Managing the debts of a business is crucial to ensuring that the business is successful. When debts are too large it can impact on the cash flow of the business, but a more detrimental impact on a business will be had when someone refuses or does not pay those moneys which are owed to the business or person.
Regardless of the size of the debt owed there are methods that can be implemented in order to obtain payment of the debt.
The first point of call is to ensure that the contract was created in a manner which could be enforced in a court if needed. In the event that defects exist it is important to rectify those defects (if possible) as early as possible.
Once it is confirmed that the terms of payment have been implemented correctly, it is important to issue a letter of demand. There are many requirements to a letter of demand which, if done incorrectly could adversely affect your claim for payment of the debt.
Obviously, it is always important to try and settle a debt recovery dispute without recourse to court proceedings in the first instance. This may occur by an agreement with the person who owes the debt, or payment plans or another form of negotiation. Alternatively, mediation is always an effective method of trying to resolve a dispute.
From time to time however, formally pursuing debtors for non-payment is necessary in order to recover the amounts outstanding. In Queensland, the jurisdiction of applicable Courts is determined having regard to the debt amount being pursued, the nature of the relief sought and factors such as where the contract was formed and or completed. Understanding how the court process operates is important to effectively and efficiently commencing and progressing debt recovery proceedings before the Courts. Queensland Law Practice is experienced in providing advice and representation in debt recovery proceedings across a broad range of industries and professional settings.
Regardless of the size of the debt owed it is crucial to obtain legal advice very early on as time limits apply. Queensland Law Practice can create a debt recovery plan that is timely, cost effective, strategic and solution focussed specifically for your individual matter.