What we do
What does Rafferty & Maze do?
We pursue unpaid B2B commercial invoices on behalf of UK creditors, using a structured demand sequence under the Late Payment of Commercial Debts (Interest) Act 1998. We act only on undisputed debts owed by limited companies and LLPs, with a minimum balance of £1,000.
How does commercial debt recovery work in the UK?
The structured sequence is: a formal demand citing the Late Payment Act and the contractual terms, then a Letter Before Action giving fourteen days to pay or face proceedings, then either a county court money claim or a statutory demand if the matter has not settled. Most undisputed debts settle within the demand sequence and never reach court. See our process for the detail.
Are you a law firm?
No. We are a commercial debt recovery firm. We do not provide legal advice and do not appear in court. We instruct panel solicitors for litigation when matters do not settle within the demand sequence.
Cost and fees
How much does it cost?
For most matters, nothing to the creditor. Our fee is recoverable from the debtor under Regulation 5A of the Late Payment of Commercial Debts Regulations 2002. The debtor pays the principal plus statutory compensation, statutory interest, and reasonable recovery costs (which include our fee). The creditor receives the principal of the invoice in full. See our fees page for a live calculator.
Who pays the recovery fee, me or the debtor?
The debtor, in almost every successful matter. The Late Payment Act makes the debtor liable for the creditor's reasonable costs of recovery. Our fee falls within that category and is added to the sum demanded.
What if you do not recover anything?
No fee is payable to us, and the creditor pays nothing. Our model is fully contingent on successful recovery.
Is the recovery cost capped?
Recovery costs must be "reasonable" under Regulation 5A. The accepted commercial range in 2026 is between ten and twenty per cent of the principal, depending on debt size and complexity. Our standard is fifteen per cent; smaller debts may attract a slightly higher proportional rate, larger debts a slightly lower one.
What we accept and what we decline
What kinds of debts do you accept?
Undisputed B2B commercial debts owed by UK‑registered limited companies or LLPs, with a minimum balance of £1,000. The debt must be presently due and not statute‑barred.
What kinds of debts do you decline?
Consumer debts, sole‑trader debts, debts owed by individuals, genuinely disputed debts, debts owed by counterparties already in formal insolvency, and debts more than six years past their due date (statute‑barred under the Limitation Act 1980).
What is your minimum debt size?
£1,000. Below that, the recovery costs are difficult to justify on a per‑case basis. We sometimes accept smaller debts where they are part of a portfolio referred together.
Is there a maximum debt size?
No formal cap. We have handled matters up to several hundred thousand pounds. Larger and more complex matters may benefit from direct solicitor instruction; we can assess at intake.
The Late Payment Act
What is the Late Payment Act and how does it apply to me?
The Late Payment of Commercial Debts (Interest) Act 1998 makes the debtor liable for statutory compensation (a fixed sum, £40 to £100 per invoice), statutory interest at eight per cent above the Bank of England base rate, and the creditor's reasonable costs of recovery. It applies automatically to almost every B2B commercial debt in the UK. See our pillar guide.
Do my contract terms have to mention the Act for it to apply?
No. The Act applies regardless of whether the contract refers to it. The relevant terms are implied into the contract by statute.
What is the prescribed rate of statutory interest?
Eight per cent above the Bank of England base rate, fixed for six‑month reference periods ending 30 June and 31 December. The rate that applies to a particular debt is the rate in force on the last reference date before the debt went into default.
Timing and practicalities
How long does recovery typically take?
Most undisputed matters settle within six to eight weeks from the date of instruction. Letter II (around the four‑week mark) is when most remaining debtors settle. Matters that do not settle within the demand sequence are referred to litigation, which can take three to nine months depending on the court and whether the claim is defended.
How quickly do you act after I instruct?
We assess every instruction within twenty‑four working hours. If accepted, Letter I issues the same working day. The first formal demand reaches the debtor's registered office within twenty‑four to forty‑eight hours of instruction.
What information do you need from me?
The unpaid invoice, the contract or terms of business between you and the debtor, proof of delivery or completion, any prior correspondence with the debtor about the debt, and confirmation that the debt is undisputed. The intake form on our submit page walks through everything.
Can I terminate the matter mid‑way?
Yes, in writing at any time. Where the debtor pays within ninety days of termination as a result of a letter we have issued, the recovery costs remain payable. Otherwise, no fee is due.
What happens at the edges
What happens if the debt is disputed?
The sequence pauses. We tell the creditor within two working days. Where the dispute is genuine and substantive, we close the matter at no charge and recommend a different procedural route (mediation, adjudication, or litigation depending on the dispute). Where the dispute appears manufactured, we assess and continue if we judge that it does not survive scrutiny.
What if the debtor has gone insolvent?
We do not pursue debts where the debtor is in formal administration, liquidation, or has been dissolved. The creditor is a creditor in the insolvency process and recovery follows different rules. Where retention of title or another proprietary claim exists, we can advise on engagement with the insolvency practitioner.
What if the debtor still does not pay after Letter III?
Matters that do not settle within the demand sequence are referred, on the creditor's written authority, to our panel solicitor for either a money claim through the County Court or a statutory demand and winding‑up petition (depending on the debt size and the debtor's profile). The creditor is consulted before any procedural escalation.
How are recovered funds returned to me?
Funds are received into our designated client account, held on trust pending remittance, and transferred to the creditor's nominated bank account typically within ten working days of cleared funds. The creditor receives a written remittance advice with each payment.
Other practicalities
Do you act on overseas debts?
For debtors registered in the UK, regardless of where the creditor is based, yes. For overseas debtors, the procedure differs and we assess case by case. Cross‑border matters often require foreign court proceedings or recognition of a UK judgment abroad, which is materially more expensive and slower.
Can I instruct you on multiple matters at once?
Yes. We accept portfolios of matters and offer modest fee adjustments for volume. The intake process is the same per matter; the operational efficiencies on our side translate into better economics for high‑volume creditors.
Are my client matters confidential?
Yes. We are bound by professional confidentiality and by the data protection obligations under the UK GDPR. We do not disclose client matters to third parties except as required to pursue the recovery (for example, to the panel solicitor on referral).
Do you have a US arm?
Yes, with offices in Tribeca, New York. The US programme operates under different fee mechanics (state law rather than the Late Payment Act). Use the flag in the header to switch to the US site, or visit /us/ directly.
If your question is not covered here, write to accounts@raffertymaze.com or call +44 20 7946 0100. We respond within one working day.