Late invoices - how to fix cash flow before it breaks
Thursday 14th August 2025
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Cash flow challenge: My clients often miss payment deadlines, leaving me without the cash I need to cover essential expenses.
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Perfect for: Business owners and finance managers who want to stop late payments from causing major cash flow issues.
Novuna helps businesses access funding to cover the gap when invoices aren’t paid on time, either through our award winning in-house service or by comparing the market to find the best fit for your needs.
We work with providers who understand the challenges of late payments, help you apply, and make sure you get the right deal to keep your cash flow stable.
Understanding the late payment problem
Late invoice payments can happen in any sector. While some delays are genuine oversights, others are due to cash flow issues on the client side. For your business, the result is the same as money owed to you isn’t in your account when you need it. This can make it harder to cover wages, rent, and supplier costs.
How to reduce late invoice payments
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Tighten your credit control process – Set clear payment terms from the start and follow up as soon as a payment is overdue. Sending friendly reminders before the due date can also help.
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Offer flexible payment options – Making it easier for customers to pay - such as offering multiple payment methods - can reduce delays.
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Incentivise early payment – Small discounts for prompt payment can encourage customers to settle invoices faster.
- Maintain good client relationships – Clients are more likely to prioritise payments to businesses they value and trust. Staying in regular contact can help keep your invoices at the top of their list.
Funding options to protect cash flow
Even with strong credit control, late payments can still happen. Short-term funding solutions like invoice finance or a revolving credit facility can give you the cash you need without waiting for overdue invoices to be settled.
How Novuna Business Cash Flow can help
We work with businesses to put tailored funding in place so you can keep operating smoothly even when late payments disrupt your income. Whether you need to release funds tied up in unpaid invoices or want a flexible credit facility, we’ll help you find the right solution.
