You have sent your sales invoice to the customer, everything according to the rules of the art, now just waiting for that incoming payment.
It can also happen that your customer has not paid an invoice and the due date for your sales invoice has passed in the meantime. Every business owner has their own approach to this problem, but we will briefly go over the most obvious options:
Send a payment reminder 📩
A friendly reminder or payment reminder is often the first step. Just by letter, emails, Whatsapp… questioning your customer to pay the outstanding invoice as soon as possible.
It can always happen that the customer has simply lost track of your invoices. In such a case, a simple reminder will ensure payment.
When do you send a payment reminder?
Be sure to view our blog article on when it’s best to send a reminder.
The customer does not agree to the invoice
Your customer may also disagree with your sales invoice because of the hours charged or the services provided. ❌ In such a case, you can always try to negotiate an interim solution with your customer. An agreement that both parties can agree to.
Have you found a verbal interim solution with your customer? Then our tip is to have this interim solution confirmed in writing or by e-mail.
Send a reminder 📬
If you receive no response to your payment reminders or do not reach a solution with your customer, you can then proceed to send a formal notice. It is best to send such a reminder by registered post and keep the proof of posting good. That way, you will have proof later that you actually sent something.
Such a reminder is actually very similar to a payment reminder. You state that you expect to receive the full invoice amount (+ any interest or dunning charges in accordance with your terms and conditions) in your bank account within, say, 5 working days.
To reinforce your claim, you can also include that you will otherwise transfer the outstanding invoice to a collection agency, bailiff or lawyers and that your customer will be liable for any additional costs as a result. 🧑⚖️
Engaging a collection agency
Did all your previous communications fail to impress? Then you can take the step towards a debt collection agency. The advantage of collection agencies is that they usually work with a ‘no cure no pay’ system. In other words, the costs of the collection agency will also be charged to your customer who refuses to pay.
If your refusing customer receives a demand letter from a collection agency, this already makes quite an impression, which means that a payment usually follows quickly. 💶
But hopefully it won’t have to come to that!
