Sterling are the only debt collection agency with experienced agents dedicated solely to collecting recruitment debt. Our agents have a thorough understanding of the sector’s terms of business (whether they be based on APSCo, REC, ARC terms or similar), how the market operates, and the usual disputes and excuses that arise. This helps us to explain the legal standpoint to the debtor including their contractual responsibilities and the consequences of litigation. We are able to persuade the debtor that it is in their best interest to resolve the matter with Sterling rather than progress to court action. In the vast majority of cases this leads to full payment without the need for legal action meaning that our client gets paid quickly and cost effectively.
Sterling work on a no-win, no-fee basis with no up-front charges. In the majority of cases we are able to add late payment interest, fees and recovery costs to the debt meaning that the debtor effectively covers our fee. We will always pursue the highest debt value permissible by your terms of business and statute. For example where your client has benefited from a discounted commission rate, but has breached your terms of business, then we will pursue the higher fee.
Sterling staff always act in a polite and professional manner in accordance with CSA guidelines, in order to maintain our reputation and that of our clients. In certain cases we are able to get our clients paid whilst retaining their ongoing business relationship with their debtor.
In other sectors the majority of debts are simple late payments. In the recruitment sector however most debts are disputed. Sterling are particularly successful in collecting back door hire cases and disputed debts, including for example:
- Back door hire cases.
- Temp to perm fees.
- The debtor engages the candidate for a position other than the one the CV was intended for.
- The candidate leaves within the rebate period but the debtor has breached the terms of business (usually by non-payment) negating their right to the rebate/replacement candidate.
- The debtor employs the candidate via another agency after our client has sent in the candidate’s CV.
- The candidate contracts with the debtor as a sole trader or via a 3rdparty
Where legal action is necessary to collect a debt Sterling will contact our client to discuss the merits and risks of such action and will only advise our client to take action if a positive cash outcome can be achieved. Our solicitor* has extensive experience in litigating on recruitment sector terms of business and therefore is able to analyse and put together a strong case efficiently. The strength of our submissions means the majority of cases are settled without going to court.
See more on our fees here
Read some of our testimonials from recruiters here
*Sterling Debt Recovery uses an independent 3rd party solicitor. You can see more information here (Litigation)