If a client doesn't pay, the sequence is: a friendly reminder first, then a clear deadline, then a formal demand, and as a last step, a court dunning procedure. Prevention is most effective of all – if the budget is already secured before work begins, the payment simply can't fail.
Step by step when payment doesn't arrive
1. Check in briefly: did the invoice arrive? Any questions about the work?
2. A friendly payment reminder with a new date and a direct payment link.
3. A payment request with a concrete deadline.
4. A formal demand: official, referencing late-payment interest and further steps.
5. A court dunning procedure or debt collection (Germany) – see the guide on the dunning procedure.
Common reasons for non-payment
Unclear scope: the client thinks the work is incomplete.
No approval step agreed: nobody knows when it counts as "done."
Cash-flow problems on the client's side.
The invoice is sitting unprocessed with the wrong person.
How to prevent non-payment on new projects
Set up milestones with amounts, deadlines, and measurable acceptance criteria, and have the budget secured before work begins. With Stipme, the client pays through a link with the payment partner Stripe, without signing up. After each delivery, they approve with one click. If they don't respond, it's approved automatically after 72 hours (business days), and the payout to your bank account is triggered.
Frequently asked questions
When is the client in default?+
In Germany, at the latest 30 days after the invoice is due and received – for consumers only if the invoice states this (§ 286 BGB) – or earlier with a formal demand or an agreed date.
Can I stop work if the client doesn't pay?+
A right of retention is often possible, depending on the contract. A clearer approach is a rule in the quote itself: the next stage starts after payment or approval of the previous one.
Is debt collection worth it for small amounts?+
It depends on the case. For small amounts, the court dunning procedure is often cheaper and simpler.