Payment terms are one of those things most people don't think about until an invoice goes unpaid. The answer to how long a client has to pay depends on what your invoice says — and if your invoice doesn't say anything, the answer is less clear than you'd like. Here's how payment terms work, what's standard in different countries, and what your legal rights are when a client takes too long.
It Starts With Your Invoice
The payment deadline on an invoice is whatever you set it to be — within reason. If your invoice says "due within 14 days," the client has 14 days. If it says "due within 30 days," they have 30. If your invoice says nothing about a due date, things get complicated.
Without a stated due date, most legal systems fall back on a "reasonable time" standard — which is vague, unhelpful, and means different things in different jurisdictions. The simplest way to avoid ambiguity: put a due date on every invoice, every time.
Standard Payment Terms by Region
United Kingdom
There's no statutory payment term for most commercial transactions — it's whatever you've agreed. In practice, Net 30 is common for business-to-business invoices, though many tradespeople and freelancers use Net 14.
Under the Late Payment of Commercial Debts (Interest) Act 1998, if no payment term is agreed, the default is 30 days for public sector clients and 30 days for business-to-business transactions (unless a different term is agreed, up to a maximum of 60 days without special justification).
United States
No federal law mandates payment terms for private commercial transactions. Net 30 is the most common standard. State laws vary — some states have prompt payment laws for specific industries like construction.
Australia
No universal standard, but Net 30 is typical. The Commonwealth government and many state governments have adopted 20-day payment terms for small business suppliers. Some states have specific legislation for the building and construction industry.
Canada
Net 30 is standard. The federal Prompt Payment for Construction Work Act (2019) requires 28-day payment terms for federal construction contracts, with similar legislation in several provinces.
What Happens When a Client Pays Late?
Once your stated due date passes without payment, the invoice is overdue and you're entitled to act on it. Depending on your terms and jurisdiction, this may include:
Late payment interest: In the UK, statutory interest of 8% above the Bank of England base rate applies automatically to overdue business-to-business invoices. In other countries, you can only charge interest if you stated it in your terms.
Late payment fees: A fixed fee or percentage charge for overdue invoices — only enforceable if included in your original terms.
Debt recovery: Formal follow-up, debt collection, or court action.
Setting Your Own Payment Terms
You're free to set whatever payment terms work for your business. Common options:
Due on receipt: Payment expected immediately on receiving the invoice. Rarely enforced in practice, but sets a clear expectation.
Net 7: 7 days from invoice date. Good for small jobs and new clients.
Net 14: 14 days. Standard for most trades and freelance work.
Net 30: 30 days. Common for agency and corporate clients.
Net 60: 60 days. Typical for large enterprise clients. Longer than most small businesses should accept if cash flow matters.
Shorter terms get paid faster — on average. Net 14 invoices are paid more promptly than Net 30 ones. If a client insists on longer terms, factor that into your pricing.
Can You Negotiate Payment Terms?
Yes — and you should, before the work starts rather than after. If a large client insists on Net 60, you can:
Accept it and factor the cash flow gap into your pricing
Negotiate a shorter term in exchange for a small discount — early payment discounts (e.g. 2% off for payment within 10 days) are common in corporate invoicing
Ask for a deposit upfront to cover your initial costs while the balance sits on Net 60
What If There's No Agreement at All?
If you did work without a written quote or contract and your invoice has no payment terms, the legal default in most countries is that payment is due within a "reasonable time." For services, this is typically interpreted as 30 days — but it's ambiguous and harder to enforce.
The fix is simple: put a due date on every invoice. Even if there was no formal contract, a due date on the invoice creates a clear, documented expectation. Clervo includes payment terms on every invoice by default, so you're never sending something that leaves the due date open to interpretation.