On Friday 20 November 2015 Devonshires Solicitors launched a debt-recovery service called The Debt Collection Centre in response to growing demand for debt recovery as the economy recovers and businesses get tougher with late payers.
The service, one of the first of its kind by a City law firm, gives companies of all sizes a professional and affordable alternative to debt-collection agencies.
Services range from telephone and letter collection of debts and High Court enforcement to company litigation and insolvency − tasks debt collection agencies may struggle to deal with if they don’t have experienced in-house lawyers.
Business customers will generally only pay for the service if Devonshires Solicitors recovers the debt working where we can on a no collection no fee commission basis.
Partner, Matthew Hennessy-Gibbs said that during a recession, perhaps ironically, businesses give late payers more leeway as they don’t want to push the company into insolvency by demanding immediate payment of the debt. But as the UK economy grows “people tend to be less tolerant about debts and be more selective about who they do business with.”
He said that more companies were outsourcing their debt recovery. “Our corporate clients instruct us to do debt collection because they know we won’t damage their reputation or our reputation through the methods we use to collect the debt.”
Receiving a letter from a well-known law firm rather than a small debt collection agency can encourage the debtor to pay the debt quickly, Hennessy-Gibbs said. One corporate customer of Devonshires Solicitors had over 75% of its business debts paid after debtors got a letter from Devonshires Solicitors , warning them of possible legal action unless they paid money owed.
Our expert team cover a range of specialist skills to provide a debt collection one-stop shop. Find out more www.thedebtcollectioncentre.com