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Especially in this economic climate getting paid in full and on time is critical. Unwanted pressure can arise when payments are not made or they are delayed which in turn impacts on your cash flow.
All businesses incur debts. Problems occur when the debts fail to be paid or collected - suddenly, there is a break in the credit control; a gap in the cash flow.
Businesses always have the option of pursuing debts through the Courts using the litigation process, however, there are also a number of alternative dispute resolution options available.
The three main options for dispute resolution in the construction sector are:
mediation - often the cheapest method as it can bring about a compromise agreement on the day.
adjudication - the primary method of dispute resolution within the construction industry due to cost efficiency and speedy nature of the process. You now have the right to refer a dispute to adjudication at any point, even after you have finished your works.
arbitration - only suitable for disputes of over £50,000
As a BESA member you can download our handy debts and disputes overview which explains the alternative dispute resolution options.
Litigation is the process you enter into when you sue someone.
As a BESA member you have access to the legal and commercial teams' expertise - they will look at your case and advise on the best method of dispute resolution helping to achieve the best result for your individual circumstances.
Insolvency proceedings are when you 'threaten' a Debtor with bankruptcy or 'winding-up' proceedings.
If your debt is over £750 a statutory demand is the legal document used to do this.
As a BESA member you have the support of the legal and commercial team who support you by writing your statutory demand.
Sign in to access the full library of legal guidance, templates and support documentation
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