Short answer: Business (commercial) debt collection is the recovery of unpaid invoices owed by one business to another. Debt Collection UK, a trading name of PASECOM GROUP LTD, introduces claims against UK limited companies, LLPs and PLCs to an independent partner agency, which does the collecting.
The fee is 15% of what is recovered, payable only when you have been paid. Recovery is not guaranteed.
Worked example: if £10,000 is recovered, the fee is £1,500 and £8,500 goes to you.
B2B only
Business debt collection for UK commercial creditors
Protect cash flow. Upload unpaid commercial invoices and we introduce the claim to a vetted UK recovery partner. No consumer debt.
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Strictly B2B
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Vetted partner agencies
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No collection, no fee options
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B2B only
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Partner agencies
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No collection, no fee options
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Secure upload
Business debt collection for UK commercial creditors
Cash flow is not a slogan. When another business does not pay for goods delivered or services completed, payroll and suppliers feel it. Tolerating late payment teaches the debtor that your terms are optional.
Debt Collection UK is an introducer. Submit the commercial file through this portal and we route it to a vetted partner agency. We are not a first-party collector, and we do not handle consumer debt.
Strictly B2B
If you are owed money by a private individual in a personal capacity — consumer credit, household bills, personal loans — we cannot help. We accept claims only where the debtor is a limited company, LLP or PLC.
Why B2B collection is different
Corporate debtors know the credit-control script. They may dispute quality months after delivery, claim a director is unavailable, or blame their own customers. Partners used to commercial files work with company structures, director records and insolvency notices rather than consumer call-centre playbooks.
Late Payment of Commercial Debts (Interest) Act 1998
On qualifying contracts you can claim statutory interest (8% plus base rate), fixed compensation per invoice, and reasonable recovery costs. See the Act on legislation.gov.uk. Partners apply those charges where the contract allows; they are not a promise that collection will cost you nothing.
Pre-legal first
Most commercial files should start with a Letter Before Action and negotiation, in line with the Practice Direction — Pre-Action Conduct. Court, CCJs, statutory demands and winding-up petitions are later options, taken only with your instruction and with a clear view of costs.
Letter before action and next steps
For a limited-company debtor, a concise letter before action is the usual pre-action step (typically 14 days). (Sole traders are covered by a different pre-action protocol and are outside this service.) Confirm when the invoice is legally late before you escalate.
Frequently asked questions
How much does business debt collection cost?
The fee is 15% of what is recovered, payable only when you have been paid. Recovery is not guaranteed. Worked example: if £10,000 is recovered, the fee is £1,500 and £8,500 goes to you.
Which debtors can you take for commercial debt collection?
Only UK limited companies, LLPs and PLCs. The creditor can be a sole trader, but the debtor must be a company — see debt collection for small business. Consumer debts are not accepted.
What qualifies as a business-to-business debt?
A debt from a commercial transaction, such as goods supplied or services delivered on credit terms, where the debtor is a UK limited company, LLP or PLC. Debts owed by consumers, sole traders or partnerships are not accepted here.
What is a letter before action?
A formal demand that sets out the sum owed, a deadline for payment, and the intention to start proceedings if the debtor does not pay. For company debtors it should follow the Practice Direction on Pre-Action Conduct. It often prompts payment without court.
What if the debtor has ceased trading or entered liquidation?
Recovery from an insolvent company is limited, and the claim usually has to be made to the insolvency practitioner. A partner can check for personal guarantees and remaining assets and advise whether further action is worthwhile.
What does it cost?
The fee is 15% of the sum recovered, and it is payable only when you have been paid. If nothing is recovered, no fee is due. There is no upfront or upload charge.
Can I submit an invoice that is several years old?
Often yes, within the six-year limitation period for simple contracts under the Limitation Act 1980. The older the debt, the harder collection becomes, so submit as soon as internal chasing has failed.