UK Government Further Extends Temporary Restrictions on Winding-up Petitions
Creditors have been dealt another blow with the temporary restrictions on winding-up petitions being extended by a further three months.
With recent delays to the removal of some of the final coronavirus restrictions, we are still not out of the woods yet and this is having a prolonged impact on the economy.
This three-month extension on restrictions takes us through to 30th September 2021 and will be a move welcomed by corporate debtors, as they will see this as an opportunity for some breathing space.
This is not great news however for creditors who may be wishing to take legal action against their debtors in the form of a winding-up petition. Even if the temporary restrictions on winding-up petitions are lifted in September there is likely going to be a huge backlog so it is doubtful that any new petitions will be heard by the end of the year.
The courts are not a good avenue to go down right now
Standard court actions are still facing delays due to the backlog of cases of all types. Even before the pandemic you would expect it to take 12 to 16 weeks to get a case to court – already a long timeframe! Now we are realistically talking 20 or more weeks to get judgments against a debtor.
As a business who has outstanding invoices, do you have 20 weeks to wait for these to be paid?
The current economic climate is very unstable as it is, so it is even more important to take back control and recover what you are owed.
Working with a commercial debt recovery partner will give you support from professionals who will work to recover what you are owed without going through the courts. Our pre-litigation approach not only saves you time and money, but we also work to ensure that your relationship with your customer is not jeopardised when we action your debt.
Would you give your creditor an extension?
By waiting until you are able to issue a winding-up petition you are effectively granting a huge extension to your debtor to repay what they owe you.
We have seen businesses in the past continue to trade, paying other creditors but not paying a penny to other creditors who are pursuing them. Then on the last day before court they will pay up to avoid the judgement going against them.
Here at Darcey Quigley & Co we can start recovering your outstanding invoices as soon as today. Our team of commercial debt recovery experts work quickly and diligently to collect what you are owed as efficiently as possible, taking every precaution to protect your existing relationship with your customer. Times are tough as they are without alienating your customers, however this is no excuse to sit back whilst you are owed money.
Don’t delay – recover what you are owed today!
When deciding which route to take to collect commercial debt, there are two key advantages to using Darcey Quigley & Co compared to going through the courts.
The first is time.
As a business owner or credit manager you cannot afford to wait around for invoices to be paid. Whether your performance targets or business’ survival depends on it, you need to do everything you can to get paid as quickly as possible.
When we action debts here at Darcey Quigley & Co the average case is paid out within just 16 days. There is no need to wait 20 weeks for a court case to recover your outstanding invoices.
The second big advantage of using a debt recovery specialist like Darcey Quigley & Co compared to pursuing legal action is the costs involved. The cost of issuing a winding-up petition is around £2,000, with the cost rising if you choose a solicitor to act on your behalf.
Darcey Quigley & Co work on a clear and fair fee structure where you pay a percentage of the debt that is dependent on the age of your invoice.
Using Darcey Quigley is also a risk-free approach to collecting your overdue invoices. We operate on a no win, no fee basis so you only pay when we successfully recover your debt.
Choosing a debt recovery partner you can trust
Darcey Quigley & Co have been collecting commercial debts worth hundreds of millions of pounds for clients all over the world for over a decade.
Our unique approach and track record have earned us a reputation as UK market leaders for commercial debt recovery and this is a proud mantle that we carry to ensure we always deliver exceptional service for our clients. Our 5 Star Trustpilot rating speaks for itself.
Meet our credit management and commercial debt recovery content writer, Declan!
With a keen eye for detail and a passion for educating others, Declan is committed to creating informative and engaging content that empowers readers to get a firner grasp of their credit control to improve their cashflow.
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