Debt & Asset Recovery
Recovering a debt owed to you is our priority
The strategy with debt recovery will depend on whether the debt in question is disputed or not. This will affect not only the strategy, but also the costs involved with the same.
For recovery of an undisputed debt for a value under £100,000, we charge in the region of £2,500.00 - £15,000.00 plus VAT (excluding enforcement and any post-judgment work, e.g., winding up or bankruptcy). Disputed debts will usually incur more costs as there is a disagreement between the parties as to whether the debt in question has actually crystalised or not.
For undisputed debts, the most appropriate first step is to serve a statutory demand on the debtor. We will usually instruct a process server to personally serve the statutory demand on the debtor. Typically, process server fees will be in the region of £80.00 - £100.00 plus VAT.
Depending on the value of the debt (and whether it is disputed or not), we may wish to instruct counsel on your behalf (with your approval) to assist with tasks such as drafting pleadings and attending Court. We set out below the estimated costs associated with most debt recovery matters.
The hourly rates of our team:
Partner: £350.00 - £550.00 (plus VAT)
Senior Associate: £290.00 - £450.00 (plus VAT)
Junior Associate: £250.00 (plus VAT)
Second Year trainee: £200.00 (plus VAT)
First Year Trainee: £180.00 (plus VAT)
Paralegal: £165.00 (plus VAT)
The standard scope of works included within our fee are as follows:
Taking your instructions and reviewing documentation. For ease, we will send you a form to complete so you can provide us with all the details regarding the debt owed to you.
The steps are as follows:
- Undertaking appropriate asset searches
- Sending a letter before action
- Issuing a statutory demand (if the debt is undisputed)
- Receiving payment and sending the same to you, or if the debt is not paid, drafting and issuing the claim
- Where no acknowledgement of service or defence is received, applying to the court to enter a Judgment in Default
If the debt has not been collected within a reasonable time period (not less than 30 days), we will provide you with advice as to the next steps and the likely costs. Each debt collection matter is unique, and we will advise you with a bespoke strategy which will realise the debt owed to you in a swift and cost-effective manner.
Please see below a non-exhaustive list of the disbursements you may need to pay to recover a debt:
- Process server fees
- Photocopying fees
- Counsels' fees
- Court fees
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