Collecting Unpaid Invoices in 5 Easy Steps

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When running your own business, sooner or later you will come across a situation where your client doesn’t pay you on time. So, many questions may arise in your head. What steps should you take to get paid? Will you need the help of a lawyer? Or is there something you can do on your own? Don’t worry. In the following article, we are answering these questions. Read on to learn how to collect unpaid invoices in 5 easy steps.

Collecting Unpaid Invoices – Table of Contents:
Check your invoice details
Send a friendly reminder
Send a payment request
Submit a final payment request
Act legally
Check your invoice details
Before taking any action to collect on unpaid invoices, make belarus whatsapp number database you haven’t made any mistakes. We are only human and everyone makes mistakes. So, make sure you have issued an invoice correctly. A typo in the bank account number can discourage your customer from paying an invoice, despite their sincere intentions.

This is not the only thing you need to check. It is important to check whether the invoice was issued according to the order. If the invoice amount is higher than the amount stated in the contract, it is no wonder that your customer is not willing to pay it. In this case, you will need to issue a credit note.

A similar situation occurs when your client does not accept the work performed. In this case, you will have to make corrections. Also, check that you have entered the correct customer details on the invoice and that it has been sent to the appropriate address. Pay attention to the invoice date and payment method. If you are sure that the information provided on this invoice is complete and correct, you can proceed to the next step.

collecting unpaid invoices
Send a friendly reminder
Failure to pay can be just an unfortunate oversight and a simple misunderstanding. It can happen to anyone. Therefore, the first reminder to pay should be friendly. You should not call the big names right away. Take care of good relations with your contractor.

What should you include in such a reminder? Provide clear and factual information in it. Present the facts politely but firmly. Write down what work was performed or what products you sold to your client. You can also attach a copy of the invoice to your reminder, as your client may have lost it. Indicate when the payment deadline expired, but do not set a new deadline yet. You can also include the total amount to be paid. Wait for your client's reaction for a few days and then send the next reminder.

How do you send such information? It is best to send it via email, as it is the quickest and most efficient way to contact your customers. Ask your customer to confirm receipt of your email. This may come in handy later. What if your customer does not confirm receipt of your message? You can call them and ask them directly about it. If that doesn’t work, move on to the next step.

Send a payment request
A payment request should include facts, as it may become evidence in court later. For this reason, even small inaccuracies can work against you. Make sure to prepare it accurately. Such a document should be written in a calm tone, especially when your client has not paid an invoice for the first time. Be polite and direct, but do not overreact or you will lose your client.

Since this is an official document, you should send a payment request by registered mail. You can also use a return receipt. You do not need to hire legal services at this stage. While a letter from a law firm may have more impact on your client, legal services are quite expensive. Therefore, you should try writing a payment request yourself first.