No recovery, no fee is a pricing model in which the client pays no upfront or stage-wise fee, and the provider's fee is a share of what is actually recovered. If nothing is recovered, there is no success fee. At FundRaksha Legal the fee is 30% of the recovered amount; court fees, if any, are separate and paid by the client.
How it works in India
After a free assessment, the client shares invoices, purchase orders, delivery proof and correspondence. A notice is sent, and negotiation, MSME Samadhaan, a Section 138 complaint or a civil suit follows only if needed. At no stage is a professional fee invoiced. When the debtor pays, in full, in part or in instalments, the fee is calculated on that payment.
Because the provider bears the risk of non-recovery, it will tell you at the outset if a claim is weak: no documents, a time-barred claim, or a debtor with no assets.
Why it matters for getting paid
Fixed legal fees create a second loss on top of the unpaid invoice, which is why many suppliers simply give up. Under this model, the only cost of trying is the time to share documents. It also helps with old dues, written-off debts and buyers who ignored earlier reminders. See no recovery, no fee service.
How FundRaksha uses it
Every FundRaksha Legal case runs on this model. India's No.1 B2B payment recovery company, trusted by 1,000+ businesses, FundRaksha has seen 700+ businesses get their money back, with about 60% of cases settled before court. A dedicated advocate is assigned and the notice goes out within 24 hours. Begin with a free consultation.
Worked example (hypothetical)
A Kanpur leather goods maker refers two unpaid buyers to FundRaksha Legal. Buyer A owes ₹4,00,000; after the notice it pays in full, the fee at 30% is ₹1,20,000, and the maker keeps ₹2,80,000. Buyer B owes ₹2,50,000, but its company turns out to have been struck off and there are no traceable assets. Nothing is recovered from B, so there is no success fee on B. Across both buyers, the maker pays ₹1,20,000 in total and receives ₹2,80,000, with no money spent upfront.
Last reviewed: 2026-10-08. Information for Indian businesses; not legal advice.