Accounts Receivable Checklist for Small Businesses

Before you invoice

• ☐ Confirm payment terms in writing before work begins
• ☐ Verify client contact details and correct billing entity
• ☐ Check whether the client needs a purchase-order number
• ☐ Agree invoicing milestones for larger projects

When you invoice

• ☐ Invoice immediately on delivery of goods or services
• ☐ Include a specific due date ("Due 14 March 2026"), not "Net 30"
• ☐ Itemise clearly, vague invoices cause queries and delays
• ☐ Include payment details (bank account, BPAY, or payment link)
• ☐ Attach supporting documents if required (timesheets, delivery notes)
• ☐ Send to the right person, accounts payable, not just your contact

After you invoice

• ☐ Friendly reminder 3–5 days before the due date
• ☐ Follow up within 3 days of the due date if unpaid
• ☐ Escalate at 14 days overdue, phone, not just email
• ☐ Formal overdue notice at 30 days
• ☐ Consider pausing further work at 60 days overdue
• ☐ At 90+ days, assess collections agency

"Most overdue invoices aren't disputes, they're drift. A fixed follow-up rhythm, written into the way you work, collects more than any single stern email ever will."

Shane, Head of Growth, FundTap

Weekly AR habits

• ☐ Run your debtor ageing report every week
• ☐ Review the 30+ day column, who needs follow-up?
• ☐ Track Days Sales Outstanding (DSO) monthly
• ☐ Note repeat late payers and consider adjusting terms

Structural improvements

• ☐ Offer multiple payment methods (transfer, card, direct debit)
• ☐ Consider deposits or upfront payments for new clients
• ☐ Use automated reminders in Xero, MYOB, or QuickBooks
• ☐ For persistent 30–60 day gaps, use invoice finance to access funds now

Bridging the gap

Even excellent AR management can't remove the timing gap that payment terms create. If customers consistently pay on 30+ day terms, invoice finance lets you access that cash immediately. With FundTap you choose which invoices to fund, receive an advance the same day (median first fund: 3 days from sign-up; FundTap data, 2026), and pay a single fee from 4%, no monthly fees or lock-in. The selective model keeps risk low.

Frequently asked questions