Chasing unpaid invoices is a delicate business.
Do it the right way, and you get paid what you’re owed. Yay!
Do it the wrong way and you’ll ruin opportunities for future business. Boo!
Consequences Of Demanding Payment For Overdue Invoices The Wrong Way
- You might annoy customers enough that they switch to one of your competitors. That’s lost future income for you.
- A client that is a huge fan of yours right now may stop singing your praises if they were forgetful once and you racked them through the coals with your angry demands for payment.
3 Mistakes Not To Make When Chasing Unpaid Invoices
1. Never stamp your statements with an OVERDUE! stamp before you send them out.
2. Never assume they have received any of your reminders so far.
- If you do assume they have seen your payment reminders you will get angry and your resentment will build up and up with every message you send.
- Bad idea.
- Consider the slate clear with every communication.
- That way, your tone will be light and cheerful instead of dark and sinister
3. Never let 30 days or 60 days go by without you taking any action at all.
- Train your clients on your expectations by acting fast when invoices are overdue only by a few days.
- If you let it slide 30 or 60 days you are teaching them (and yourself) bad habits
- As soon as you notice an overdue invoice, take action that instant
What Do You Think?
What other mistakes have you made in the past, or heard about, that you can share in the comments below?