Having issues with a customer who won’t pay up? You are legally entitled to that money, and your late-paying customer is the one in breach of the purchasing agreement. Taking legal action against them can be a daunting prospect, which is why you should always look at hiring an agency to help you retrieve this money first, here at CPA we hope to resolve all issues without the need for legal action – and have a great success rate of doing so!
However, with that being said, sometimes the above is easier said than done. For example, if you are a freelancer and you have submitted a small amount of work to a client and they’ve stopped returning your calls, the legal process could cost more than the payment you’re chasing, so ultimately is it really worth it?
To help you weigh up your options on we have put together this list of pros and cons about seeking legal services:
Legal action won’t damage your reputation
You might be feeling put off pursuing a payment from a customer out of fear it will damage your reputation, however this feeling is usually mirrored by the non-paying party. If you are to seek legal action against a business, this usually leaves them feeling red-faced and acts as a catalyst to prioritise your payment.
Legal advice won’t bankrupt you
Many unpaid invoices are swept under the rug due to smaller businesses or individuals’ misconception that going legal is expensive. However, legal charges vary depending on the size of the debt.
Payment for invoices isn’t always guaranteed
Even if you decide to legally pursue the case, don’t assume the customer will pay up. There are a variety of reasons for this; a customer may believe you are the one in breach of the agreement, or they may be unhappy with the quality of the services/product you provided.
Time and effort
Finding the time in a busy work schedule to chase clients for payment can be difficult. The legal system can also be complex and confusing one and if you decide against seeking professional legal action, you will need to research your rights as well as legal terminology.
Want to know more?
If you’re in the unfortunate position of a customer refusing to pay you, we can help.
At Cash Protection Agency, we pride ourselves on our sensitive yet diplomatic and discreet approach to commercial debt recovery and debt collection. We are persistent and do not give up easily, for our aim is to get results. Our aim is to always resolve cases without the need for legal action.
Please feel free to contact us for more information and a member of our team will be happy to help.