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4.97/5 Average rating from 600+ reviews
WHY USE DEBITURA? 

Recover your debt in Morocco with ease.

Debitura specializes in debt recovery services in Morocco, offering a wide range of solutions through experienced professionals. These include accounts receivable management, debt collection notices, pre-legal and legal debt collection, and enforcement court proceedings. Our team is well-versed in the laws and regulations governing debt collection in Morocco, enabling us to provide effective solutions for businesses seeking to recover outstanding debts.

Get personalized assistance throughout the entire process.

A tailor-made approach for collecting debts.

We have a team of over 500 professionals specializing in debt collection on an international level.

Achieving a success rate of 87% while maintaining the lowest cost.

Sure, how about this: "Trusted Legal Partners for Debt Collection in Morocco: Our Top Law Firms."
AVENUE DES FAR IMM C144 VILLE NOUVELLE MEKNES MOROCCO 50000
LAW FIRM KADOURI AL MOSTAPHA

The KADOURI AL MOSTAPHA law firm was founded in 2016. We distinguish ourselves from other law firms by our inventiveness and uncompromising professionalism. We are fully committed to our customers. Our firm offers various legal services in many areas.

Lawsuits
Legal collection
Debt enforcement
2
2016
Law firm
81 boulevard al moukaouama floor 2 number 3 - Casablanca
Casa law firm

Law Firm Casablanca Morocco - Casa Law Firm is supporting your projects in all fields of business law and are representing your interests. Lawyers.

Lawsuits
Legal collection
Debt enforcement
40
2013
Law firm

The ultimate guide about debt collection in Morocco

If you are owed money by a business or person in Morocco, we can help you get your money back. We have helped many other businesses get their debt back from people in Morocco. It can be difficult to get your money back from someone in another country, but we know how to do it.

At Debitura, we always put people first. That means we try to get your money back while still having a good relationship with the customer. We're firm but fair in our public relations efforts-which means your reputation is always our top priority! If you want to understand the Moroccan debt collection process from start to finish, keep reading this guide. But if you'd rather work with a local law firm that specializes in debt recovery in Morocco, we can help you with that too.

New to debt collection?
The debt collection process can be complex and daunting for those new to it. Our team of experts is here to help you understand the process and navigate it with ease. Get free expert advice on your specific case, provided by our team of experienced professionals.

At Debitura, we provide an easy way to collect your debt in Morocco and 192 other countries. To get started, upload your claim today. We will review your case within 24 hours and provide you with 3 free quotes from local debt collection lawyers in Morocco. We use both people and technology to get results. We also have a network of people we can rely on to help us achieve our goals. These relationships are important to us, no matter how big or small they may be.

We work with the following process: 
1

Upload claim

Begin your debt collection process in Morocco for no charge today. Simply create a free profile and upload your case in under 2 minutes.

2

Pre-legal

Our pre-legal recovery process will be implemented for the initial 3 months of attempting to collect your claim. This process comes with a 100% no-cure-no-pay guarantee.

3

Legal

If your claim remains unpaid during the preliminary stage, we can offer you three quotes from nearby debt collection lawyers.

4

24/7 updates

You get access to our online portal where you can track your case in real-time

Introduction to collecting debt in Morocco

Do you have a hard time collecting debt in Morocco? We make it easy for you to get paid by your Moroccan customers. When collecting debt in Morocco, the party who owes the debt is called “the debtor”, and the party who has issued the debt or invoice is called “the creditor”. If the original creditor collects the debt himself, this is called “first-party collection”. If the creditor outsources the collection process to a third party, this is called “third-party collections”.

  • The average number of days that it takes for companies in Morocco to pay their bills is high. This number is between 120 and 150 days. This means that people who do work for these companies have to wait a long time to get paid.
  • The judiciary is a system with many levels. It is criticized because it is not effective and people do not know how it works. This means that it would be a bad idea to start legal action in most cases, and even if you won, it would be hard to get the other person to pay. It is better to ask someone who knows the local market to help you get the money you are owed.
  • There are some ways to get people to pay you money that they owe you in Morocco, but they are complicated, slow, and often don't work very well.

