Small Business Horror Stories: Dealing With Delinquent Clients

By QuickBooks

1 min read

A recent study found that about 16% of invoices don’t get paid at all. And for young businesses that depend on invoicing to drive cash flow, unpaid invoices can stall growth or, even worse, lead to bankruptcy.

Intuit reached out to a few unlucky business owners to hear their horror stories of clients that never paid their invoices. Here are a few of the most frustrating (and a bit funny) stories.

As illustrated by the video above, there are a number of ways a vendor can follow up on late payments from a client, but many times, these collections practices are unfruitful.

To ensure your invoices get paid and to avoid the hassle of collections, you’ll need a contract that clearly outlines the terms of the project and the ramifications of late payments. Then, you’ll need professional invoices and reliable management of your accounts receivable to make sure your cash keeps flowing.

For more tips on creating invoices that can speed up delivery of invoice payments, check out our Complete Guide to Invoices.

Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

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