Insights · Cash flow · 31 October 2026

---

How to get paid faster: nine fixes for slow-paying customers

Late payment is one of the most common reasons small businesses run short of cash. Most of the fix is process: clear terms, fast invoicing and a steady follow-up routine.

Before the work starts

1. Put terms in writing: due date, deposit, late fees if you charge them, and what happens if payment is late.
2. Take a deposit or stage payments on larger jobs.
3. Check new customers, especially for big orders on credit.

When you invoice

4. Invoice the same day the job finishes, not at month end.
5. Make paying easy: a pay-now link, card, bank transfer and clear reference details.
6. Use shorter terms where your industry allows, such as 7 or 14 days.

After the due date

7. Automate reminders before and after the due date in your accounting software.
8. Phone at 7 days overdue. A friendly call fixes most problems.
9. Escalate in steps: a formal letter of demand, then mediation or a debt recovery process. The Australian Small Business and Family Enterprise Ombudsman has resources on late payment and disputes. Builders and trades may have rights under Queensland security of payment law: see security of payment in Queensland.

Measure it

Track debtor days monthly. If it is rising, act early. See working capital explained and cash flow and BAS habits.

Quick answers

What is the quickest way to get paid faster?

Invoice the day the work is done, make paying easy with a pay-now link, and follow up straight after the due date.

What if a customer still will not pay?

Escalate in steps: phone call, letter of demand, then mediation or debt recovery. The ASBFEO has resources for small businesses.

Sources

• business.gov.au: Payment terms
• business.gov.au: What to do when you haven't been paid
• ASBFEO: Australian Small Business and Family Enterprise Ombudsman

General information only. This article does not take into account your circumstances and is not tax, legal or financial advice. Rates and rules change; check the sources above and get advice for your business before acting.