Recovery action is the process a lender may follow to recover an unpaid debt, used only as a last resort after attempts to agree an arrangement.
In practice
Recovery action follows a defined, proportionate order and comes only after we have tried to reach a company and agree a way forward. Because there is no personal guarantee, any recovery is against the company, not the director personally. Engaging with us can halt the process at almost any stage.
We lend only to UK limited companies and LLPs, and the loan is to the company with no director personal guarantee. As business finance outside the consumer-credit regime, it is not covered by the Financial Ombudsman Service or FSCS.
See also: What recovery action can we take against the company?, What recovery steps can we take, and in what order?, Default, defined.