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Self Employed Sole trader Invoicing to a large Business

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12 years 3 weeks ago #652 by abacuspcservices
Hi

I am a self employed sole trader who supplies pc support to some of my clients over the telephone. Since starting up over 2 years ago, my invoices have always stated payment terms of 30 days.

One client, who has had 7 invoices (for 7 separate support scenarios) over the past 2 years has consitently only paid after receiving a 30 day reminder letter. In the summer of last year I spoke to them to ask if there was a reason for this and a lame excuse was given. Payment of the next 2 invoices were within the 30 days, but they are now starting to pay late again.

I was unware of the legislation up to this point in time.

My question is, as I am self employed and a sole trader, can I only claim the interest element of the legislation, or are the fixed fee penalties applicable to me also.

Kind regards


Dave

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12 years 3 weeks ago #653 by David J
Hello Dave
As a self employed person you are a business so the legislation applies to you the same as any other business type.

You can charge interest AND compensation on invoices that are paid after any agreed credit terms or a default of 30 days if no terms are agreed.

You can also go back 6 years retrospectively and claim interest and compensation on invoices that were paid late.

The Users guide is a good place to start understanding what you can claim and how to go about it.

I hope that helps

Regards

David

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