Should You Require Deposits Before Starting Work?
Use deposits and milestones to reduce risk on every project.
Why this matters for cash flow
Cash flow issues often come from timing gaps rather than lack of demand. If invoices are sent late, unclear, or followed up inconsistently, your business can be profitable on paper but still short on cash in the bank.
A repeatable accounts receivable process reduces uncertainty and helps fund payroll, materials, and growth without relying on credit cards or emergency borrowing.
Practical steps
- Define your payment terms in writing before work starts, and repeat them on every quote and invoice.
- Send invoices immediately after delivery milestones, not in end-of-week batches.
- Schedule reminders before and after due dates so follow-up is automatic and consistent.
- Include one clear payment action in every message: amount due, due date, and pay-now method.
- Review overdue balances weekly and escalate based on a fixed timeline, not emotion.
Common questions
How soon should I follow up after an invoice is due?
Start on the due date with a professional reminder, then continue at predefined intervals.
What if the client says they did not receive the invoice?
Resend it immediately, confirm the correct billing contact, and ask for acknowledgment.
Will reminders hurt client relationships?
Consistent, respectful reminders usually improve relationships because expectations stay clear.
What to track weekly
- Average days to payment by client segment.
- Number and value of invoices over 7, 14, and 30 days overdue.
- Reminder response rate and resolved disputes.
- Days Sales Outstanding (DSO) trend over time.
Invoice Chase helps you send consistent follow-ups with the right tone and timing.
