Trade professionals work fast, often on tight margins and in unpredictable environments. When a customer delays payment, the impact is immediate.
Expenses for materials, fuel, and labor come out of pocket long before an invoice is due, and even one overdue bill can disrupt cash flow.
That makes an effective collections strategy essential for protecting profitability and reducing stress.
The good news? You can protect your cash flow and your reputation with a few smart, proactive strategies.
1. Use written agreements and provide clarity up front
The first step is to set expectations. Written estimates, signed agreements, and clear payment terms prevent confusion and give both parties an understanding of the work ahead. Digital tools, such as online invoicing, deposit payments for large jobs, and automated reminders, create transparency and make it easier for customers to understand their responsibility.
Documentation is equally important during the job. If something changes midproject, noting it in writing helps avoid disputes later. Even simple change-order notes added to an invoice or sent via email help maintain clarity. Good documentation protects both sides and ensures that trust is built through transparency.
2. Don’t wait 90 days to follow up
Some projects, such as plumbing or HVAC needs, are essential and often urgent, which means that after a job a relieved customer might not be thinking about the invoice. When a bill goes unpaid, waiting months to follow up only increases frustration and reduces the likelihood of resolution.
Early outreach, starting with a friendly reminder, keeps communication warm rather than confrontational. Many trade professionals hesitate to follow up because they worry they’ll sound demanding. But following up isn’t being pushy; it’s being professional. It ensures you get paid for the skilled work you’ve completed while helping customers to be accountable.
3. Send gentle, consistent reminders
Most customers with overdue bills simply have forgotten the work or misplaced the invoice, or they feel awkward about acknowledging the delay. Gentle, consistent communication prevents overdue accounts from becoming unmanageable.
Automated communication systems make this easier, but plumbers often assume they must manage reminders themselves. You’re most profitable when you’re on the job, doing what you’re trained to do, not sitting at a desk chasing payments. Implementing automated reminders or using a service that handles early follow-ups can drastically reduce the number of accounts that become delinquent.
4. Bring in a trusted partner when necessary
When reminders aren’t enough, a third-party collections partner can step in to handle the more difficult conversations while keeping the atmosphere professional. Bringing in a reputable partner eliminates tension for the provider and protects the customer relationship. CBY Professional Services’ respectful, solutions-oriented approach helps trade professionals recover unpaid balances without damaging trust or taking time away from their work.
Protect your time, protect your cash flow, and protect your reputation. A thoughtful collections process implemented by trusted experts keeps your business running strong. CBY is here to help you stay focused on the work that matters most.
