Payment terms that actually get honoured

Pick a timescale that matches the customer

• Domestic work — payment on completion, or 7 days. Householders rarely run purchase ledgers, so the longer you leave it the colder the job gets.
• Small commercial — 14 days is normal and usually accepted without negotiation.
• Main contractors — 30 days is standard, and often runs from an application or valuation date rather than your invoice date. Check the subcontract.

Say nothing and the statutory default of 30 days applies to business customers. Silence always costs you time.

Deposits and stage payments

On jobs where you buy materials up front, ask for a deposit at quote stage — commonly 25–50% of the materials cost. On longer jobs, break payment into stages tied to visible milestones (first fix complete, plaster done, snagging signed off) rather than dates, so there is nothing to dispute.

The late payment clause

Put a single line on every invoice. Something like:

"Payment due within 14 days. Late payment may incur statutory interest at 8% above the Bank of England base rate plus fixed compensation under the Late Payment of Commercial Debts (Interest) Act 1998."

You do not have to enforce it, and most trades never do. Its job is to make the invoice look like something with consequences.

Make paying easy

Bank details on the invoice, the invoice number as the reference, and a payment link if you take card. Every extra step between the customer reading the invoice and paying it adds days.

Common questions