What to Do When a Customer Won't Pay Your Invoice

You finished the job. The customer was happy. You sent the invoice. And then — nothing. No payment, no reply, no explanation.

If this sounds familiar, you are not alone. 75% of UK tradespeople face late payments, and the average tradesman is owed £8,500 at any given time. Here is exactly what to do, step by step.

Step 1: Send a Polite Reminder (Day 1-3)

Do not assume the worst. Most late payments are forgetfulness, not malice. Send a short, friendly message the day after the due date. Include the invoice number, amount, and a payment link.

WhatsApp is far more effective than email for this — 98% open rate versus 20%. If you sent the invoice by email, switch to WhatsApp for the reminder.

Step 2: Follow Up Firmly (Day 7)

If the polite reminder got no response, send a firmer follow-up. Ask directly when you can expect payment. Keep it professional but clear — you are not asking for a favour, you are asking for money you have earned.

Step 3: Send a Formal Notice (Day 14)

Now reference the law. Under the Late Payment of Commercial Debts Act 1998, you are entitled to charge interest at 8% plus the Bank of England base rate, plus a fixed compensation of £40-100 depending on the debt size.

Mentioning this in your message is often enough to prompt payment. Most customers do not want to pay more than the original invoice.

Step 4: Letter Before Action (Day 21-28)

If formal notices have not worked, send a "Letter Before Action" (LBA). This is a formal letter stating that you will pursue the debt through the Small Claims Court if not paid within 14 days.

An LBA is a legal requirement before making a court claim. It also signals that you are serious. Many disputes settle at this stage.

Step 5: Small Claims Court (Day 35+)

For debts under £10,000, you can use the Small Claims Court online at money​claims​.service​.gov​.uk. The fee is £35-455 depending on the amount. You do not need a solicitor.

In practice, most claims are settled before the hearing. The act of filing the claim is often enough.

Step 6: Debt Recovery Agency (Last Resort)

If the court route feels too much, a debt recovery agency can chase on your behalf. They typically charge 15-25% of the recovered amount. This is expensive and may damage the relationship permanently — use it only as a last resort.

Prevention Is Better Than Chasing

The best way to deal with unpaid invoices is to prevent them. Three things make the biggest difference:

• Invoice immediately. The longer you wait after finishing a job, the less urgency the customer feels to pay.
• Make payment easy. Include a one-tap payment link. The fewer steps, the faster you get paid.
• Chase automatically. Set up automatic reminders so you never have to remember — or have the awkward conversation.

This is exactly what mNudge does. You tell it about the job on WhatsApp, it sends the invoice with a payment link, and if the customer does not pay, it chases automatically over 21 days.