How to get paid on time: chasing late payments without the awkward calls

You did the job, the client was happy — and three weeks later you're still waiting. Late payments are the number one cash-flow killer for small trade businesses. Most of it can be prevented before the job even starts.

1. Set the terms in the quote

Put your payment terms on every quote: when you'll invoice, how long they have to pay (7 or 14 days is normal for residential work) and how to pay. If it's in writing up front, chasing is just reminding them of what they agreed to.

2. Take a deposit on bigger jobs

For jobs with big material costs, ask for a deposit before you order. Check your state's rules — some states cap deposits on residential building work.

3. Invoice the same day

The longer you wait to invoice, the longer you wait to be paid. Send it from your phone before you leave the driveway, while the client is still happy.

4. Automate the reminders

A polite automatic email at 1, 7 and 14 days overdue gets most invoices paid without you lifting a finger — and it takes the awkwardness out of it. Henri does this for you.

5. When it's still not paid

• Call them — sometimes it's just been forgotten
• Send a formal letter of demand with a final date
• For commercial or builder work, look into your state's Security of Payment laws
• Small claims tribunals (NCAT, VCAT, QCAT and others) handle smaller debts cheaply

General information only — get legal advice before taking formal action.