Written by: Liana Burger | Afrikaanse weergawe
If you are a landlord waiting on rent that stopped coming in months ago, or a business owner staring at invoices that clients keep promising to pay “next week”, you already know that unpaid debt does not resolve itself with patience.
The problem is that an unpaid invoice is not just a number on a statement. It is money that your business has already earned, but has not received.
That is where we come in.
What We Do
We handle the full debt recovery process, from the first letter of demand through to judgment and enforcement. If a debtor defends the matter, we take it through trial and argue it on your behalf. If they claim they simply cannot pay, we can pursue a financial enquiry to establish exactly what they do have and recover accordingly.
When Should You Take Action?
There is often a temptation to keep giving a debtor more time, especially when you have an existing relationship with the client or tenant. However, a debtor who has ignored three follow-up calls will often respond very differently to a formal letter of demand. And if it comes to it, the sooner we issue summons, the sooner you are in a position to obtain judgment and start recovering what is owed to you.
You may be dealing with:
- unpaid invoices for goods or services;
- overdue professional fees;
- outstanding rent;
- unpaid utility charges or other amounts due under a lease;
- loans or other amounts owed to your business; or
- a client who simply refuses to pay.
There are legal avenues available to assist you in recovering what is owed to you.
The First Step: A Formal Demand
A formal letter of demand is an important first step in the debt recovery process.
It clearly records the outstanding amount, the basis of the debt, and the deadline for payment. It also gives the debtor an opportunity to resolve the matter before further legal proceedings are instituted.
More importantly, it puts the debtor on notice that the matter is being taken seriously.
What Happens if They Still Don’t Pay?
If the debtor fails or refuses to make payment, legal proceedings will be instituted.
Depending on the circumstances of the matter, this can involve issuing summons and, where judgment is obtained, taking steps to enforce the judgment.
Enforcement may include mechanisms such as a warrant of execution against property or, where appropriate, procedures aimed at obtaining payment from a debtor’s income or assets.
Business Owners and Landlords: Don’t Let Outstanding Debt Become a Permanent Expense
You worked for the money. You supplied the goods. You provided the service. You made the property available. You are entitled to expect payment.
Have You Got Unpaid Accounts Sitting on Your Books?
If you are a business owner or landlord with outstanding invoices, unpaid accounts or overdue rental, now may be the time to stop chasing payment yourself and obtain legal assistance.
Send us your outstanding invoices and accounts, and we will assess the debt, advise you on the appropriate recovery process, and assist with taking the necessary legal steps to recover what is owed to you.
The Bottom Line
Unpaid debt sitting on a spreadsheet does not help your business. If you have invoices gathering dust or a tenant who has stopped paying rent, send them our way. We will take it from there. If the money is owed to you, let us take the necessary steps to recover it.
Contact Van der Walt & Associates Inc. to arrange a consultation.
While every reasonable effort is taken to ensure the accuracy and soundness of the contents of this publication, neither writers of articles nor the publisher will bear any responsibility for the consequences of any actions based on information or recommendations contained herein. Our material is for informational purposes.