Recover business dues in stages: confirm the debt in writing and get an acknowledgement; send a firm, dated reminder; stop further credit; then, if the credit period is well past, move to an advocate's notice and the statutory route that fits. Avoid discounts that reduce the admitted sum, avoid missing cheque deadlines, and avoid letting three years pass. The free consultation tells you which stage you are at and does the rest if you want it to; 30% only on recovery.
Do this yourself, this week
- Reconcile. Send the buyer a statement of account and ask them to confirm the balance in writing. A confirmation is an acknowledgement.
- Remind with a date. One clear email or letter: amount, invoices, due date, a payment date you expect, and a line that you will take further steps after it.
- Stop the bleeding. Move the buyer to advance payment or stop supply until the old dues are cleared.
- Collect proof. Pull the PO, challans, e-way bills, acceptance emails and the full message history into one folder.
- Check deadlines. Any bounced cheque? Any invoice approaching three years? Use the cheque bounce timeline and limitation period calculator.
Do not do this
- Agree a "settlement discount" before the buyer pays anything; it reduces the admitted debt and the buyer may still not pay
- Accept a post-dated cheque and forget it; if it bounces, the 30-day notice window is strict
- Send angry or threatening messages, or post about the buyer publicly; both can be used against you
- Keep supplying on credit "to keep the relationship", while the exposure grows
- Wait for the buyer's own customer to pay them; that is not your problem in law
When to hand it to an advocate
| Signal | Why it is time |
|---|---|
| Credit period passed by 30 days or more and the reminder was ignored | The buyer has decided not to pay without consequences |
| A dispute appears for the first time after your reminder | It is a delaying tactic that needs a formal reply on record |
| A cheque has bounced | Statutory deadlines are running |
| You are a registered MSME and 45 days have passed | Interest is accruing in your favour; claim it |
| The buyer is paying other suppliers but not you | You need to be the one with the notice |
At that point, book the free consultation. The expert confirms the route and, if you proceed, if you decide to go ahead, a dedicated advocate is assigned within 24 hours of your complete documents and the legal notice goes out as an e-notice, followed by registered post.
What it costs to hand over
Nothing is charged upfront. If you proceed, FundRaksha Legal charges 30% only on the amount actually recovered; if nothing is recovered there is no success fee. Court fees, where a matter is filed, are borne by you and told to you in advance. In other words, the only thing you risk by handing over is the time you would otherwise have spent chasing. For specific situations, see customer not paying invoice, the B2B debt collection service, and how to recover pending payments in Indore. For businesses with many small customers, collect.fundraksha.com automates the reminder stage.
Last reviewed: 2026-10-08. Information for Indian businesses; not legal advice.