If you’ve been in business for a while, you’ve probably dealt with it — the client who ghosts you after getting the job done. You send the invoice, wait a week, maybe two. Nothing.
For a small business, that kind of delay isn’t just frustrating. It messes with your cash flow and wastes your time. The worst part? You start questioning whether you handled it wrong.
You didn’t. Some clients just don’t pay on time. The trick is knowing how to handle it without losing your cool or burning bridges. Here’s how.
Step 1: Make Sure It’s Not a Simple Mix-Up
Before you start sending tough messages, check the basics. It’s surprising how often the issue turns out to be something small.
Ask yourself:
- Did the invoice go to the right person?
- Was the due date clear?
- Did you include your payment details?
- Did they mention any issue with your work that might’ve held things up?
If everything looks fine, send a short and casual message.
Something like:
“Hey [Name], just checking in on invoice #[number]. Want to make sure it didn’t get lost in your inbox.”
No pressure, just a nudge. You’d be shocked how often that does the trick.
Step 2: Follow Up—But Stay Professional
If there’s still silence, send a firmer message. Keep it friendly, but clear. Also, if you had an express provision in your terms about interest on late payment (or you’re selling B2B, in which case statutory interest at the rate of 8% above base rate can be charged), now is the time to mention that:
“Hi [Name], I noticed invoice #[number] is still pending. Just to remind you that as per clause x of our agreement [OR as per the statutory interest rate on B2B contracts], interest is now accruing a rate of x%. I’m sure you don’t want to pay more than you need to, so here’s the invoice again.”
Short. Direct. Calm. Leverage.
You’re not begging—you’re reminding and giving a reason for them to pay sooner rather than later.
Step 3: Call Them
Emails are easy to ignore. A phone call isn’t. Pick up the phone, stay polite, and ask what’s going on.
Sometimes they’re having cash flow problems. Sometimes it’s a clerical delay. If that’s the case, you can suggest a payment plan or a partial payment now with the rest later.
You don’t have to play hardball right away. The goal is to get something, not to start a war.
Step 4: Send a Formal Letter
If you’ve sent reminders and made calls with no progress, it’s time to make it official. Send a formal Letter Demanding Payment (yes we have a template for this in our Legal Buddy membership).
It should include:
- How much they owe
- When it was due
- What you’ve done to follow up
- What happens if they still don’t pay
Give them a clear deadline—say, 7 to 14 days.
Send it from your company email or print it on letterhead if you have one. When it lands in their inbox, they’ll know you mean business.
Step 5: Send a Letter Before Action
If they still don’t pay, you can either turn to the professionals at this point, or have another go at DIY.
The final step before issuing a court claim is to send a Letter Before Action. This has to be sent in accordance with Pre- Action Protocols and has to contain certain information. If you fail to send it in the prescribed form or issue a claim without one, that could have adverse consequences for any court claim.
And yes, we have a template Letter Before Action in the Legal Buddy membership with detailed notes as to how to complete it so that you have the best chance of success in recovering monies owed.
Step 6: Issue a Court Claim
You can do this yourself, but it might be wise to bring in professional help for large amounts, anything more than the simplest of debt claims, or if you don’t want a whole load of stress and effort.
There is an online system where you can issue a claim online unless:
- you do not know how much money you want to claim
- your claim is for more than £25,000 and you want to get help to pay the court fees.
You can make your claim online at https://www.moneyclaims.service.gov.uk/make-claim
At this point you need to pay a fee to issue the court claim – you can see the fees at https://www.gov.uk/make-court-claim-for-money/court-fees. Top tip – keep every message, invoice, and note from your conversations. Judges like clear, organized evidence. The better your records, the better your odds
Step 7: Protect Yourself Next Time
Once the dust settles, take what you’ve learned and tighten things up for next time.
A few good habits:
- Always use written agreements (Legal Buddy templates are the best…!)
- Ask for a deposit before starting work
- Set payment terms clearly
- Add an express interest provision to your terms and the right to suspend the services for late payment.
- Put a robust credit control policy in place (yes we have one of these in the Legal Buddy templates too!)
You can’t stop every late payer, but you can make it harder for them to pull this again.
Final Thoughts
When a client won’t pay, it’s tempting to take it personally. Try not to. This isn’t about you—it’s about keeping your business running.
Stay calm. Stay organized. Keep records.
Most of all, don’t give up too soon. Persistence pays, and so should your client.
One of our Legal Buddy members, Liz, was owed £6000 from a firm of solicitors. She had chased it for 6 months, but didn’t really know how to do so effectively. She was about to write it off when she joined the Legal Buddy membership. After being empowered to recover the outstanding amount owed via her Legal Buddy membership, being directed to the relevant resources and sending off the Letter Demanding Payment, the firm of solicitors paid up in full within the week! Not a bad ROI on her membership!
What to do next
If you are a small business owner and don’t yet have all of these vital credit control and debt chasing documents in place, then check out Legal Buddy – fixed, affordable monthly payments for all your legal support for your small business needs.