Commercial Debt Recovery

When your business is owed money, taking swift and decisive action is crucial. At Legal Recoveries, we specialise in commercial debt recovery, helping businesses reclaim unpaid debts through professional and effective debt recovery services. Whether you’re dealing with small business debt recovery or large-scale commercial debt, our experienced team is here to support you.

Commercial Debt Recovery Solutions

Our commercial debt recovery solutions are designed to recover outstanding debts efficiently while maintaining professional relationships. We work closely with businesses to ensure that all available legal avenues are explored, including:

  • Letters Before Action (LBA) – A formal letter demanding payment within a set timeframe.
  • Interest and Compensation Claims – Claiming statutory or contractual interest and compensation as per the Late Payment legislation.

Court Proceedings – If necessary, issuing legal claims to recover the debt.

Commercial Debt Recovery Process

We provide a straightforward and transparent debt recovery process:

  1. Assessment of the debt – Reviewing contracts and agreements to establish your legal position.
  2. Pre-litigation action – Sending Letters Before Action and negotiating with the debtor.
  3. Legal proceedings – If required, taking the debtor to court.
  4. Judgment and enforcement – Enforcing judgments through various legal means, including High Court Enforcement and Charging Orders.

Business Debt Recovery

Unpaid debts can have a significant impact on your business’s cash flow. Our business debt recovery services ensure that businesses of all sizes can reclaim outstanding funds without unnecessary stress. We act swiftly to ensure minimal disruption to your operations, handling everything from initial contact with the debtor to legal enforcement if necessary.

Debt Value

  • Up to £999.99
  • £1,000 – £9,999.99
  • £10,000 or more

Late Payment Claimable Charges

  • £40
  • £70
  • £100

Small Business Debt Recovery

For small businesses, unpaid invoices can be particularly damaging. Our small business debt recovery service is designed to assist SMEs in recovering debts efficiently, ensuring that your business remains financially stable. We offer tailored solutions to meet the unique challenges faced by small businesses in debt recovery cases.

Business Debt Help

If your business is struggling to collect overdue payments, business debt help from our experts can provide the guidance and legal support needed. Our team can advise you on the best strategies for debt recovery, ensuring compliance with relevant laws and regulations.

Late Payment Legislation

Under UK Late Payment legislation, businesses have the right to claim:

  • Interest on overdue invoices.
  • Compensation fees based on the amount owed:
    • Up to £999.99: £40
    • £1,000 – £9,999.99: £70
    • £10,000 or more: £100
  • Reasonable debt recovery costs where applicable.

We ensure that you receive all entitled payments under this legislation, providing clear advice on your legal options.

We use the quicker Claims Productions Centre to issue claims through the County Court. We can handle any of your defended matters up to and including a final hearing. The work is supervised by Rachael Ward, our COLP lawyer (Compliance Officer for Legal Practice).

Debt Recovery Services

Our debt recovery services include:

  • Letter Before Action (LBA) – Encouraging prompt payment from debtors.
  • Legal Claims and Court Action – If necessary, pursuing the case through the courts.
  • Judgment and Enforcement – Ensuring that debts are recovered using legal enforcement methods, such as:
    • High Court Enforcement Agents.
    • Charging Orders.
    • Attachment of Earnings Orders.
    • Insolvency proceedings, including Statutory Demands and Winding-Up Petitions.

Asset Trace Report

During the collections process we can obtain a Mini or full Asset Trace Report about your customer which would provide us with information that we can use to determine the most appropriate action to take. The reports are in-depth and include associated addresses, insolvency details, legal proceedings, target company/business research, active directorships, dissolved directorships, overseas directorships, non-limited company research, shareholdings, and land registry searches.

From the start of our relationship, we will:

  • Save you time and valuable resources in the collection of money owed.
  • Devise strategies to maximise recovery of your debts.
  • Provide you with continued support. advice and assistance throughout the debt recovery process.
  • Ensure that your reputation is always protected by always acting in a professional, compliant, and ethical manner.
  • Provide you with Debt Manager access to enable you to keep updated as to the progress of your cases.
Get in touch

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If you are a business and would like to know more about how we can help you please complete the short form below and we will get back to you as soon as possible.

