Customer hasn't paid. Best course of action?

[littlespark]

Hi. Scottish Self employed leccy, not joined a scheme yet. (NICEIC or Select) so don't have that to back me up.
I did a small job for a woman that involved moving a few sockets in her kitchen, wasn't a big job, and no travel involved because I was fitting her inbetween other jobs local to her.
My invoices state payment within 14 days, with details of my bank account, address and who to make cheques payable to.
First invoice, complete with minor works cert. was put through her letterbox, by me.. as I was passing her door one day.
I waited 2 weeks, plus a few more days, then sent a second invoice through Royal Mail.
by the end of this week, she would have had the reminder a full 2 weeks.

Is there a minimum length of time I have to wait before next step?
What is the next step?

I'll also say that at the time I was there, and just before when I looked at the job, she was having double glazing put in, a joiner was fitting her kitchen and a plumber was there doing her pipes.
I'm will be contacting the joiner to see if he's been paid yet.

 

[suffolkspark]

I personally always hold on to my certs for customers I don't know until I get payed, have you just tried calling her?

 

[Bob Geldoff1234]

If you have the ladies phone number then i would send her a text saying that you will call tomorrow to pick it up and will she be in.It quite often works of getting payment as the customer doesn't want to come face to face with you.If that doesn't work then speak directly to her on the phone.If she is refusing to pay then threaten her with the small claims court and remind her that the costs go up considerably.

 

[littlespark]

I haven't phoned or texted yet, but I have knocked on her door a couple times when passing.
Would sending another reminder, by recorded delivery, help matters?
I don't really want to head down legal action yet, due to timescale of only 1 month so far.

 

[suffolkspark]

I doubt sending another letter will help if she's ignored two. Call her.

 

[Leader]

I'd let her know that this is now a late payment and interest will be accrued unless she settles in full immediately. I've had this a couple of times, they have always paid but it pees me off that they think it's ok to delay it for so long.

 

[westward10]

Did you have a written contract with her.

 

[Octopus]

Your payment dates can say anything.... Customers pay when they want ......

Best peruse the business section....

 

[Risteard]

My invoices state payment within 14 days

Given that invoices are sent out after the fact it seems to me that you have not at any point secured the customer's agreement to 14-day payment terms. In the absence of such an agreement the law presumes 30-day payment. It seems to me like you would have no legal leg to stand on pursuing late payment on that basis.

 

[Vitesse]

My invoices always say "payment on receipt". TBH I don't think people even look at that, they just look at the final figure. The majority pay within a few days, a few stragglers sometimes take a couple of weeks. Very few go over 30 days and I don't chase any outstanding until 30 days. Usually by email, if no response a phone call. Never had to knock on a door. Yet!

My emails say, sorry to chase you up but I always highlight how important cash flow is to a small business and that it is the major cause of failure in small businesses. It usually does the trick! I think it just plays on their guilt a little?

As others have said I don't pass any certs on until payment is received.

 

[Midwest]

I personally always hold on to my certs for customers I don't know until I get payed, have you just tried calling her?

I used to do that and can still sort of understand the logic. However, as BS7671 requires a certificate as part of the installation work, I think it could create problems if the bill payer was taken to small claims, them citing the jobs not yet 'finished'. Perhaps unlikely, but you don't know how these things pan out. Quite a lot of my customers are oblivious about certs' in any case.

For domestic customers, which work needs a compliance certificate, these have to be submitted within 21 days (?ish). So can't see the point of withholding an electrical cert', but them receiving a CC?

 

[littlespark]

No. I didn't get them to sign a contract beforehand. I didnt think I would need to.
If 30 days is a legal threshold, I'll have to wait until then before sending another letter/ phoning her.

 

[Leesparkykent]

I wouldn't wait 30days for a small payment off a domestic customer. I would phone and say I've sent you two invoices in case you didn't receive the 1st so what's happening? Don't be shy asking for your own money....There are lots of people who will try their luck.

 

[Octopus]

Slow / late payers are the norm ........ and something any small business has to contend with ........... what you can do is make sure you build up a reserve of money in your business account to cover such eventualities.

And if you use your trade accounts and credit card account wisely, they can help your cash flow too.

I normally have about 1 months profit "spare" in my business account .

 

[DJ Ovengloves]

You can't chase a debt before 30 days, no matter what an invoice states (unless a written contract overriding dunning law has been bilaterally signed), start chasing aggressively and it could be deemed as harassment and would look bad in court.

I like the suggestion of a gentle reminder and mentioning small business cash flow etc.

I wouldn't wait 30days for a small payment off a domestic customer. I would phone and say I've sent you two invoices in case you didn't receive the 1st so what's happening? Don't be shy asking for your own money....There are lots of people who will try their luck.