Days Sales Outstanding (DSO)

In 2011, the law said that people have to pay for things they bought within 60 days. But in Morocco, it usually takes 120 to 150 days to pay for something. This is because of the worldwide financial context. Public sector debtors are even worse. They usually don't pay their debts for a year. But DSO for listed companies is shorter and has been getting shorter over the past few years.

Common payment types in Morocco

The most common payment methods people use are:

Bank transfers are a popular way to pay for things when people live in different countries. They are fast and secure. This type of payment is supported by a lot of banks all over the world. When people use bank transfers to buy things from another country, there is usually an insurance policy that protects the seller in case the buyer can't pay.

Allianz Trade has risk offices all over the world. They keep track of how well our customers are doing financially and set a limit on how much they can trade. If something goes wrong, we will pay them back up to that limit. We also use something called a Standby Letter of Credit when people buy things from us to be shipped. This is like a guarantee that the person we are selling to will actually pay us back. If they don't, we can still get our money back. An irrevocable and confirmed Documentary Letter of Credit is a way that someone can guarantee that money will be available to another person through a bank, once certain terms have been agreed upon and met.

Bank guarantees are available, but you may also be able to get personal guarantees from business partners. The law allows requesting 40% of the invoice to be paid in advance. Checks are often used as payment methods, but they can also help if the debtor does not pay. Bills of exchange are less common now, but they can help with short-term financing.

Corporate Structures: The Main Types

Who is responsible for business debts? The legal structures decide this. Here is how it works:

  • A sole proprietorship is a business owned by one person. The owner is responsible for all debts of the business. Two or more people may own a partnership. The partners are responsible for the actions of the other partners. A limited liability partnership offers limited responsibility to the partners.
  • Most businesses in Morocco are Private Limited Liability Companies because they require less money to start (EUR 900). This means that the people who start the company are only responsible for the money they put into it. Public Limited Companies are used for larger businesses that want to divide their money into shares. This means that the people who invest in the company are only responsible for the value of their shares.
  • Foreign companies may also choose to set up shop in Morocco through Branch Offices. This option does not limit the foreign parent company's liability. Joint Ventures would be set up through a contract, but they cannot take any legally binding action because they do not have legal status.

The debt collection process in Morocco

The debt collection process in Morocco typically involves multiple steps.

The image below explains our standard process for collecting debt in Morocco:

The debt collection process in Morocco
1 Upload your claim:

Unless you want to get your money back yourself, you will start by finding a company that collects debt. You will give them your information, and they will try to get the money for you. If you use Debitura, we will give you 3 quotes from different companies in Africa that might be able to help you. This is free - you do not have to pay us anything.

2 Amicable collection:

The collection process starts with sending reminders to the person who owes you money. This is called the debtor. The reminders are sent through email, SMS, letter, and other ways to contact the person. The goal is to get the debtor to pay or acknowledge the debt and start a payment plan. Debitura offers a no-cure-no-pay solution for amicable collection, which means you only pay a small success fee if we recover your debt. Amicable collections with Debitura are 100% risk-free!

3 Evaluation:

If you have not gotten money from the person you loaned it to after trying to work it out, it is time to look at what to do next. We will look at how much money you are owed, the chance of getting paid, and other things to help you decide what is the best thing to do. There are three common next steps:

A: Surveillance:

If you owe someone less than 2,000-5,000 Euros, it is often not worth it to take legal action. In this case, we recommend "debt surveillance." This means that we will keep trying to contact the person you owe money to and try to reach an agreement without going to court.

B: Legal collections:

We suggest beginning a court case for bigger complaints. The specific steps in the case change depending on what your complaint is about and how big it is. Usually, it takes around one and a half to two years for the case to finish.

C: Debt enforcement:

If the person you are claiming money from has said that they owe you money or if there is a court order, you can go to the bailiff's court to get your money.

At Debitura, we can help you with all three steps in Morocco.

