You get paid in 7 days by locking in written Net 7 terms before the job starts, invoicing the same day the work is done, and following a fixed follow-up schedule on days 5, 8, and 14 if the invoice goes unpaid. The industry average sits at 83 days, but that gap is self-inflicted, not caused by clients. Here is the exact system to close it.
If you're finishing jobs and waiting three months to see money, the issue probably isn't your clients. It's your system. Or more accurately, the lack of one. This article lays out a field-tested approach to get paid faster as a contractor, covering everything from how you set terms to how you send the invoice and follow up without feeling awkward about it.
You don't need a bookkeeper. You don't need accounting software. You need a process you actually follow.
Key takeaways
- The average construction payment takes 83 days industry-wide, and most of that delay is self-inflicted, not the client's fault.
- Lock in your terms in writing before work starts: a 30 to 50 percent deposit, Net 7 payment terms, and a 1.5 percent monthly late fee.
- Invoice the same day the job wraps. Wait five days and your real payment window stretches from 7 days to 12.
- Run a fixed follow-up sequence: reminder on day 5, firmer note on day 8, phone call on day 14 if still unpaid.
- Accepting card payments costs 2.5 to 3 percent in fees, but that's cheaper than carrying a $10,000 invoice for an extra 30 days.
Why 83 Days Became Normal (And Why You Should Refuse It)
The 83-day average comes from payment data across the construction industry, including subcontractors in electrical, plumbing, HVAC, and general contracting. It's not just slow. It's dangerous.
If you're a plumber running a three-person crew and you've got $40,000 in unpaid invoices sitting out there, you're essentially financing your clients' projects out of your own pocket. You're buying pipe, paying labor, covering fuel, and carrying that cost for months. Banks charge interest for that service. You're doing it for free.
The reason this became normal is that contractors accepted it. Vague terms, late invoices, no follow-up, and paper checks in the mail became the standard. Every one of those habits adds days to your payment cycle.
The good news: each one of those habits is fixable this week.
Start Before the Job Does: Lock In Your Payment Terms
Most contractors lose the payment battle before they pick up a single tool. They agree to vague terms, or no terms at all, and then wonder why clients take their time paying.
Your contractor payment terms need to be written, specific, and agreed to before work starts. Not discussed. Not implied. Written and signed.
Here's what your terms should include:
- Deposit requirement. Collect 30 to 50 percent upfront on any job over a set threshold. For a remodeling contractor, that might be anything over $5,000. For an HVAC tech replacing a commercial system, maybe $2,500. Set your number and hold to it.
- Net 7 terms. Not Net 30. Not Net 45. If you invoice on completion, payment is due in 7 days. You can offer Net 30 as a fallback, but start at 7.
- Late payment fees. One and a half percent per month on overdue balances is standard and enforceable in most states. Put it in writing.
- Accepted payment methods. List exactly how you accept payment. Card, ACH transfer, check, digital payment apps. If you don't accept card and the client only has a card, you've created a delay.
A signed proposal or contract with these terms does two things. It sets expectations, and it gives you something to point to when you follow up.
Invoice the Day You Finish, Not the Day You Get Around to It
This is where most contractors leave money on the table. The job wraps on a Thursday afternoon. You're tired. You tell yourself you'll invoice Monday. Monday becomes Wednesday. Wednesday becomes next week.
Every day you wait to invoice is a day added to your payment timeline. If your terms are Net 7 and you wait five days to invoice, you've already extended your real-world payment window to twelve days minimum. Stack a few jobs and a few delays like that and you're suddenly sitting on 30-day receivables with Net 7 terms on paper.
The rule is simple. Invoice the same day the job is complete, or at the latest, the morning after.
Here are a few construction invoice tips to make that easier:
- Use a mobile invoicing tool. Apps like Krue let you build and send an invoice from your phone before you leave the driveway. No laptop required, no waiting until you're back at a desk.
- Build a template. Stop writing invoices from scratch. Set up a standard template with your logo, payment terms, accepted payment methods, and bank details. Fill in the job-specific line items and send.
- Include everything the client needs to pay. That means your bank details for direct transfer, a payment link if you accept card, and your late payment terms. The fewer reasons they have to ask a follow-up question, the faster they pay.
- Send it directly to the right person. On commercial jobs especially, confirm who processes payments before the job ends. Sending an invoice to a site super who then has to forward it to accounting adds days before it even gets opened.
Collect a Deposit. Every Time.
A deposit does three things. It filters out clients who were never serious, it covers your material costs upfront, and it puts the client's money at stake, which changes how they treat the relationship.
For a general contractor doing a $25,000 kitchen remodel, a 40 percent deposit means $10,000 in the bank before you order a single cabinet. For an electrician roughing in a new build, a 30 percent deposit covers wire, panels, and labor for the first week.
Some contractors worry that requiring deposits will cost them jobs. The opposite is usually true. A client who pushes back hard on a deposit is often a client who will push back hard on the final invoice. Better to know that now.
