UK firms are willing to go to the High Court in order to get back money they believe is owed to them, as businesses are becoming more prepared to undergo lengthy and potentially costly legal proceedings.
The trend is a reflection of just how desperate companies are becoming as economic instability continues to cause woe for many.
Regional Managing Partner at Irwin Mitchell, Nick Bates, quoted figures to suggest that there was a 44% increase in the number of claims being issued in 2011 when taken in comparison to 2010.
Bates stated: “It may be viewed that litigation in the past couple of years has been a discretionary spend, but many companies may have reached the point where all other opportunities to avoid such action have been exhausted.
“As people get desperate maintaining commercial relationships becomes less important”, he concluded.
Senior Partner at McCormicks Solicitors felt that the relationships between suppliers and debtors were becoming fraught and fractious, “Those who are owed money want to collect it as quickly as possible. Some of those who may owe money wish to defer payment and often create disputes to delay the payment process and to explore the chances of getting a discount from the creditor, in return for a prompt end to the dispute.”
Credit Control with Invoice Factoring
As late payment culture continues to reign across the UK, it is understandable that businesses will look to do whatever possible to ensure debts are collected as quickly as possible.
Here at Skipton Business Finance, we believe our solutions can help you avoid having to go to court and consequently limit the amount of time and money you use to claim back the money you’re owed.
By taking out an invoice factoring facility, businesses can benefit from the provision of a credit control team by SBF to help collect debts quickly and simply, as well as an invoice finance facility designed to free up cash tied up in unpaid invoices.
Invoice Finance is fast becoming the number one financial product of choice for printers in the UK