Winding up petitions

Why should you let one of your customers hang on to your money when the debt is clearly undisputed? The law allows you to choose whatever enforcement method is appropriate to the circumstances. Where your corporate customer cannot dispute that the debt is due it may be appropriate to serve them with a winding up petition.

Petitions can be issued against any size of company so long as the following criteria are fulfilled:

• The debt has fallen due;
• Demand has been made and the debt remains unpaid
• The debt is undisputed;
• The debt is for a liquidated sum;
• The debt is for £750 or over.

Deeming a company insolvent in such circumstances can certainly focus the mind of a slow paying customer. Faced with a choice of advertisement of the petition or payment of the debt, even the most stubborn of debtors will think twice about risking insolvency rather than paying monies validly due.

Petitions can, therefore, be very potent weapons indeed in the right hands. We at Francis Wilks & Jones have enormous experience in this field and our recovery rates for clients are extremely effective.

For more information contact Andy Wilks on 0845 402 5466 or email us at info@franciswilksandjones.co.uk