1st bad debt

[dfen5]

Got my first non paying customer, £2k plus VAT. Got caught on this as a guy I know said they're good payers. Never again..

Called them they agreed a staged payment as they seem cash strapped but nothing's come in.

Any advice on where next?

[LordHaveMurci]

We have just used Thomas Higgins to recover a small debt for us, sent a 7 day Letter before Action which luckily was enough in this case., we have used them for Court action over the years with mixed success.

Cost is very low, work load is very low so little reason not to give it a go really unless anybody has better suggestions?

[E31Shrew]

Are they local?

[Simpo Two]

Commence Small Claims procedure with an appropriately worded letter. It is the start of what can be a tedious and slow process, but you will get paid if you see it through.

[dfen5]

E31Shrew said:

Are they local?

About 30 miles away. Makes it worse 'cause I actually did the customer service thing and dropped the equipment off.

[dfen5]

LordHaveMurci said:

We have just used Thomas Higgins to recover a small debt for us, sent a 7 day Letter before Action which luckily was enough in this case., we have used them for Court action over the years with mixed success.

Cost is very low, work load is very low so little reason not to give it a go really unless anybody has better suggestions?

Looks reasonable. Should I call my customer to let them know this is the rout I'll take or just go for it?

[LordHaveMurci]

dfen5 said:

LordHaveMurci said:

We have just used Thomas Higgins to recover a small debt for us, sent a 7 day Letter before Action which luckily was enough in this case., we have used them for Court action over the years with mixed success.

Cost is very low, work load is very low so little reason not to give it a go really unless anybody has better suggestions?

Looks reasonable. Should I call my customer to let them know this is the rout I'll take or just go for it?

I'd just send a 7 day LBA personally then escalate in a week if needed.

[dfen5]

LordHaveMurci said:

I'd just send a 7 day LBA personally then escalate in a week if needed.

Is email sufficient these days with read receipt or recorded?

[LordHaveMurci]

dfen5 said:

Is email sufficient these days with read receipt or recorded?

We used snail mail option as all previous emails had been ignored.

[DSLiverpool]

LordHaveMurci said:

We have just used Thomas Higgins to recover a small debt for us, sent a 7 day Letter before Action which luckily was enough in this case., we have used them for Court action over the years with mixed success.

Cost is very low, work load is very low so little reason not to give it a go really unless anybody has better suggestions?

Tommy Higgins there's a one man band that spotted a niche beautifully. Great success story and a good cash chaser

[elanfan]

If the item hasn't been paid for is it still technically yours (does your contract say this, if not perhaps it should?). Just turn up with a couple of large mates and collect it.

[LordHaveMurci]

elanfan said:

If the item hasn't been paid for is it still technically yours (does your contract say this, if not perhaps it should?). Just turn up with a couple of large mates and collect it.

Rarely works that way in reality. I know people who have done it but legally you're on shaky grou d I should think.

[LordHaveMurci]

dfen5 - any update on this?

[AB]

DSLiverpool said:

LordHaveMurci said:

We have just used Thomas Higgins to recover a small debt for us, sent a 7 day Letter before Action which luckily was enough in this case., we have used them for Court action over the years with mixed success.

Cost is very low, work load is very low so little reason not to give it a go really unless anybody has better suggestions?

Tommy Higgins there's a one man band that spotted a niche beautifully. Great success story and a good cash chaser

He's a neighbour of my parents and has a rather nice Rolls Royce Phantom! He's obviously doing something right.

[DSLiverpool]

AB said:

DSLiverpool said:

LordHaveMurci said:

We have just used Thomas Higgins to recover a small debt for us, sent a 7 day Letter before Action which luckily was enough in this case., we have used them for Court action over the years with mixed success.

Cost is very low, work load is very low so little reason not to give it a go really unless anybody has better suggestions?

Tommy Higgins there's a one man band that spotted a niche beautifully. Great success story and a good cash chaser

He's a neighbour of my parents and has a rather nice Rolls Royce Phantom! He's obviously doing something right.

He worked very very hard for a long time and deserves everything he has, they do a great job.

[AB]

DSLiverpool said:

He worked very very hard for a long time and deserves everything he has, they do a great job.

Allows his son to drive round in an Aventador anyway.

[Pot Bellied Fool]

dfen5 said:

Got my first non paying customer, £2k plus VAT. Got caught on this as a guy I know said they're good payers. Never again..

Called them they agreed a staged payment as they seem cash strapped but nothing's come in.

Any advice on where next?

If they made an arrangement with you & didn't even show lip service to it then my good humour would be used up & it's time to go in hard & fast - before someone else does & they go pop! Is it a Sole Trader or Ltd?

I very, very rarely have any issues but when I did, Colin the owner at www.matrixlegal.co.uk (old friend of mine but I've seen him get great results for folk for years - happy testimonial! ) sorted it. Only once did it have to go to Court & we won resoundingly.

Worth having a word with him about making sure your documentation, T&Cs and credit referencing for new clients is upto scratch too.

[jonamv8]

Tried a statutory demand yet? I had recent success with one. They've also got me my money in the past

[nxi20]

jonamv8 said:

Tried a statutory demand yet? I had recent success with one. They've also got me my money in the past

^^ This

I used a Statutory Demand twice last year on Ltd. companies that were full of promises to pay but short on actual payment. Sent recorded delivery to their registered address, the prospect of the company becoming involved in winding up proceedings was enough of a wakeup to elicit full payment within 72 hours in both cases. Very simple form to fill in:

https://www.gov.uk/statutory-demands/forms-to-issu...

[dfen5]

Let it ride for a few days and tried calling. Got the 'X is in a meeting and will call you back' rubbish. Very disappointing.

Sent a letter today giving them 7 days to pay in full or else (words to that effect).

Ltd company by the way, still seem to be trading and actively posting on Twitter etc.. Love to comment on their timeline but common sense stops me..

Will probably just use Thomas Higgins if they don't pay to save me the worry. But.. Have to say I'm tempted by the winding up route mentioned above. Is it as easy as it looks or am I more likely to get a reply requiring proper legal advice?