Escalate in 5 stages: understand why, negotiate a payment plan, send a formal demand letter, file in small claims court for amounts under $5K-$10K, and for larger amounts hire a collection agency or commercial litigation attorney. This guide covers each stage with ready-to-use templates, when to write off and move on, and how to prevent this in the first place.
Usually after 60-90 days of no response and a formal demand letter has been ignored. Small claims is cheap and you don't need a lawyer.
Statute of limitations on unpaid invoices is typically 3-6 years from the due date, varying by state.
B2B unpaid invoices generally cannot be reported to consumer credit bureaus, but commercial credit agencies will accept reports.
No — stop work as soon as an invoice is more than 30 days past due.
v68