CC the message to the company’s key people (after the 5th email).Gradually increase the tone in each subsequent reminder.Include details about any previous correspondence.Use the version of your business’ name that is most familiar to the company.Handle each past due invoice separately.Mention your payment options (if possible provide them an option to pay online).Attach the invoice or include a direct link to it.Include key details about the invoice (number, amount due, days due).Be polite, empathetic, and understanding. Here’re few guidelines to have in mind when crafting these delicate letters: And when I say language, I don’t mean just the words verbatim, but the actual psychology of the message. Two key things that make a reminder email effective are the language and the timing. In most cases, the first 3 reminders should do the job. Invoicebus follows up on your invoices automatically A final email/letter on demand (120 days after due date).An additional payment reminder for each past due chunk (7 days, 30 days, 60 days, 90 days).Another follow up the very day the invoice is due.A payment reminder email 7 days before due date.Reminder schedule which tends to yield the highest success rates The more time passes that past invoices are past due, the likelihood of a successful collection decreases.Īn invoice that is 90 days past has a 73% chance of successful collection, while an invoice that is 6 months past due has a 44% chance of successful collection, and an invoice that goes unpaid for over a year only has a 25.3% chance of successful collection. When it comes to collections communication, time is of the essence. Sending a payment reminder email before the invoice is due is the most significant factor when it comes to increasing the likelihood of on-time payment. Try it Now Free! Remind them before it’s late That means this is something you can take control of and we’re going to show you how. We’ve noticed that people who follow-up on their unpaid invoices at regular intervals, were able to reduce the rate of late payments by up to 47%. What we’ve learned in helping them is that the most effective way to reduce the risk of late payments is to constantly follow-up. In the past couple of years, we’ve worked with over 2400 companies facing the exact same problem. So what's the key to overcome this awkward and frustrating situation? After all, who wants to deal with it? Chasing and reminding your customers to pay is time-consuming and you don't want to put your relationships with your customers at stake. It’s a huge problem, but you keep running your business as usual. It’s often estimated that 20% of all invoices around the globe will be paid late. What to Do When My Invoice Payment is Late 2 out of every 3 small businesses in United States struggle because of customers that can't or don't want to pay.
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