Business Debt Recovery Guide

How We Help You Recover Outstanding Debts

Chasing unpaid invoices can be frustrating and time-consuming, especially when you’re focused on running a business. At Nantes, we offer a straightforward and cost-effective debt recovery service designed to help you reclaim the money owed to you as efficiently as possible.

Before court proceedings are considered, our experienced team explores all appropriate pre-legal steps and alternative dispute resolution methods. Where suitable, we can negotiate structured repayment plans, such as weekly or monthly instalments, and actively monitor them to ensure compliance.

If legal action becomes necessary, we’re here to guide you through each stage of the court process with clear advice and practical support. No debt is too large or too small for us to assist with. Get in touch for a no-obligation conversation about your options.

Very responsive and helpful solicitors. They efficiently handled our house sale for us.
Simon S.

Key Stages of Business Debt Recovery

1: Letter Of Claim

Our first step is to issue a formal Letter of Claim to the debtor on your behalf. This document outlines the amount owed, explains the required actions to avoid legal proceedings, and includes a claim for statutory interest and compensation where applicable. If the debtor fails to respond or settle the outstanding balance, we will proceed to the next stage.

2. Court Proceedings

Should court action become necessary, we will prepare and file a Claim Form with HM Courts & Tribunals Service. A court fee, payable in advance, will apply (see disbursement table below). The claim will include the principal debt, accrued interest, compensation, and fixed commencement costs as allowed under Civil Procedure Rule 45.2.

3. Judgment and Enforcement

If the debtor does not respond or files no defence, we will request a Judgment from the court. Additional fixed costs may be added in line with the Civil Procedure Rules.
If payment is still not received after Judgment, we will advise on the most appropriate enforcement options, which may include:

  • Instructing High Court Enforcement Officers

  • Applying for a Third-Party Debt Order

  • Applying for a Charging Order against property

Each step is handled by our experienced litigation team, ensuring a clear and compliant process from start to finish.

Our Fees

Where the matter relates to non-payment of an invoice, and it is not defended by a debtor, our charges are as follows:

If the value of the unpaid invoice is less than £5,000:

Legal Fees From To
Cost
£600
£2,000
VAT
£120
£400
Total
£720
£2,400

If the value of the unpaid invoice is between £5,000 – £10,000:

Legal Fees From To
Cost
£800
£2,200
VAT
£160
£440
Total
£960
£2,640

If the value of the unpaid invoice is between £10,000 – £25,000:

Legal Fees From To
Cost
£1,200
£2,500
VAT
£240
£500
Total
£1,440
£3,000

If the value of the unpaid invoice is more than £25,000:

Legal Fees From To
Cost
£1,500
£3,000
VAT
£300
£600
Total
£1,800
£3,600

Where debts are disputed by the debtor, or where you are defending a claim, or where substantial documentation or reading is required, we charge based on our hourly rates. The standard hourly rate is £275.00 plus VAT (total £330.00). If the Head of Department is instructed, the rate is £325 plus VAT (total £390).

Our hourly rates are detailed in our Terms of Business. We will always provide a clear estimate of the likely costs and any disbursements (payments to third parties) before any fees are incurred.

In general, if the matter is resolved without the need for court proceedings or formal mediation, our costs are likely to be as follows:

Legal Fees From To
Cost
£1,000
£2,000
VAT
£200
£400
Total
£1,200
£2,400

In the event that mediation and/or Court proceedings are required (in a matter where the debt is disputed) our charges are likely to be in the range of:

Legal Fees From To
Cost
£10,000
£35,000
VAT
£2,000
£7,000
Total
£12,000
£42,000

Disbursements:

What is a Disbursement in Debt Recovery?

In debt recovery, a disbursement is a cost we pay to a third party on your behalf as part of the legal process. Common examples include court issue fees or enforcement agent charges. These are separate from our legal fees, and we’ll always let you know about them in advance before any costs are incurred.

Claim Amount Court Fee (inc VAT)
Up to £300
£35
£300.01 – £500
£50
£500.01 – £1,000
£70
£1,000.01 – £1,500
£80
£1,500.01 – £3,000
£115
£3,000.01 – £5,000
£205
£5,000.01 – £10,000
£455
£10,000.01 – £200,000
5% of the claim
More than £200,000
£10,000

For further information on Court fees, please visit: https://www.gov.uk/make-court-claim-for-money/court-fees

Other common disbursements:

  • Court fees – see table above.
  • Process server fees – typically around £400 inc VAT
  • Counsel’s (Barrister’s) fees – these can range from approximately £900 to £24,000 inc VAT, depending on the barrister’s experience, the complexity of the matter, and whether a trial is required.
  • Enforcement process fees – to transfer a County Court Judgment to the High Court for enforcement, there is a fee of £78 payable

 

We will discuss our costs with you in detail, including your potential liability for the other side’s legal fees if your claim is unsuccessful. We can also advise on the fixed costs that apply to small claims.

Other common disbursements:

A straightforward claim is typically resolved within three to four months. More complex claims may take between six and eighteen months, depending on various factors such as court availability, complexity of the case and the requirement of experts or witnesses.

I can’t thank Cherise and her team enough for helping us buy our first home. They ensured the whole process ran smoothly, keeping us updated along the way and answered any questions we had promptly. Highly recommend☺️
Gemma B.

Solicitors in Bridport, Dorchester, Portland & Weymouth

Why Choose Nantes Solictors

Choose Nantes Solicitors for your legal needs in Dorset and benefit from our reputable law business. With a history extending back to the 1800s, we have established ourselves as a leading authority in the region, famous for our legal knowledge and great client service.

We can customise solutions to our clients thanks to our considerable business and local experience. With offices in Bridport, Dorchester, Weymouth, and Portland, we are easily accessible throughout the region.

Each department at Nantes Solicitors is overseen by an experienced Director, ensuring competence and insight in every case. We simplify difficult legal issues with our forward-thinking guidance.

We prioritise your objectives, actively listening and collaborating with you to obtain the desired results. Our expert solicitors deal with any concerns that arise and provide thorough help throughout the procedure.

Nantes Solicitors is known for its legal quality, local knowledge, convenient locations, forward-thinking approach, and uncompromising dedication to customer satisfaction. We are your reliable legal partner in Dorset, ready to help you with all of your legal needs.

Enquire Today!

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