Explained
What makes it work is not the tone of the message but its regularity and the accuracy of its numbers: a reminder about an invoice already paid costs more trust than it collects money. That is why follow-up is driven by a receivables ageing rather than by memory — who is late, by how many days, and for how much.
Related terms
- Accounts receivableAccounts receivable are the amounts customers owe a business for invoices issued but not yet collected.
- Payment termsPayment terms are the agreed period for settling an invoice, written on it plainly — "net 30 days", for instance.
- Cash flowCash flow is the money that actually came in and went out over a period — which is not the same thing as profit.