Take back control of your cash flow
Find everything you need to get your money moving in no time. Our debt recovery specialists have supported thousands of small businesses just like yours to take back control and recover debts sooner, so you can get back to business
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With comprehensive downloadable guidance and professional support, you can speed up processes and get your business’ cash flow back on track.
Free template letters
Download and customise our pre-action letter templates to help you recover the money owed to you, whether from individuals, sole traders or businesses. It’s just one of the many free templates available as part of your membership.
Our debt recovery experts are here to answer your questions 24/7 through our legal advice line, so you can have confidence that you’re taking the right steps towards a resolution.
Free interest calculator
Don’t pay extra to work out what you’re owed. Our interest calculator makes it easy for you to work out how much interest is owed on your late payments from suppliers or clients.
All the tools you need
Services to support you through the entire process. From credit control letters and Protocol-compliant letters before action, through to court proceedings and enforcement, our experts are here to help you every step of the way.
You’re in control
Unlike other debt collection services, you’re in control of the entire process, and in 80% of cases, we help small businesses to get paid before it comes to legal action.
No hidden fees
If all else fails, legal action is often the last resort - but it can get costly. Instruct one of our lawyers with the peace of mind of discounted fees and certainty of costs - no surprise bills.
We don’t give up
We don’t just send a letter and call it a day. When instructed, our ‘reasonable endeavours’ means we’ll follow up after the letter with a phone call or email to chase payments or offer payment plans.
Ready to get started?
Clear communication is often all it takes to settle an invoice, which is why late payment letters are so important to the debt recovery process. You should have a clear policy in place for overdue payments, such as:
✔️ Following up non-payments with a friendly letter, email or phone call.
✔️ Reminding your clients about the payment terms in your contract.
✔️ Applying interest to encourage prompt payments.
✔️ Advising your client that you’ll be pausing all future work until invoices are paid.
Our debt recovery experts are just a phone call or click away to advise members, whether you’re dealing with a one-off customer or fighting the tactics of a regular late payer.
A letter before action warns the late payer that if payment is not made, you’ll be willing to take legal action and the letter is the first step in the legal process. It’s sent when you’ve already taken steps to try and recover the debt, like frequent phone calls, adding interest, offering payment plans and sending late payment demands.
FSB members can access a free template through FSB Debt Recovery on our online Legal Hub, or you can instruct a legal expert from Markel Law to write and send it for them for a discounted fee.
Unlike a letter before action, which warns of imminent legal action if no payment is made, a late payment demand lets you claim interest and compensation under the Late Payment of Commercial Debts (Interest) Act 1998 in addition to the principal sum.
If an LPD has been sent and the debtor fails to pay, an LBA should then be sent, giving the debtor a final deadline in which to make payment and providing certain other information as to the debt that the Court expects to be provided before formal action is taken.
FSB Debt Recovery provides you with a free, downloadable Pre-Action Protocol compliant letter before action (LBA) and a late payment demand letter (LPD) so you can choose what’s right for your circumstances.
Many smaller firms add in terms of interest on overdue invoices into their contracts to deter late payments. In the absence of such a clause, statute provides for a default rate of interest to be added, which depends on whether the debtor is a company or an individual.
Ultimately, your decision will come down to the relationship you have with the business that owes you money. Our members can quickly work out how much interest you might charge with our free late payments calculator.
Debt claims must be brought within 6 years of the sums falling due or, if it occurred later, the debtor’s last acknowledgment of the debt. Otherwise they will be statute-barred and become unenforceable. At that point, they should be written off as a bad debt.
The FSB Legal Hub has a dedicated debt recovery page that provides a range of resources for members, to help you reduce aged debt and recover overdue invoices. This includes a free guide with tips on how to resolve issues with late paying customers and provides details of the debt recovery process.
You can also seek expert debt recovery advice from a team of dedicated lawyers via the 24/7 legal helpline. Alternatively, if you’re unsure or think the letter would carry more weight coming from solicitors, you can instruct a legal expert from Markel Law to write it for you for a discounted fee.
FSB members can access on-demand guides and documents 24/7 by logging into our legal hub through their member dashboard.
Want this benefit for your business? Find out more about FSB membership here.
Latest Resources from FSB Debt Recovery
Join our panel of FSB staff as we discuss how to make the most of the many FSB benefits, from debt recovery and funding, to care and legal support.
We asked the experts your frequently asked questions about how debt recovery works, including reminder letters, charging interest, court proceedings, and bad debts.
If you’ve lost count of how many reminder letters you’ve sent and phone calls you’ve made to chase late payments, learn more about the legal action you can take to recover debts.