Prompt payment from your clients safeguards your business’s cash flow, but if your clients lose their invoices or get distracted by other matters, they may forget to pay. To reduce late payments and tighten the payment term, send out email reminders.
If you have QuickBooks, you may set your alerts to notify you when clients are late paying invoices, so you can email clients accordingly. Alternatively, with an online invoicing service, you can set up the software to dispatch a reminder automatically if the invoice isn’t paid in a certain amount of time.
Choose your wording carefully. For example, you may want the first message to serve as a gentle reminder to pay the invoice, while using stronger language (such as a demand for payment) on subsequent messages.