QualitySolicitors Mirza’s commercial law team offer cost-effective debt recovery solutions that won’t put your business further into debt. Our team can help with everything from managing letters before action or Debt Relief Orders for individuals debtors, negotiating informal arrangements, responding to bankruptcy notices or commercial lease forfeitures.
These costs apply where your claim is in relation to an unpaid invoice which is not disputed and enforcement action is not needed. If the other party disputes your claim at any point, we will discuss any further work required and provide you with revised advice about costs if necessary, which could be on a fixed fee (e.g. if a one-off letter is required), or an hourly rate if more extensive work is needed.
|Debt value||Court fee||Our fee (incl. VAT)||Total|
|Up to £5,000||£205.00||£1,800||£2,005|
|£5,001 - £10,000||£455.00||£3,600||£4,055|
|£10,001 - £50,000||5% value of the claim||£6,000 (or 20% value of the claim)||£TBA|
|£50,001 - £100,000||5% value of the claim||£12,000 (or 25% value of the claim)||£TBA|
Anyone wishing to proceed with a claim should note that:
- The VAT element of our fee cannot be reclaimed from your debtor.
- Interest and compensation may take the debt into a higher banding, with a higher cost.
- The costs quoted above are not for matters where enforcement action, such as the bailiff, is needed to collect your debt.
Our fee includes:
- Taking your instructions and reviewing documentation
- Undertaking appropriate searches
- Sending a letter before action
- Receiving payment and sending onto you, or if the debt is not paid, drafting and issuing claim
- Where no Acknowledgment of Service or Defence is received, applying to the court to enter Judgement in default
- When Judgement in default in received, write to the other side to request payment
- If payment is not received within 21 days, providing you with advice on next steps and likely costs
Matters usually take 0-8 weeks from receipt of instructions from you to receipt of payment from the other side, depending on whether or not it is necessary to issue a claim. This is on the basis that the other side pays promptly on receipt of Judgement in default. If enforcement action is needed, the matter will take longer to resolve.