Bad Debt Resolution Consultancy

The situation

A manufacturer was owed several invoices from a distributor who kept promising payment “next month.” Informal visits produced nothing. The limitation period was approaching, and management did not know whether to sue, settle, or write off the debt.

How we approach it

We mapped each invoice, interest/penalty clauses, and available security. We sent a lawyer’s demand letter, proposed a restructuring with partial immediate payment, and prepared a court claim with evidence of delivery so the limitation clock would not run out.

Possible outcome

The debtor signed a repayment schedule with post-dated commitments. A large first installment cleared; remaining amounts were monitored under the agreement, with lawsuit ready if default resumed.

The situation

A company guaranteed a distributor’s credit line. When the distributor stopped paying, the supplier demanded the full balance from the guarantor within days, threatening court and asset freezing.

How we approach it

We reviewed the guarantee scope and notices, challenged amounts beyond the signed limit, and negotiated a staged repayment tied to recovery from the primary debtor.

Possible outcome

The guarantor obtained a written schedule instead of immediate full enforcement, buying time to collect from the distributor.