You finished the job weeks ago. You sent the invoice. And now… silence. The contractor isn't returning your calls. Your invoice is officially unpaid.

Sound familiar? Here's exactly what to do when you have an unpaid invoice.

Step 1: Verify the Invoice Was Received (Days 1-3)

Before you escalate, confirm they actually got it:

Check your email for delivery confirmation
Send a friendly follow-up: "Hey [Name], just wanted to make sure you received Invoice #123 for the [job name]. Let me know if you need anything!"
Call their office and ask if accounting received it

Sometimes invoices get lost in spam, sent to wrong email, or buried in their system. Start friendly.

Step 2: Send First Payment Reminder (Day 7-10 After Due Date)

If Net 30 has passed, send a polite reminder:

"Hi [Name],

Invoice #123 ($8,500) was due on [date] and is now [X] days overdue. Can you let me know when I can expect payment?

Thanks,
[Your Name]"

Keep it professional, no emotion. This catches honest mistakes.

Step 3: Make the Phone Call (Day 15)

Don't hide behind email. Pick up the phone:

Call their AP department directly
Ask specific questions: "When was the invoice approved?" "What's the check number?" "When will it be mailed?"
Get a name and a commitment

A real conversation gets real answers. Most people won't lie to your face (or voice).

Step 4: Send a Formal Demand Letter (Day 30)

Now it's serious. Send a professional demand letter (email + certified mail):

Subject: FINAL NOTICE - Invoice #123 Now 30 Days Overdue

"Dear [Name],

This letter serves as formal notice that payment for Invoice #123 ($8,500) is now 30 days overdue.

Payment was due on [date]. Despite multiple follow-ups, payment has not been received.

Please remit payment within 10 business days to avoid additional collection action, which may include:

Late fees and interest charges
Mechanics lien filing
Legal action to collect the debt owed

If payment has been sent, please provide the check number and date mailed.

Respectfully,
[Your Name]
[Your Company]
[Phone]"

This shows you're serious. The implied threat (liens, legal action) often triggers payment.

Step 5: Assemble Your Evidence (Day 30-45)

While you're waiting for their response to the demand letter, build your case:

Original contract or work order (showing scope and price)
Proof of work completed (photos, site reports, signed completion forms)
Change order approvals (emails, texts showing they approved extra work)
All invoices sent (with dates, showing timeline)
All communication (emails, texts, call logs showing you tried to resolve)

Put it all in one PDF. This becomes your legal packet if you need to file a lien or sue.

Step 6: File a Mechanics Lien (Day 45-60)

If they're still ghosting you, file a mechanics lien (if you're in the US and worked on real property):

Deadlines are strict (often 60-90 days from job completion)
Liens make it nearly impossible for them to sell/refinance the property
This creates massive leverage
You can file yourself or hire a service ($200-500)

Most GCs pay within 2 weeks of a lien filing because it screws up their financing.

Step 7: Small Claims or Hire a Lawyer (Day 60+)

If the lien doesn't work:

Small claims court (for debts under $5k-10k depending on state): You can do this yourself, no lawyer needed. Filing fee is $50-200. Hearing in 30-60 days.
Hire a collections attorney (for larger debts): They work on contingency (30-40% of what they collect). They send scary letterhead and can sue faster.
Send to collections (last resort): You'll only get 30-50 cents on the dollar, but it damages their credit and you get something.

What NOT to Do:

❌ Don't wait forever - The longer you wait, the less likely you'll get paid
❌ Don't get emotional - Stay professional, no matter how pissed you are
❌ Don't skip documentation - If you don't have proof, you don't have a case
❌ Don't threaten what you won't do - If you say you'll sue, be ready to sue
❌ Don't do more work for them - Cut them off until they pay

The Real Lesson: Prevention

The best way to handle unpaid invoices is to prevent them:

Document everything on-site (not weeks later)
Get approvals in writing (email/text same day)
Invoice immediately (while in the parking lot, not 2 weeks later)
Send professional PDFs (shows you're organized)
Follow up early (day 5, not day 45)

When clients know you document everything and follow up fast, they don't try to ghost you.

Unpaid Invoice? 7 Steps to Collect Payment (Without a Lawyer)