Unpaid invoice

wallace7

I don't know if this is the right section for this but here goes - I run a small business and send invoices out to customers for work I have carried out. I allow 28 days for payment. An invoice which was due for payment on 2/1/17 hadn't been paid s I sent a reminder on 2/1/17. Still not received payment by 23/01/17 so I issued a reminder saying payment now overdue please pay within 3 working days to avoid further action. Payment still not received and no communication. The thing is - what is the next step I need to take now to recover the debt? Small claims court? or Solicitors letter? Any advice on how to recover a debt much appreciated thanks.

unholyangel

How much is the debt and is it a consumer that owes you money or a business?

Not that it really makes a difference to the options available, just it might affect how you go about it and what you can claim.

wallace7

It is £1000 I am owed from a county council who I carried out some work for. I have been doing this on a monthly basis for them for the last couple of years this was the final invoice and now the work for them is finished.

steampowered

Send the debtor a formal 'letter before action' setting out that you are owed money and giving them 14 days to pay, saying that you will otherwise have no option but to issue a claim.

If they do not respond to the letter before action, you can issue a small claim through the moneyclaimonline system. It is pretty straightforward for simple cases.

If the debt is not disputed it is unlikely to be worth using a solicitor.

unholyangel

wallace7 wrote: »

It is £1000 I am owed from a county council who I carried out some work for. I have been doing this on a monthly basis for them for the last couple of years this was the final invoice and now the work for them is finished.

Ah, councils can be a pain in the bahookie to get payment from but from what I heard, they were supposed to be trying to crack down on it to have all/most undisputed invoices paid without going overdue.

First I'd maybe try calling them and asking whether you are sending the invoice to the right department. If it has been sent correctly then send a letter before claim/action. Keep it simple, on x date they agreed for you to prove xyz services in exchange for £1000, you've provided the agreed services but they have not paid your invoice and it is now x days overdue, please pay in full without further delay and in any event, within 14 days or you reserve the right to issue legal proceedings against them without any further communication or notice - at which time you will also be claiming any reasonable costs incurred due to their breach of contract including interest in accordance with the late payment of commercial debt (interest) act.

alumende27

Is this any help? You can start charging interest soon too!

https://www.gov.uk/guidance/prompt-payment-policy

wallace7

very useful thank you.

Hintza

Did you perhaps enter in to an agreement (possibly unbeknown) to abide by the council's payment terms?

Why not call their accounts department?

agrinnall

Is it the Local Authority that you live in? If it is raise it with one of your councillors and get them to exert internal pressure on the department concerned.

Sicard

It would be interesting if you called in the county court sheriffs to claim the money from their own employers.

keithdc

Sicard wrote: »

It would be interesting if you called in the county court sheriffs to claim the money from their own employers.

Pretty sure county court bailiffs are employed by court service (central government) not local government.