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Is it always worth pursuing overdue debts?
You want to be sure that you have a reasonable chance of recovering the debt, and that it will justify the expense and effort of pursuing it.It may be best simply to write off small debts (say, less than £100), although you should consider whether this would create a precedent which encourages other small debtors not to pay. For larger debts, you need to investigate why the customer has not paid. If there is a dispute over the goods you supplied, it will be difficult to recover the debt without resolving it. If the customer is in cashflow difficulties, you may want to try to negotiate part payment and reschedule the debt.
If there are already outstanding county court judgements (CCJs) against the customer, you may have problems recovering the debt - ask the local court to check the Register of County Court Judgements. If the customer has become insolvent, the chances of recovering any significant amount are likely to be poor, although if you have a valid retention of title clause, which allows you to retain ownership of goods until they are paid for, you may be able to recover the goods.