Set your deposit structure in your proposal template. Make it automatic, not a conversation you have each time. "Here are our standard terms" is a much easier sentence than "So, about that deposit."
Build a Follow-Up Sequence and Actually Use It
Sending an invoice is not the finish line. Following up is part of the job.
Most contractors hate this part because it feels like begging. Reframe it. You completed the work. You held up your end. Following up on payment is professional, not pushy.
Here's a simple sequence that works:
- Day 1. Send the invoice immediately after job completion with a brief message confirming the work is done and payment is due in 7 days.
- Day 5. Send a short, polite reminder. "Just checking in, invoice 042 for $4,800 is due in two days. Let me know if you have any questions."
- Day 8. If unpaid, send a firmer follow-up referencing your late payment terms. Keep it professional, not aggressive.
- Day 14. Pick up the phone. Email is easy to ignore. A direct call moves things faster than another message in someone's inbox.
This sequence sounds like a lot until you set it up once and repeat it every job. A basic spreadsheet or a tool like Krue can track where each invoice sits so you're not relying on memory.
Accept Card Payments. Stop Making It Hard to Pay You.
If a client wants to pay by card and you don't accept card, you've created friction at the worst possible moment. That friction becomes delay. Delay becomes 83 days.
Card processing fees run about 2.5 to 3 percent depending on the platform. On a $10,000 invoice, that's $250 to $300. That sounds like a lot until you realize that carrying that $10,000 for an extra 30 days costs you real money in terms of what you can't buy, can't invest, and can't pay your crew with.
Offer multiple ways to pay. ACH bank transfer is free and fast. Card is convenient. If your client wants to write a check, fine, but don't let that be the only option.
The 7-Day System in One Place
Here's the complete approach, stripped down:
- Set written payment terms before work starts. Net 7, deposit required, late fees included.
- Invoice the same day the job wraps. Use a mobile tool so there's no excuse.
- Send the invoice to the right person with everything they need to pay on the spot.
- Follow up on day 5, day 8, and call on day 14 if unpaid.
- Accept multiple payment methods. Remove friction.
- Require deposits to cover your costs and confirm client commitment.
None of this requires a bookkeeper. None of it requires expensive software. It requires consistency, and that part is on you.
Stop Waiting. Start Getting Paid.
The 83-day payment cycle exists because contractors let it exist. The system above won't make every client pay in 7 days. But it will cut your average payment time significantly, reduce the number of awkward conversations you have to start, and put more cash in your account while jobs are still fresh.
Krue is built for exactly this. Fast mobile invoicing, built-in payment terms, and follow-up tools designed for contractors who are on the job site, not behind a desk. If you want to spend less time chasing money and more time running jobs, start there.
Frequently asked questions
What if a client still hasn't paid after you've called them on day 14?
At that point, treat it as a collections issue, not a communication issue. Send a formal notice referencing your written late payment terms and fees. Depending on your state and the contract value, mechanic's lien rights may apply on real property, and small claims court is often realistic for smaller balances. The key is having documented, dated follow-ups from day 1 through day 14 to back you up.
Can you charge interest or late fees on unpaid construction invoices?
Yes, in most states, as long as the fee is disclosed in writing before the work starts, typically in your contract and on the invoice itself. One and a half percent per month on the overdue balance is a common, enforceable rate. Charging a fee you never disclosed upfront is much harder to collect and can create a dispute instead of speeding up payment.
Is Net 7 realistic for commercial clients with accounts payable departments?
It is a harder sell than residential, since many commercial accounts payable departments run on fixed cycles. Net 15 is a more realistic starting point for commercial work, still far tighter than the 83-day industry average. Whatever term you set, get it agreed to in writing before the job starts, and confirm who processes payment so your invoice does not sit in the wrong inbox.
What if a client disputes the invoice instead of paying?
Pause the follow-up sequence and address the dispute directly and in writing. Reference the signed contract, the agreed scope, and any change orders. This is exactly why written terms and a documented paper trail matter from day one. A client who disputes an invoice with no contract behind it puts you in a much weaker position than one backed by signed terms and clear documentation.
Do you need a written contract for Net 7 terms to be enforceable?
You need it to make the terms actually stick. A verbal agreement about payment timing is nearly impossible to enforce if a client decides to pay on their own schedule instead. A signed proposal or contract with your deposit requirement, Net 7 terms, late fees, and accepted payment methods gives you something concrete to point to the moment a payment runs late.
How do you switch existing clients to Net 7 terms mid-relationship?
Introduce it on the next new job, not mid-project on work already underway. Frame it the same way you would with a new client: this is how you run your business now, not a special request aimed at them. Most repeat clients who trust your work will not push back on tighter terms, especially if you have been reliable about quality and communication in the past.
Stop finishing jobs for free. Get paid like you mean it.
Ready to cut your payment cycle? Try Krue free and send your first invoice in under two minutes.
Every step in this system is a habit, and habits slip on busy weeks. Krue runs the invoice-day-one, remind-on-schedule routine for you, so getting paid in seven days stops depending on your memory.