5-star user rating5-star user rating5-star user rating5-star user rating5-star user rating
“Thanks to Debitura, our company was finally able to retrieve outstanding debt in Morocco hassle-free. Their debt collection service is professional, efficient and cost-effective. Highly recommended!”
Fatima Zahra Moussaoui - Accounts Receivable Specialist
5-star user rating5-star user rating5-star user rating5-star user rating5-star user rating
"Thanks to Debitura, our debt recovery in Morocco was a complete success. They found us an excellent lawyer who was able to recover our debt quickly and efficiently. I would highly recommend their services."
Fatima Zahra - Accounts Receivable Specialist.
4.97/5
Average rating based on feedback from over 600 satisfied clients
87%
Average debt recovery rate, exceeding industry standards
100M+
Debt recovered for our clients in the past 18 months

Amicable collection in Morocco

At Debitura, we offer a 100% risk-free and very efficient process for Amicable collections. This means that you can submit your claim to us, and we will get started within 24 hours.

We will contact your debtor through different ways in Morocco. This can include email, text messages, letters, phone calls, and social media.

The goal of this is to:

A) Get the debtor to pay the full amount.
B) Get the debtor to agree that they owe the money and start a payment plan.

If the person you are trying to get money from has disputed your claim, you cannot start with an amicable resolution. This means you cannot try to work it out between yourselves. You must start directly with legal collections.

Late payment interest

The law says that if someone owes you money and they don't pay, you can charge them interest. The interest is the money that the person owes you for not paying on time. If the person still does not pay, you can take them to court.

Get started with
amicable debt collection

Upload your claim and get started with our 100% no-cure-no-pay collection solution.

100% free
Get the best price
No-cure-no-pay
Fast collection process
High recovery rate
100%
Risk free
Upload claim!

Debt enforcement in Morocco

If you have a written acknowledgement of your claim from the debtor, or a court order, you can use the bailiff's court in Morocco to get your money from the debtor in Morocco.

A judgment is final and can be enforced once all other options have been tried. This means that the person who owes the money can have their assets seized and sold. It is recommended that the creditor or a trusted third party (like a lawyer or collector) does this in person. Garnishee orders are normally effective, but they take a long time because there are a lot of steps involved.

The process and cost of this will be different depending on your case. You can upload your case onto Debitura to get 3 specific quotes within 24 hours.

Get started with
debt enforcement

Upload your claim and get 3 FREE quotes from our local collection partners.

100% free
Get the best price
No-cure-no-pay
Fast collection process
High recovery rate
100%
Risk free
Upload claim!

Insolvency proceedings in Morocco

If the person you owe money to can't pay you back, you can do something called an insolvency procedure. This is when you get rid of their things and give the money to the people they owe, following a certain order.

  • The Commercial Code Book V encompasses provisions on prevention of difficulties through out-of-court workouts.
  • In practice, insolvency procedures are rarely initiated, therefore relying on informal workouts may be efficient.
  • Judicial Rehabilitation proceedings are only available for debtors that are in a state of cessation of payments but whose financial situation is not irreparably compromised.
  • The court appoints an insolvency judge (juge commissaire) and an insolvency office holder (syndic) but the company’s directors remain in possession of their management prerogatives.
  • The procedure is entirely court-driven and there is no direct vote by the creditors on the options available. There seems to be no moratorium in this procedure.
  • The judgment opening the liquidation procedure renders all debts immediately due and payable.

Morocco country risk profile

We have studied Morocco's critical financial data and extrapolated a risk assessment. You can use this analysis to classify your payment terms and manage your risk when doing business with customers in Morocco.

Low risk
5-10
Medium-low risk
11-15
Medium risk
16-20
Medium-high risk
21-23
High risk
24-26
Low risk
5-10
Medium-low risk
11-15
Medium risk
16-20
Medium-high risk
21-23
High risk
24-26
Low risk
5-10
Medium-low risk
11-15
Medium risk
16-20
Medium-high risk
21-23
High risk
24-26
Low risk
5-10
Medium-low risk
11-15
Medium risk
16-20
Medium-high risk
21-23
High risk
24-26
Low risk
5-10
Medium-low risk
11-15
Medium risk
16-20
Medium-high risk
21-23
High risk
24-26

