• Commercial Law

    Commercial Law

    We are business people as much as we are lawyers. We will take care of the legal documents so you can confidently run your business.
    As your business grows, its risk profile and governance challenges will change. We partner with our clients over the long term to ensure they are in the driver’s seat for success.

  • Dispute Resolution

    Dispute Resolution

    We are in your corner when the going gets tough. Having resolved over 6,500 disputes for business owners have seen it all before.

    Whether you need a skilled negotiator or a fearless litigator, we specialise in delivering commercial results when:

    Customers refuse to pay;
    Suppliers let you down; and
    Business Partners do the wrong thing.

  • Employment & Safety

    Employment & Safety

    The biggest challenge for any business owner, is managing their employees.

    A difficult employee can make you question why you got into business in the first place and be toxic to your team morale.

    We deliver proactive solutions to manage your team via employment contracts, policies and procedures as well as handling employment disputes when they arise.

  • Property & Construction

    Property & Construction

    Property is the key most wealth in Australia.  Whether you are buying, selling, leasing or developing property, you need a lawyer you can count on.

    We can advise on the whole property development process from obtaining finance to development approvals, construction and sale or leasing.

    We also act for the Master Builders Victoria and have extensive expertise in construction contracts and disputes.

  • Family Law

    Family Law

    At Taurus Legal Management we understand the unique challenges clients encounter during family disputes, especially when children are involved. Our family lawyers specialise in handling high-asset cases with a focus on protecting clients wealth, securing their family’s future, and safeguarding the best interests of their children.


Are you walking away from half a million dollars profit?  How to recover your small Debts?

It is not worth chasing small debts right? Wrong! If you discount your invoices, or write off small debts, you are walking away from potential serious profit.

A discount of only $500 over say 1,000 invoices in a year, adds up. That is half a million dollars which would go straight to your bottom line!

So how do you recover those small debts without spending more time and money than it is worth?

The key to debt recovery is understanding that people are much more likely to pay you when they still need your help.  If possible, take payment before or on delivery of your goods or services.  Or at least take a deposit upfront and then render an invoice for the balance on delivery.

How to chase your debts

Follow up outstanding debts consistently and politely.  Follow ups must be systematic and increase in intensity as debts become older.  That should be enough to collect most of your debts.  Any debts that are still unpaid will then fall into 3 categories – customers who are:

  1. Hoping you won’t chase them;
  2. Unhappy with your goods or service; or
  3. Don’t have the money to pay you.

You need to deal with each of these categories differently.

Being smart with your legal options

For customers who are hoping they can get away with not paying you, a Letter of Demand or Statutory Demand from your lawyer will usually result in full payment.  That should be able to be done quickly and cheaply.

For those who are unhappy with your goods or services, you will need to address their concerns.  Do this before you engage a lawyer or you will end up in a costly dispute.  If you can’t satisfy your customers legitimate concerns you should consider if a discount is appropriate.  Any discount must be conditional on the balance being paid promptly though.  Don’t give a discount only to then have to chase the discounted figure!

If the customer says they do not have the money to pay you, it is worth asking them to provide evidence of their financial position.  Crying poor is common and usually exaggerated.  If they can show they don’t have the money to pay you now, a payment plan over time is justified.

Terms of Trade

You can also put yourself in a much better position to recover debts by having clear payment terms in your trading documents and being selective about your customers.

You should ensure your customer contracts include a personal guarantee so you can recover from the director personally if a company can’t pay.  If your customers won’t sign a guarantee, you need to ask why not?  Are they planning on not paying you?  It’s better to have that discussion up front.

You should also include a costs indemnity in your terms of trade so you can add your legal costs on top of the debt.  That will save you money and encourage debtors to pay before you engage a lawyer.

Following these suggestions should improve your cash flow and increase the profitability of your business without having to increase your revenue.

If you have any specific questions, please reach out to our experienced team at Taurus Legal Management on (03) 9481 2000 or at info@tauruslawyers.com.au.

Posted by Taurus Legal Management