Stop Chasing Payments: How to Set Up a Simple System for Faster Client Payments

You work hard on the job site, but getting paid can feel like an endless chase eating up valuable time you could spend generating business or supervising work on the job. Late payments, lost invoices, and clients who "forget" to pay can throw off your cash flow, making it harder to cover expenses, pay employees, and keep your business running smoothly.

The good news? You don’t have to keep chasing payments. By setting up a simple, automated systems and establishing expectations with customers can can get paid faster, reduce follow-ups, and maintain a steady cash flow—without awkward conversations.

Here’s how to create a hassle-free payment system that ensures you get paid on time, every time.

1. Set Clear Payment Terms Upfront

The easiest way to avoid late payments is to set expectations from the start. Many tradespeople skip this step, leading to confusion and delays.

✅ How to Fix It:

• Clearly outline payment terms on every estimate and invoice (e.g., Payment due upon completion, Net 7, or Net 15).

• Require a deposit upfront for larger jobs (e.g., 30%-50%).

• Include late fees in your contract to discourage overdue payments.

  
  

🔹 Pro Tip: Use plain language to explain payment terms so clients understand exactly when and how to pay.

💬 Example Script:

"Before we get started, I want to go over our payment terms to keep everything clear. We require a [30% deposit] upfront, with the remaining balance due upon completion. Our standard terms are [Net 7], meaning payment is due within seven days of finishing the job. If payments are late, a [5% late fee] will apply. We accept [credit cards, ACH transfers, and online payments] to make it easy. Does that work for you?"

2. Use Digital Invoicing for Faster Payments

If you’re still using paper invoices or waiting for checks, you’re slowing down the payment process. Digital invoicing speeds things up and offers multiple ways to pay.

✅ Best Invoicing Tools for Tradespeople:

• Joist – Send invoices on the job site and accept payments instantly.

• QuickBooks Online – Automates invoicing and tracks overdue payments.

• Square Invoices – Allows credit card and ACH payments for quicker deposits.

  
  

 🔹Pro Tip: Send invoices before leaving the job site—clients are more likely to pay right away when the work is fresh in their minds.

💡 Best Practice: Handing Over a Paper Invoice First

For clients who prefer traditional methods, handing over a paper invoice during the final walk-through can be effective. This allows them to review the charges in person and ask any questions before receiving a digital invoice.

💬 Example Script:

"Everything looks great! Here’s a printed invoice with the breakdown of the work completed. You’ll also receive a digital version via email shortly, which includes an easy online payment option. Let me know if you have any questions."

This simple step reassures clients and makes payment expectations clear while reinforcing the convenience of online payments.

3. Automate Payment Reminders (No More Awkward Follow-Ups)

Nobody likes reminding clients to pay, but a simple automated system can do it for you.

✅ How to Set It Up:

• Use invoicing software that automatically sends reminders for unpaid invoices.

• Schedule follow-up emails at 3, 7, and 14 days past due.

• Send a final reminder before applying late fees.

  
  

🔹 Pro Tip: Keep reminders friendly but firm—a quick “Just a friendly reminder your invoice is due” message keeps it professional.

💬 Example Friendly but Firm Reminder:

"Hi [Client's Name], I hope you're doing well! Just a quick reminder that your invoice #[XXXX] for [amount] was due on [due date]. If you've already taken care of it, thank you! If not, please submit payment at your earliest convenience. Let me know if you have any questions. Thank you!"

4. Offer Easy Payment Options

The harder it is for a client to pay, the longer it takes. Offering multiple payment options ensures you get paid faster.

✅ Best Payment Methods for Faster Cash Flow:

• Credit Card & ACH Transfers – Faster than waiting for checks.

• Online Payment Links – Let clients pay with one click.

• Mobile Payments (Zelle, Venmo for Business, Apple Pay) – Ideal for on-the-go transactions.

  
  

🔹 Pro Tip: Add a “Pay Now” button directly on your invoice to make payments effortless.

5. Enforce Late Fees & Incentivize Early Payments

Encouraging clients to pay on time (or early) can help eliminate cash flow issues.

✅ How to Make It Work:

• Charge a small late fee (e.g., 5% after 7 days overdue) to discourage late payments.

• Offer a small discount (2%-5%) for payments made within 24 hours.

• Clearly communicate these policies on your invoices and contracts.

  
  

🔹 Pro Tip: Most clients would rather pay on time than risk extra charges, so enforcing late fees increases urgency.

Final Thoughts: Get Paid Without the Hassle

Chasing payments takes time away from your trade and creates unnecessary stress. By automating invoices, setting clear terms, and offering multiple payment options, you can ensure steady cash flow without the headaches.

At AnchorPoint Consulting, we help tradespeople streamline their payment processes and improve cash flow.

🚀 Tired of chasing payments? Let’s build a system that works. Schedule a Free Consultation today!

💡 Know a fellow trades person who needs to get paid faster? Share this post with them!