Potential Difficulty Getting Paid:(

nozzadamozza

Hi everyone - I was wondering would anyone be able to advise. I have done some work for a company - I am self employed and they have been getting me to do 1-2 days per week. I sent in an invoice last month and asked to get paid in two weeks. They said they pay a month in arrears. I said that was fine.

I sent in this months invoice yesterday and asked would my payment for last month be sorted out by friday. The person i deal with said, they hoped it would be sorted by the end of the week as they were chasing a few invoices.

I hope this wont happen but it basically seems like what they are trying to do is shift their risk onto me- so if the company doesnt pay them, then they dont pay me; even through i never agreed this at any point (I have been stung by this in the past when i took someones word as truth:( )

Is this normal practice for a business? Obviously, the money could be in my account on Friday, it could be a misunderstanding BUT I really dont want to be messed around as I have had that happen to me this year and it was v distressing- and I just wanted to know what is the best way to deal with this?

Hammyman

What was in the terms of business in regards to payment that you got THEM to sign when you started doing work for them?

Unless you clearly set out terms of payment in a contract you get them to sign to that all invoices are payable in 14 days, they can pay you whenever they want. You can add interest at the rate of 8% on for late payment after 28 days under small business payment legislation brought out several years ago but realistically that usually results in your services no longer being required.

LadyMissA

What did you tell them YOUR terms were

nozzadamozza

firstly, thank you both for getting back to me. I didnt get them to sign anything, i mentioned payment when i sent the first invoice and said i liked to be paid within 2 weeks, where they got back and said they paid in a month in arrears. I said this was fine. I guess I need to get something like this put together

Hammyman

You need to seriously look at what you should be putting in it. You need to put in things like terms stating you're not liable for any losses due to any actions of you or representatives of your company and the like. It needs to be absolutely watertight.

LadyMissA

I would just send a 7 day letter alerting them that action may be taken if payment is not received