| What or Who: |  SEARCH |
Problems with client refusing to pay?Business Community Home > Business Law Forum > Non-payments and Debt Forum |
 |  POST A REPLY | Viewed 468 times |
| Original Message Added : 8 Aug 2012 This site provides information about claiming interest using legislation designed to promote prompt payment. I have used the logo and code they provided to put on my stationery and websites. There's loads of TV programs about rogue traders and cowboys. What about the rogue customers to whom many of us trust to pay us and the full amount after we have completed the works. Some of these people are habitual rogue customers and they have an impact on the prices we all charge to cover for losses such as this. I fortunatly has spent a number of years as a credit manager and as such have a little knowledge of the things I can use to get my cash without going to court. Tax can be claimed back for materials used on these jobs and the debtor should be informed that he/she is liable for that tax via customs and excise. If you want to go down the court route it is possible but could be expensive. As long as you have not breached your contract and done work to an acceptable standard you should win, however is it worth it as the run up to this could be expensive. I have the use of a debt recovery agent (known him for years) and this is definitely a cheaper option to put a little pressure on the debtor. I hate having to do this sort of thing but business is business. Hope this helps Andy
|
|
| Reply : 8 Aug 2012 Thanks for this post, I will take a look at the site you advise. Rogue customers are very few, luckilly for me, but some companies I work for periodically are quite happy to leave me waiting 4-6 weeks for payment, the sums involved being very small, few hundred pounds, hardly a dent in their cashflow!!! Regards....Andy |
|
| Reply : 8 Aug 2012 I don't like doing this, as it smacks of rogue trader, however I have found that if I make it clear I want at least a payment for 50% after my first days work this helps My payment terms are on date of invoice, I know this gives little time but it works for me I can then determine a risk earlier than waiting 30 days. Conversly I ask all my creditors for terms of 30 days from the end of month, this allows me more time to collect from my debtors "win win. " Less stress too Proforma invoices are good too. |
|
| Reply : 11 Aug 2012 |
|
| Reply : 14 Aug 2012 It is good Thanks |
|
| Reply : 14 Aug 2012 - (Edited : 14 Aug 2012) You dont state how much you are owed or for what services you are owed (Time and materials). You can start a small claims court claim online after giving your debtor 7 days notice of your intention.You may add interest to the balance owed by the debtor. You may need an expert such as a QS if the work done is of a technical nature. Arbitration may be possible if the debtor agrees.Some trade associations offer this service. If you have a good reputation you should have a contract incorporating progress payments reflecting your risk i.e.If you have to buy expensive materials at the start of a contract the deposit/progress payment will be higher.Dont leave a large balance outstanding at the end of the contract. If a potential customer refuses to pay a deposit you have probably saved yourself from a bad debt! Regards Chris Whiteley 07790-816592 Info@Clientspal.com Offices in most UK cities.
|
|
| Reply : 16 Aug 2012 |
|
| Reply : 17 Aug 2012 Do your research before going to court,mainly advice is given via forums based on experience and the days current legislation ( statutes ) i.e. 2 months ahead it may be different. Also it is subjective. i.e. one law is not all encompassing. there are or will be mitigating circumstances of some sort. Defence of a claim costs!!!!!!!!!!!!!! A good example of this is that if someone is on your property and you call the police and they respond it is not for the trespass it is to ascertain if there is a crime being commited .... in actual fact the offence is civil and not criminal, so the police in actual fact can not take action unless there is a breach or a reasonable reason to suspect that there is a breach or will be a breach of criminal law.... So... lets say that decide civil action is the way forward.... Hmmm dot your I' and cross your t' because you get it wrong here it really costs... Don't let principle get in the way of business...... Time is money etc.... |
|
| Reply : 18 Aug 2012 The second option is get a reliable debt collection company to chase the debt, we work with someone charge 12-13% no win no fee, no matter your client in the UK or in the Europe they can help Thanks Harry Lee |
|
1)