Late Payment of Commercial Debts Regulation – advice needed.

bpk101

I operate a small freelance design business as a sole trader and recently completed some work for a client. Due to an earlier experience with the same client where they were extremely late paying I added a clause in our new contract (signed by both parties) that payment was due on receipt of invoice and that late payments were "subject to interest and statutory compensation in accordance with The Late Payment of Commercial Debts Regulations 2013". This was also included on the invoice itself. 

Lo and behold, invoice was issued over a week ago and despite a couple of follow up emails they have neither acknowledged receipt of the invoice or paid it, in fact I've not heard from them since. 

So... how does the interest and statutory compensation in accordance with The Late Payment of Commercial Debts Regulation actually work in practice? Do I simply reissue a new invoice every day, week or month with the interest added? 

And how much should I be adding for each day, week or month that passes?

Thanks. 

superbigal

https://www.gov.uk/late-commercial-payments-interest-debt-recovery/charging-interest-commercial-debt


Send a new invoice if you decide to add interest to the money you’re owed.