What to do when a client is not paying an invoice

Late payments are one of the most frustrating parts of running a small agency or freelance business. You’ve delivered great work, met your deadlines and kept the client happy, yet the invoice remains unpaid. The good news is that you have options. There are clear, practical steps you can take to encourage payment, protect your time and maintain professionalism throughout the process.

Here’s a friendly guide to help you handle those uncomfortable situations with confidence.

Start with a gentle reminder

In many cases the issue is simply forgetfulness or a busy inbox. Begin by sending a warm, polite message to check whether the client has seen the invoice. Keep it light and friendly, something along the lines of a quick note asking if they need you to resend anything. Most late payments are resolved here, without stress or confrontation.

Ensuring you have clear channels of communication with clients already established can help moments like this easier. Consider a client communication platform like co.agency to take a more collaborative approach to communication, increasing agency efficiency and keeping every client happy.

Follow up with a firmer message

If your first reminder doesn’t lead to payment, it is reasonable to follow up with a message that is more direct while still maintaining a professional tone. Reattach the invoice, mention the original due date and ask when you can expect payment.

This keeps the conversation factual and solution focused rather than emotional.

Pick up the phone

When emails begin to go unanswered, a short phone call can make a significant difference.

Speaking directly helps you understand whether there is an issue, clears up any misunderstandings and encourages the client to take responsibility for settling the invoice. A conversation often leads to quicker results than continuing to email.

Consider offering a payment plan

If the client explains that they are experiencing financial difficulty, you may choose to offer a payment plan. This could involve splitting the amount into smaller instalments or delaying a portion of the payment.

This option will not suit every situation, but it can help you recover the money while maintaining a positive relationship.

Pause ongoing work

If you are in the middle of a project and payments begin to fall behind, it is sensible to pause the work until the outstanding balance is cleared.

You can communicate this in a calm, friendly way by explaining that you will continue once payment has been made. This reinforces healthy boundaries and helps protect your time.

Refer back to your contract

When delays continue, your contract becomes an important tool. It should clearly outline your payment terms, any late fees, ownership of work and the steps to take if an invoice is not paid.

Referring to the agreement reminds the client that these expectations were set in advance and provides a framework for moving forward.

Send a final notice

A final notice is a more formal message that summarises the situation and sets a clear deadline for payment.

It typically includes the invoice details, how long it has been overdue and your intended next steps if the payment is not made. Although firmer in tone, it should still be professional and courteous.

Explore debt recovery options

If the client remains unresponsive, you may need external support. This could involve using a debt recovery service, seeking a solicitor’s letter or filing a claim through a small claims process.

Many clients settle the invoice before it reaches this stage, but it is important to know what options are available to you.

Protect yourself in the future

A difficult payment experience often leads to stronger systems.

You might decide to request a percentage upfront, structure projects around milestone payments, use automated reminders or ensure that final deliverables are only released once the full balance has been paid. Simple adjustments like these can significantly reduce risk.

Remember that non payment is not a reflection of your ability

When a client does not pay, it can feel personal, but it is rarely a reflection of your professionalism or the quality of your work. Clients may be disorganised, overwhelmed or struggling financially. What matters is how you handle the situation and the steps you take to protect your business moving forward.