how payment can be made. Below we discuss various cost-effective steps you can take to recover money that is due.  

Have a chat  

The power of communication is key. Unfortunately, communication has got lost over the years. It may often be the case that the debtor has not received the invoice, or it has got lost in translation. Therefore, we often find that by simply picking up the phone to the debtor and explaining the situation, this can resolve the pay dispute and payment is received. If this is not an option and you still have to chase the debt, the next step would be to issue a formal letter. 

Demand payment  

We find that by sending a formal demand letter, it encourages debtors to make payment immediately. A carefully worded letter that sets out the payment terms and the consequences of not paying is all it can take to focus the debtor’s mind on making payment. If this does not work, then the next step would be to take matters one step further before taking court action and that would be to issue a pre-action protocol letter.  

Letter Before Action  

This is an extremely robust and powerful letter setting out the circumstances surrounding the debt, how a debt can be paid and implications if the debt is not paid by that date. One of the implications is that you will proceed with issuing a county court claim in order to obtain a county court judgment against the debtor. This can lead to serious consequences, therefore usually we find that the debtor ends up paying and the dispute is resolved. If this does not resolve and repayment is not received, we can discuss the next steps in proceeding with a county court claim or proceeding with insolvency procedures.  

Here at Carter Bond Solicitors, we understand that paying legal fees in order to recover a debt you are due is nonsensical, but we would like to provide you with the reassurance that the team here is proactive and offers a fixed fee where possible in order to recover the sum that is due to you.  We are transparent with fees therefore you will not receive an unexpected invoice. Let’s face it we have all been there where we are faced with an unexpected bill, rest assured we will not put you in this position and do this to you.

For more information or assistance, you can contact Carter Bond Solicitors at 020 3476 6751 or via email at and a member of our dispute resolution team will be able to provide you with assistance and discuss the options available to you.  You can also find valuable resources on their YouTube channel and website at

This note comprises the view of the author at the time of writing. This note is not a substitute for legal advice. Information may be incorrect or out of date and may not constitute a definitive or complete statement of the law or the legal market in any area. This note is not intended to constitute advice in any specific situation. You should take legal advice in specific situations. All implied warranties and conditions are excluded, to the maximum extent permitted by law.