Supporting capability

MSME Receivables

When a smaller enterprise is owed money by a larger buyer and needs leverage that works

Parliament gave registered smaller enterprises a distinct route for delayed payments, with a facilitation mechanism and an interest regime that changes the arithmetic of ignoring an invoice. Many eligible suppliers never use it, and many that do use it late.

The work

The practice takes MSME suppliers through the route end to end. It verifies eligibility and registration, computes the claim with statutory interest, drafts the reference and the demand correspondence around it, and appears through the facilitation and arbitral stages. Where a settlement is the better outcome, it negotiates from the position the statute creates rather than from hope.

The practice also acts for buyers who face references, because the scheme has conditions and defences of its own, and a claim that fails them can be resisted.

How the practice approaches it

The statutory route rewards clean paper. Purchase orders, invoices, delivery proof and the registration certificate decide more than argument does. The practice defines the claim, verifies each document against the scheme’s requirements, tests the likely defences of quality and set-off, and then advises whether the reference, a suit, an insolvency demand or a negotiated close serves the client’s cash position best.

Begin with the issue, not the sales pitch.

Describe the situation in general terms. The forum, the deadline, the document you have received. The practice replies with what it needs to check before anything else, and a conflict check comes before any confidential detail.

Before you write. Please do not send confidential documents, case papers or privileged detail until the practice has completed a conflict check and confirmed in writing that it can act. A first message should describe the issue in general terms only.

Letters & Spirit

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