There will be occasions where you will need to follow formal debt collection procedures to recover money owed by clients who have not paid on time or refuse to pay at all.

The process involves an escalating hierarchy of techniques until the debt is paid or you decide the cost of recovery is higher than the debt itself. Alternatively, you may need to dispute a debt raised against your business for products or services supplied.

Read Debt Recovery for the process on how to collect an outstanding debt.

What's next…

• Get professional advice, hire a lawyer  
• Get some tips on managing debt recovery 
• Need more information about managing staff?