Recovering Debts from Global Brands

It’s not unusual for Advocate to recover debts from globally recognised companies trading in the UK. From fast food to aerospace, here are some recent examples.

Fast Food Slow Payment

The most successful fast-food restaurant chains are franchise based. At least 70% of all restaurants are franchised at arm’s length liability from the brand they represent. Strategic urban sites are more likely to be company-owned, such as the London restaurant in need of our client’s attention. Credit/debit card transactions account for over 75% of retail spending, but there is still a need for cash safes. Our client was contracted to urgently repair the restaurant’s time delay safe. By definition, our client is a critical supplier but a year after sacrificing a Sunday afternoon to attend the site, the debt remained unpaid. With the local site manager and Head Office deflecting ownership, Advocate Debt Recovery was instructed. Having made contact with both site and office, payment was swiftly received in just 48 hours following a year of the client going around in circles.

Balancing the Books

An international accountancy firm kept a fledgling HR consultancy business waiting 110 days for payment. The amount was a significant inconvenience to our client who was unable to attract enough attention before Advocate’s instruction. No accountancy firm worth their salt will condone paying suppliers late, let alone intentionally commit the offence themselves. Advocate’s instruction bought the client priority. It also provided a timely reminder to the debtor about heeding its own advice on the treatment of suppliers. The HR consultancy invoice was promptly paid. In keeping with the highest standards of scrutiny, it took a further 9 days for the statutory charges invoice to be validated and paid in full.

Turning Up the Heat

Our next debtor is renowned for producing domestic heating controls in addition to their manufacturing and hazard prevention divisions. They had been supplied with a lubricant essential to maintain the mechanicals in a vacuum pump. With the £2.1K exceeding 100 days overdue, our client’s Credit Control team were being given payment promises that came and went. Opening a dialogue with the right department in the right country is often half the battle, and something Advocate promptly overcame. Once the urgency reached the right people, the debtor promptly made payment.

Hidden Industry

This debtor is best known for not being well known. They operate in the aerospace and marine engineering sectors specialising in defence and ammunition systems. Our client provided microelectronic devices for the production line and invoiced £2K on 30-day terms. It was a relatively simple transaction. The invoice and matching PO were submitted to Accounts Payable along with proof of delivery. Despite that, payment was not forthcoming and the client was being passed from person to person trying to get the invoice authorised. At 83 days overdue Advocate were instructed. Within 24 hours of our instruction full payment was received.

Simple Truth

It doesn’t matter how famous a company, what kind of industry leader they are, or how many billions they turn over – a company still has to pay its debts when they fall due. The Late Payment of Commercial Debts Regulations 2013 applies to all UK businesses. Prestige or international recognition does not absolve a company of its obligation to pay suppliers and the associated statutory late payment charges. Whether a company is operating out of a potting shed or an ivory tower the same basic principle applies. Advocate is just as proficient at recovering payment from global brands as it is from more modest local businesses. In the same light, we also recover payment on behalf of industry behemoths as well as smaller businesses and micro entities. No matter what your business or who your debtor is, get in touch to see how Advocate Debt Recovery can assist.

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