A clear invoice with defined payment terms helps you get paid faster and supports collection if needed.
What an invoice includes
- Your business name and contact details.
- Client details.
- Invoice number and date.
- Description of services or goods.
- Amounts, taxes and total due.
- Payment due date and methods.
- Late fee terms.
Common payment terms
- Due on receipt.
- Net 15, 30 or 60 days.
- Deposits and milestone payments.
- Early payment discounts.
If a client does not pay
- Send a polite reminder.
- Send a written demand letter.
- Stop further work if the contract allows.
- Consider small claims court or a collection agency.
- Keep records of work and communications.
Protect yourself
Use written agreements that state payment terms, and ask for deposits. Late fees must be allowed by your contract and state law. See our guide to demand letters.
Frequently asked questions
Can I charge interest on late invoices?
If your agreement states it and state law allows.
How long do I have to sue?
Check your state's statute of limitations for contracts.