Featured Customer Reviews

Nottingham City Council

I have had the pleasure of working with Legal Recoveries and Collections (LRC) for several years across various industries. Throughout our partnership, LRC has consistently demonstrated a deep knowledge of the market and provided strategic insights that have been invaluable to our business. Their excellent communication and commitment to delivering on promises have always stood out. LRC’s proactive approach, engaging early and adapting as needed, ensures that we are always prepared and supported. Their partnership style not only delivers the best results for our business but also enhances the experience for our customers.

Credit Control Manager – Leading International Law firm

“LRC provide a professional and efficient service, delivering regular updates and effective solutions”

International Credit Insurance Client

We have been utilising the legal review services of Legal Recoveries and Collections (LRC) for the past few years, and we couldn’t be more satisfied. Their reviews are consistently thorough and informative, becoming an essential part of our pre-legal processes. This has significantly helped improve our recovery rates and reduced overall legal costs. The team at LRC are also very easy to work with and always available to provide professional advice when needed. We highly recommend their services.

North East Ambulance Service

As an NHS ambulance Trust, we don’t have in-house debt collection specialists, so find it difficult to pursue monies outstanding once our usual follow up process runs its course. LRC was recommended to us by another local NHS Trust and we approached them to find out what they could offer. We have been using LRC for nearly 3 years now and have not been disappointed. Our collection rate is circa 70% which represents a significant sum of money that is coming back into the NHS for patient care.

The team are very knowledgeable on the best route to recovery but will also advise when its just not financially viable to pursue a debt any longer. We have regular updates and meetings with Andrea the client services manager so everything is kept on track. It’s always our decision but LRC give us the best tools to make the right one.

London Metropolitan University

We have worked with Legal Recoveries and Collections for a number of years now and they have provided an outstanding service to us. We have worked closely with the team and have a good working relationship with both Rachel and Andrea. Their online portal is very user friendly. They have collected both pre-legal and post legal debts for us to a high standard and we would recommend their services to anyone considering using them going forward.

Utilita Energy Limited

We contacted LRC when we wanted to strengthen our collections processes and recover debt after we had exhausted our internal processes attempting to collect. From the off, LRC offered exceptional advice and support and helped us shape the way in which we approach collections. The team at LRC have a wealth of knowledge and experience which has enabled them to collect a significant amount of money on our behalf and through their professional approach have helped to change customer behaviour in many cases from infrequent to regular payers. LRC have tailored their collections activities to meet our needs and regularly make suggestions to make sure we spend our money wisely to ensure maximum return from their services . We are currently working with LRC to create a bespoke training package that they will deliver to staff across the business who manage and recover debt. I would not hesitate to recommend LRC for debt recovery.

Commercial Debt Recovery FAQs

Q. What is commercial debt recovery?

Commercial debt recovery refers to the legal process of reclaiming unpaid debts between businesses. This typically involves formal letters, negotiations, and if necessary, court proceedings to secure payment. Our team at Legal Recoveries ensures a professional approach, maximising your chances of successful recovery.

Q. How long does the debt recovery process take?

The length of the debt recovery process depends on various factors, including debtor responsiveness and whether court action is needed. In many cases, debts can be resolved quickly through Letters Before Action, but if legal proceedings are required, the process may take longer.

Q. What are my rights under Late Payment legislation?

The Late Payment legislation allows businesses to claim statutory interest (currently 8% above the Bank of England base rate), fixed compensation, and reasonable recovery costs for overdue invoices. Our team will assess your situation to determine the full amount you are entitled to claim.

Q. Can small businesses recover unpaid debts?

Yes, small business debt recovery is a crucial service we offer. Small businesses often struggle with late payments, but our legal expertise ensures that even the smallest claims are pursued effectively. We provide tailored solutions to help SMEs recover their debts efficiently.

Get in Touch with Us

If you have any questions about our service or would like to discuss your matters with us in greater detail, please contact the Business Development Team on 0330 024 6342