Are there any other charges?

Court fees, if the matter goes to court, are borne by the client and told upfront. There is no fee for the consultation and nothing to pay before recovery.

What if the buyer pays me directly after the notice?

A payment made because of the recovery action counts as recovered, wherever it lands. Inform FundRaksha so the case can be closed and the fee settled.

Is the consultation really free?

Yes. The consultation and case assessment are free, with no obligation. If you decide to go ahead, there is still nothing to pay upfront: FundRaksha Legal charges 30% only on the amount actually recovered. Court fees, if a matter goes to court, are borne by the client.

Are there any upfront fees?

No. FundRaksha Legal charges a 30% success fee, only on the amount actually recovered. If nothing is recovered, there is no success fee. Court fees, if any, are borne by you and told to you upfront.

How fast does my case start?

Within 24 hours of receiving your complete documents, a dedicated advocate is assigned and the legal notice is sent as an e-notice, followed by registered post.

Do most cases go to court?

No. About 60% of our cases settle before anything is filed, through the notice, negotiation and a payment plan. The rest go to MSME Samadhaan, a Section 138 complaint, a civil suit or arbitration, handled by the same advocate.

Do you work with businesses anywhere in India?

Yes. Notices, filings and follow-ups are handled digitally, and advocates appear wherever the matter is heard. FundRaksha works with suppliers, manufacturers, traders, distributors and service businesses in every state.

Glossary

What is a success fee in debt recovery?

A success fee is a charge calculated as a share of the money actually recovered, rather than a fixed or hourly fee. It aligns the recovery provider's incentive with the client's: no recovery, no fee.

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1,000+

businesses onboarded

₹50 Cr+

invoice value handled

700+

businesses got their money back

60%

of cases settled before court

Short answer

A success fee in debt recovery is a percentage of the amount actually collected from the debtor, payable only when and to the extent money comes in. FundRaksha Legal charges a 30% success fee on recovery, with nothing upfront; FundRaksha Collect charges 1% on amounts collected through reminders and mandates. Court fees, if a matter goes to court, are separate and borne by the client.

How it works in India

Traditional recovery is usually billed by appearance, by stage or as a fixed retainer, so the client pays whether or not money is recovered. A success-fee model shifts that risk to the provider. The fee is calculated on what the debtor actually pays, whether in one sum, in instalments or after a settlement for less than the full claim. Each instalment carries its share of the fee when it is received.

FundRaksha LegalTech is a technology company; legal work on its platform is done by enrolled advocates. The 30% fee covers notices, negotiation and the forum work handled through the platform, while statutory court fees remain the client's cost.

Why it matters for getting paid

For an MSME owed a few lakh, upfront legal fees are often the reason a claim is never pursued. A success fee removes that barrier and makes old or written-off dues worth chasing. It also focuses effort on outcomes: settling quickly is in everyone's interest. Compare models on no recovery, no fee and the recovery fee calculator.

How FundRaksha uses it

FundRaksha has worked on ₹50 Cr+ of invoices for 1,000+ businesses on this model. A dedicated advocate is assigned and the notice goes out within 24 hours of complete documents; about 60% of cases settle before court. Start with a free consultation, or read more at https://legal.fundraksha.com.

Worked example (hypothetical)

A Vadodara engineering firm is owed ₹10,00,000. After a FundRaksha Legal notice, the buyer agrees to pay ₹6,00,000 now and the remaining ₹4,00,000 in two months. On the first ₹6,00,000, the 30% fee is ₹1,80,000 and the firm keeps ₹4,20,000. When the ₹4,00,000 arrives, the fee is ₹1,20,000 and the firm keeps ₹2,80,000. In total the fee is ₹3,00,000 and the firm receives ₹7,00,000. Had the buyer paid only the first ₹6,00,000 and nothing more, the fee would have stayed at ₹1,80,000.

Last reviewed: 2026-10-08. Information for Indian businesses; not legal advice.

Free, no obligation

Free consultation and case assessment

मुफ़्त सलाह, कोई शुल्क नहीं

Talk to a FundRaksha recovery expert for free. In one call we assess your unpaid invoices and tell you honestly what can be recovered, how, and in roughly how long. No fee for the call, no obligation, and no upfront cost if you go ahead: our fee is a percentage of what we actually recover.

A review of your invoices, purchase orders, delivery proof and the buyer’s replies
An honest assessment of recovery chances and the right route: reminders, legal notice, MSME Samadhaan, Section 138 or a civil suit
A realistic timeline and the exact cost: nothing upfront, a success fee only on recovery
A dedicated advocate assigned within 24 hours if you decide to proceed

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Keep these ready

The unpaid invoice(s) and payment terms
Purchase order, delivery challan, e-way bill or proof of service
Messages, emails or letters about the payment
For a bounced cheque: the cheque and the bank return memo

No recovery, no fee. Court fees, if any, are borne by the client and told upfront.

FAQ

Questions, answered

The fee applies to the amount actually recovered from the debtor, which includes any interest the debtor pays as part of the recovery.

This page is general information for Indian businesses, not legal advice for your specific case. Laws, rates and procedures change; speak to an advocate before acting. FundRaksha LegalTech Pvt Ltd is a technology company; legal work is carried out by enrolled advocates.