Debt Collection Agency Canada
If you need to collect an unpaid business invoice in Canada, the most effective approach is a documentation-first recovery plan with clear escalation gates and transparent reporting.
Because rules can vary by province and territory, the strategy should start with jurisdiction clarity and a complete case file.
Note: This page is general information, not legal advice. Requirements and options depend on the province/territory, contract terms, and case facts.
Who this service is for
- Exporters and service providers outside Canada with Canadian B2B customers that stopped paying
- Canadian companies pursuing overdue commercial invoices domestically
- CFOs, credit controllers, and AR teams managing aged receivables (60–180+ days) who need structured escalation
5-step provincial-aware collection for Canadian B2B across common law and Quebec civil law
Verify debtor via provincial registry, determine common law vs Quebec civil law jurisdiction.
- Pull provincial corporate registry extract
- Identify registered vs operating province
- Determine Quebec civil law applicability
Build provincial-compliant evidence file with interest per provincial rates.
- Index invoices, POs, delivery confirmations
- Calculate interest per provincial statute
- Prepare bilingual documentation (EN/FR) if Quebec
Calibrated outreach in English or French respecting provincial business culture.
- Initial statement in appropriate language
- Phone follow-up to accounts payable
- Escalation to financial controller
Pre-legal formal demand with explicit timeline per provincial requirements.
- Send formal demand via registered mail
- Reference provincial limitation periods
- Set 10-14 day response deadline
Route via Small Claims Court or Provincial Superior Court based on amount.
- Small Claims for amounts under provincial limit
- Provincial Superior Court for larger claims
- Cour du Québec for Quebec civil procedure
⚖️ Route via Small Claims Court or Provincial Superior Court
What we collect (B2B only)
In scope
- Unpaid commercial invoices (goods and services) between businesses
- Contract/PO/accepted-quote balances and overdue milestones tied to delivered scope
Not in scope (typical)
- Consumer/personal debts
- Requests for legal advice (legal steps are handled via qualified partners if escalation is approved)
How the process works in Canada
Intake & strength check
Confirm debtor legal entity, province/territory, dispute status, and documentation completeness.
Amicable recovery
Structured outreach designed to secure payment, a short plan, or an approved settlement—without premature escalation.
Amicable RecoveryFormal demand
If normal follow-up stalls, move to a formal, evidence-backed demand with a cure date.
Negotiation & closure
Convert "we'll pay" into a written commitment with dates, then reduce payment friction (invoice references, remittance details).
Escalation review
If amicable recovery fails, review escalation options and economics before moving forward.
Legal EscalationWhat's different about Canada (practical realities)
Provincial/territorial rules matter
Debt collection is regulated through provincial and territorial laws, so compliance and process often depend on where the debtor is located.
Quebec is different
Quebec uses a civil-law system, while most other provinces/territories follow common law, which can affect how disputes and documentation are approached.
Bilingual readiness helps
English/French capability can reduce friction with stakeholders and paperwork in Canada-wide portfolios.
Email/SMS outreach awareness
If communications qualify as "commercial electronic messages," Canadian anti-spam rules can require sender identification/contact details and an unsubscribe mechanism (where applicable).
What to submit (document checklist)
Contract & billing
- Contract/terms, MSA, or accepted quotation
- Purchase order(s), if used
- Invoice(s) + statement of account
Proof of delivery / performance
- Signed delivery notes (if applicable)
- Acceptance emails, sign-off, service reports, or implementation logs
Communication log
- Email thread exports (chronological)
- Call notes (dates, names, outcomes)
Debtor details
- Exact legal entity name (as invoiced), address, website
- Key contacts (AP/finance/director)
Reporting & transparency
- Clear case stages (Intake → Contacted → Negotiating → Commitment → Closed / Escalation Review)
- Regular updates with next action, owner, and due date
- Evidence archive per case for internal auditability
Pricing (success-based)
Success-based typically means fees apply only when funds are recovered, with terms agreed before starting.
Frequently Asked Questions
Get a free case assessment
Send invoice(s), acceptance proof, debtor details, and your communication log for a quick assessment.
Debt Collection by City
Ontario
Financial & business hub of Canada
Quebec
Bilingual business center with civil law
British Columbia
Pacific gateway for trade & commerce
Alberta
Energy & resources sector hub
Ontario
Government & technology center
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Interactive Collection Tools
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