Debt Recovery Scotland
We work closely with Insolvency Practitioners and clients to recover company debt and have operated in this sector for many years.
We have a particular specialism in Overdrawn Director Loan Account recoveries, working hand in hand with the Insolvency Practitioner and the impacted Directors to deliver fair, workable settlements for all stakeholders.
Debt Recovery
Debt Recovery in Scotland
Corporate debt recovery in Scotland can be a difficult process. From understanding the relevant regulations, seeking advice, following proper due process and initiating court proceedings. There are many steps involved. It is important that businesses understand the different approaches they can take when it comes to recovering any kind of corporate debt and before starting any legal action. This ensures the best outcome for them and their creditors.
Unpaid invoices can often end up in legal proceedings, especially if the debtor does not respond to attempts at negotiation for repayment. In these cases, creditors may be entitled to request interest on the outstanding debt. The amount of ‘statutory interest’ that can be charged in the UK is 8% plus the Bank of England base rate, which is set by the government. It is important for creditors to fully understand their rights when deciding whether or not to pursue legal action in order to ensure they receive all available compensation.
Before taking formal legal action to recover a due debt, it is important that creditors engage with the debtor in order to establish why they are not able to make payment. This can help both parties come to an arrangement that suits their needs, while avoiding the complex and expensive process of going through court proceedings. This initial conversation should also be used to establish the debtor’s ability to repay or negotiate any other available forms of assistance, such as coming to an agreement on a repayment plan, options for debt reduction, negotiation on interest rates or fees before making a decision about pursuing legal action.
OUR SOLUTIONS
LOCAL BUSINESS RESCUE
We are a Scottish company who specialise in providing information and support to small and medium businesses throughout Scotland experiencing financial issues. We believe that your business is best served by a company that understands the local markets, laws and has in depth experience and knowledge of business recovery solutions and liquidation options.