Debt Recovery Fees 

No proceedings issued

The table below sets out our range of fixed fees for a business to business debt (up to £100,000) that is undisputed. These costs apply where your claim is in relation to an unpaid invoice which is not disputed and enforcement action is not needed (i.e. the debtor repays your debt after initial letter and no court proceedings being issued). 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 (including interest)        Our Fee (excl. VAT)         Total (incl. VAT)

Up to £5,000                                            £250                                     £300                  

£5,001 - £10,000                                     £350                                     £420

£10,001 - £50,000                                   £550                                     £660

Proceedings Issued

If fixed fee does not apply, i.e. proceedings is issued, we will charge our fee on hourly basis. Average costs here vary dramatically because much depends upon the value of the claim, the nature of the dispute and where your case is allocated ie to small claims, the fast track or the multi-track. We will discuss and agree with you on our fees before we charge anything from you. Hourly rate of our fee earns is set out below:

  • Senior solicitor (over 20 years of experience) - £450-£550 +VAT

  • Solicitor (under 5 years of experience) - £200-£250 +VAT

  • Trainee solicitors / Paralegal / other fee earners - £150-£180+VAT

Court Fees 

 

Claim amount                               Fees (excl.VAT)

Up to £300                                              £35

£300.01 to £500                                      £50

£500.01 to £1,000                                   £70

£1,000.01 to £1,500                                £80

£1,500.01 to £3,000                                £115

£3,000.01 to £5,000                                £205

£5,000.01 to £10,000                              £455

£10,000.01 to £200,000                          5% of the claim

More than £200,000                                £10,000

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 X days, providing you with advice on next steps and likely costs

 

How long does it take?

Undisputed matters usually take 2-4 weeks from receipt of instructions from you to receipt of payment from the other side. It the matter is taken to court it might take 16-32 weeks, 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.  This time scale is only an estimate, we will be able to give you more accurate timescale once we have more information and as the matter progresses.