Debt Recovery

in Undisputed Claims:

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. The costs range is based on hourly rates from £175 to £300 + VAT (depending on which solicitor at the firm you instruct). All costs listed are exclusive of VAT (which is currently 20%) Preamble The full breakdown cost information for debt recovery cases for small businesses up to £100k can be found in the following table. Anyone wishing to proceed with a claim should note that:

• The following table applies to our costs for undisputed money only debt claims where no enforcement action is needed. The process of recovery may become more complicated in the event that the debtor is a child, a protected party (such as a person with no mental capacity), the estate of a deceased, based abroad, or a company that has been struck off or in administration/bankruptcy. In such cases, the matter may involve further litigation as opposed to simple debt recovery and our hourly costs will apply (please see our pricing for litigation).
• 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.
• For debts of £10,000 or less you would not normally recover your legal costs

Matters usually take 8-20 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 and the court timetable and workload. 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. Costs Estimate for Money Only Debt Claims (only where debt is not disputed by the debtor and where no enforcement action is needed).

Value of Debt	Our Costs and Work Involved	Court Fees	Other Disbursements and Value
Up to £10,000.00	Stage 1 : £2,000 + VAT Take initial instructions Review & Investigate Documents Undertake appropriate searches Draft and send the Letter of Claim Accounting to you if a payment is received	N/A
	Stage 2 : £1,500.00 + VAT ·        Draft and Issue the Claim in the relevant Court.	£35 – £455 (based on the value of the claim). Always refer to the GOV.UK Website for the most up-to-date information regarding court fees.
	Stage 3 :  £500.00 + VAT Applying for Default Judgment (where no Acknowledgement of Service or Defence is filed/served) or where Debtor admits full debt. Accounting to you if payment is received
	Stage 4: £500.00 + VAT Advising you on next steps if the payment is not received including advice about prospects and different types of enforcement actions.
£10,001.00 to £50,000.00	Stage 1 : £2,500.00 + VAT Take initial instructions Review & Investigate Documents Undertake appropriate searches Draft and send the Letter of Claim Accounting to you if a payment is received	N/A
	Stage 2 : £1,500.00 + VAT ·        Drafting and Issuing Claim in the relevant Court.	£5% of the value of the claim (or 4.5% if your claim is suitable for issuing online)	(if needed to draft pleadings) – £1000-£2000 (+VAT)
	Stage 3 :  £1,000.00 + VAT ·        Applying for Default Judgment (where no Acknowledgement of Service or Defence is filed/served) or where Debtor admits full debt. ·        Accounting to you if payment received .
	Stage 4: £1,500.00 + VAT ·        Advising you on next steps if the payment is not received including advice about prospects and different types of enforcement actions.
£50,001.00 to £100,000.00	Stage 1 : £2,500.00 + VAT Take initial instructions Review & Investigate Documents Undertake appropriate searches Draft and send the Letter of Claim Accounting to you if a payment is received	N/A
	Stage 2 : £2000.00 + VAT ·        Drafting and Issuing Claim in the relevant Court.	£5% of the value of the claim (or 4.5% if your claim is suitable for issuing online)	(if needed to draft pleadings) – £2000-£3000 + VAT
	Stage 3 :  £1500.00 + VAT Applying for Default Judgment (where no Acknowledgement of Service or Defence is filed/served) or where Debtor admits full debt. Accounting to you if payment received .
	Stage 4: £2500.00 + VAT Advising you on next steps if the payment is not received including advice about prospects and different types of enforcement actions.