The analysis is concluding that the risk of doing business in Morocco is medium. Based on this medium score, we recommend being careful providing credit and considering charging upfront payment or using credit insurance when trading if you don't know the customer in Morocco well. If possible, provide a short credit period or even better upfront payment. The average risk is conluded on the following areas:

Economic Risk:
4
Economic Risk:
4
Economic Risk:
4
Economic Risk:
4
Economic Risk:
4
Economic Risk:
4
Business Risk:
4
Business Risk:
4
Business Risk:
4
Business Risk:
4
Business Risk:
4
Business Risk:
4
Political Risk:
4
Political Risk:
4
Political Risk:
4
Political Risk:
4
Political Risk:
4
Political Risk:
4
Commercial Risk:
3
Commercial Risk:
3
Commercial Risk:
3
Commercial Risk:
3
Financing Risk:
3
Financing Risk:
3
Financing Risk:
3
Financing Risk:
3

The economic risk in Morocco

Economic risk in Morocco is medium-high (4 out of 6). An economic risk of 4 out of 6 is low in Africa.

GDP and economic growth are critical drivers for economic risk.
The GDP of Morocco is 132,73 bn. USD (2021), growing by 7,37% per year.

In terms of the size of its economy, Morocco ranks #57 out of 183 countries and has a medium-sized economy.

In terms of growth rate, it is ranked #42 out of 183 countries and is therefore considered a fast-growing economy.

GDP per capita is 3497 USD, ranking Morocco number #116 out of 183 countries. The result of this is purchasing power of citizens in Morocco is average compared to the rest of the world.

You can see a more detailed picture of GDP and economic growth in Morocco in the table below:

GDP and economic growthLatest value
Economic growth: the rate of change of real GDP7,37%
Gross Domestic Product, billions of U.S. dollars132,73
GDP per capita, current U.S. dollars3496,76
GDP per capita, Purchasing Power Parity7412,67

Another big impact for the risk score is the inflation rate and the interest rates. You can see a more detailed picture of monetary KPIs in Morocco in the table below:

Monetary KPI'sLatest value
Inflation: percent change in the Consumer Price Index1,4%

The inflation in Morocco was 1,4% in 2021 which is considered a very low inflation rate.

The business environment risk in Morocco

Our analysis shows that the business environment risk in Morocco is medium-high (4 out of 6), which is a relatively low risk score in Africa.

Economic freedom and rights determine the business environment risk in a country. You can see the critical facts for Morocco in the table below:

Economic freedom indexLatest value
Property rights index (0-100)68
Freedom from corruption index (0-100)40
Fiscal freedom index (0-100)68
Business freedom index (0-100)72
Monetary freedom index (0-100)80,3
Trade freedom index (0-100)71
Investment freedom index (0-100)65
Financial freedom index (0-100)70
Economic freedom, overall index (0-100)63

As you can see above, the property rights index is 68 in Morocco, which is considered quite good in Africa.

The business freedom index is based on 10 indicators, using data from the World Bank’s Doing Business study. The Index is 72 in Morocco, a good score for a country in Africa.

Morocco's overall economic freedom index is 63 out of 100 and is based on factors such as the rule of law, regulatory efficiency, and market openness.

The political risk in Morocco

The political risk in Morocco is medium-high, with a score of 4/6. This is a relatively low political risk score in Africa.

The governance and political stability indicators are critical drivers for political risk. An overview of Morocco can be seen in the table below:

Governance and political stability indicators Latest value
Rule of law index (-2.5 weak; 2.5 strong)-0,25
Government effectiveness index (-2.5 weak; 2.5 strong)-0,07
Control of corruption (-2.5 weak; 2.5 strong)-0,43
Political stability index (-2.5 weak; 2.5 strong)-0,4
Corruption Perceptions Index, 100 = no corruption39
Shadow economy, percent of GDP27,13%

The rule of law index analyses to which extent agents have confidence in and abide by the rules of society, in particular the quality of contract enforcement, property rights, the quality of the courts, and the police's ability to enforce court orders.

When doing business in a country, the rule of law index is critical as it describes your ability to enforce commercial contracts.

In Morocco, the rule of law index is at -0,25 points, with the score going from -2.5 (weak) to 2.5 (strong). Morocco has, therefore, a low rule of law index, which means it often is very difficult to enforce your contracts. We, therefore, recommend avoiding credits and recommend charging upfront payment instead.

