An invoice is overdue. What should a small business do first?

An overdue invoice hits cash flow hard, especially for small firms. A clear, steady approach usually gets better results than one angry email.

1. Check the basics

Make sure the invoice went to the right person, shows the right amount and has a clear due date and payment details. Check your bank for any part payment.

2. Check who you are dealing with

Confirm the customer's full legal name. If they are a limited company or LLP, you can look them up on Companies House to find their registered office and check they are still active.

3. Send a clear written reminder

State the invoice number, the amount, the due date and how to pay. Keep it polite and factual, and keep a copy.

4. Keep going, on a schedule

Reminders that arrive regularly, by more than one route, are harder to ignore. Keep a note of every contact.

5. Know what you can add

Under the late payment rules, you may be able to add statutory interest and a fixed compensation sum. See our guide to late payment interest.

How InvoiceCollect helps

InvoiceCollect chases the debtor company for 4 weeks by email and text on working days, never more than once a day, plus a posted letter to their registered office. Your customer pays you directly and there is no commission. Start your chase.