Other drivers for the medium-high political risks are the very weak control of corruption, the very weak political stability index, and the large shadow economy that is 27,13% of Morocco's GDP.

The commercial risk in Morocco

In Morocco, the commercial risk score is 3/4, which in our model is a medium score. This medium commercial risk score is relatively high compared to the average in Africa.

The commercial risk is impacted by a country's international trade relationships. You can see some of the key facts for Morocco in the table below:

International trade and investment Latest value
Exports of goods and services as percent of GDP37,25%
Exports of goods and services, annual growth6,23%
Imports of goods and services as percent of GDP46,72%
Trade balance as percent of GDP-9,47
Trade balance, billion USD-12.97
Foreign exchange reserves, billion currency units35.65

Morocco has a foreign exchange reserve of 35.65 bn. USD.

Morocco has a negative trade balance of -9,47% of GDP. This means that Morocco imports more goods and services than the country exports.

The annual growth of exports of goods and services has been growing 6,23% annually - now 37,25% of GDP. Import of goods and services represents 46,72% of the GDP in Morocco.

The financing risk in Morocco

We have calculated the financing risk to be 3/4, which equals a medium risk. A medium financing risk score is pretty average for countries in Africa.

The country's banking system, efficiency, and stability influence the financing risk. You can find the critical facts for Morocco in the table below:

Banking system efficiency and stabilityLatest value
Index of legal rights for creditors and borrowers (0 = weak to 12 = strong)2
Credit information sharing index, 0 (low) - 8 (high)7

In Morocco, the credit information sharing index is 7 on a scale from 0 (low) to 8 (high). The result of this is accessibility and quality of credit information available in Morocco is medium-high.

This makes it easy for you to understand the credit risk of your counterpart in Morocco. You should therefore be able to find a good local credit rating agency that can help you analyse the creditworthiness of your specific customers.

Your rights as a creditor are 2 out of 12 and, therefore, very weak.

Debt Collection in Morocco: Frequently Asked Questions (FAQ)

How does debt collection work in Morocco?

When collecting debt in Morocco, the debtor is the party who owes the debt and the creditor is the party who has issued the debt. Debt collection typically involves multiple steps which can include amicable collection, evaluation, and legal collections. The average number of days for companies in Morocco to pay their bills is high, between 120 and 150 days, and the judiciary system is not effective. It is better to ask for help from someone who knows the local market. The most common payment methods people use are bank transfers, personal guarantees, checks, and bills of exchange.

What is the debt collection process in Morocco?

The debt collection process in Morocco involves pre-legal collection, legal debt collection, and debt enforcement. Initially, reminders are sent through various communication modes to the debtor to get paid or start a payment plan. If this process fails, then the claim is evaluated to determine the best way forward, which might involve debt surveillance, legal collections, or debt enforcement through the bailiff's court. Debitura can help with all three steps in Morocco, including amicable collections with no cure, no pay.

What legal options exist for debt collection in Morocco?

In Morocco, debt collection options include a civil lawsuit if the debt is disputed. Legal actions require a local lawyer. Debt enforcement and insolvency proceedings are also available. There is a fast way to get a Payment Order from the President of the Commercial Court. It is important to have a lawyer help with legal actions. The court system is influenced by the executive power. Insolvency proceedings are court-driven, and all debts become immediately due and payable. Our local partners can help negotiate payment or go to court for a payment order.

How much does debt collection cost in Morocco?

The cost of debt collection in Morocco depends on the specific case and desired actions. Debitura offers a no-cure-no-pay model for pre-legal collection with a success fee between 10-20%. For legal actions, we can provide 3 quotes from the best debt collection lawyers in Morocco. The price varies depending on the specific case.

How long does debt collection take in Morocco?

The time it takes to collect a debt in Morocco depends on the debtor and the case. If it's solvable in the pre-legal phase, it usually takes 3-6 months. However, if legal action is required, the process typically takes 12-18 months. The length of time varies, but we always aim to resolve cases as quickly and effectively as possible.