5 Subtle mistakes that make AR chasing harder and how to avoid them
CollectFast Team
5 min
READ
Why This Matters—A Real Story
Nearly every founder or finance lead, especially SMBs using QuickBooks or Xero, has spent too much energy chasing payments that should have just arrived on time. You stare at your “Aging Receivables” dashboard: invoices gather dust, aging from 15 to 30, even 60 days overdue. You start wondering—are my reminders too soft? Did my client even see it? Should I be following up by phone?
The truth is, most overdue payments aren’t just because your clients are unreliable. They happen because of a handful of sneaky mistakes—tiny workflow issues you don’t even realize you’re making. And while working harder might seem like the answer, working smarter by clearing out these hidden hurdles is what unlocks steady cash flow.
“It’s not about hustling more—it’s about fixing tiny habits that unlock cash.”
1. Letting “Just One Follow-Up” Be Your AR Plan
Here's a familiar scenario: Your invoice is due on the 1st. On the morning of the 2nd, you send a gentle reminder:
“Hi, just checking in. Payment was due yesterday. Let me know if you need anything to help with payment.”
Then… silence. You wait, thinking maybe one nudge is enough.
The problem? Research shows most businesses respond only after the third reminder—often because invoices get lost in email, delegated, or simply forgotten. Your polite single nudge might keep you friendly, but it’s not enough to convert awareness into action.
The Fix:
Adopt a simple sequence:
Before Due Date: A gentle heads-up (e.g., “Just reminding payment is due soon!”)
Day After Due: Slightly more urgent, but still friendly (e.g., “Our records show payment is overdue. Let us know if you need help!”)
One Week Later: Friendly but firm follow-up, offering payment options and requesting ETA.
Pro Tip: Automate this rhythm using AR tools (like CollectFast) so you never miss a step—even on your busiest weeks. Clients in SaaS, design agencies, and consulting respond better to rhythm than random reminders.
2. Copy-Pasting the Same Reminder for Every Follow-Up
Imagine you get three reminders, and each looks like this:
“This is a reminder that your invoice is overdue. Please pay soon.”
It blends into inbox noise. Your client scrolls past because they assume it’s a repeat. The message loses urgency.
The Fix:
Change up your wording—each reminder should have a different flavor:
Second Reminder:
Third Reminder:
Add bullet points (e.g., summary of outstanding invoices, payment links in bold), personalize with client name, and contextualize urgency (“This invoice helps us continue delivering great service!”).
Real-World Example:
Top-performing agencies report a 20-30% higher collection rate simply by diversifying follow-up messages.
3. Hiding Payment Instructions in the Fine Print
Don’t assume your client will dig through old emails or attachments for payment details. Many delay payment just because a bank detail or UPI link isn’t visible, or the “Pay Now” button is hidden.
The Fix:
Paste payment instructions at the top of every reminder.
Use bold text for important info (bank account, UPI ID, payment buttons).
Hyperlink payment options and call-to-action (“Click here to pay instantly”).
Example Email Footer to Avoid:
“Payment instructions (see attached PDF).”
Instead:
“Pay directly via UPI: nextgrid@okaxis | QuickBooks Bank Transfer: Account XXXX | [Pay Now]”
Actual Result:
CollectFast users see a 40% drop in “Can you resend your payment info?” replies.
4. Ignoring Each Customer's Payment Patterns
Your repeat clients aren’t all the same. Some pay as soon as you invoice; others always wait until they get a stern reminder. If your system treats everyone identically, you miss the chance to nudge slow payers sooner and delight fast payers.
The Fix:
Tag “slow payers” and “prompt payers” in your accounting tool.
For chronic late payers, send reminders earlier and with a firmer tone.
For fast payers, send a thank you note and prioritize repeat business.
Example Tactics:
For slow payers: “We’ve noticed payments often arrive late—happy to discuss flexible terms or automated reminders.”
For fast payers: “Thanks for always settling up quickly! It helps us keep our service top-notch.”
How This Helps:
Pattern recognition keeps your tone friendly while boosting results—and creates a positive feedback loop that encourages better client behavior.
5. Leaving AR Collections Unsystematized
Many SMBs still track collections using sticky notes, spreadsheets, or a “mental to-do” buried in dozens of open browser tabs (sound familiar?). During busy weeks, reminders slip through the cracks—follow-ups get missed, and overdue invoices pile up.
The Fix:
Schedule a weekly “AR review” slot in Google Calendar.
Set up automation via CollectFast, QuickBooks, or Zapier/Notion to trigger reminders and send emails.
Use dashboards to monitor DSO (Days Sales Outstanding) and spot aging invoices—before they become a cashflow headache.
Why Automation Wins:
It frees up mental energy for strategic work (like launching new services) rather than endless chasing.
The Compound Power of Tiny Fixes
Changing these habits pays off like compounding interest—not overnight, but steadily. You’ll see less stress, stronger client relationships, and more predictable revenue.
“Collections should be background music—not a recurring alarm.”
When collections run in the background, founders can focus on building their business, not babysitting invoices. Your AR gets lighter, your bottom line healthier.
Practical Actions—Your AR Checklist For This Week
Ensure your system sends minimum three reminders per invoice (preferably automated).
Update invoice templates so payment details are front-and-center and easy to find.
Review your client payment averages—who needs a gentle reminder, and who responds better to firm nudges?
Schedule a dedicated “receivables check-in” weekly slot in your calendar.
Try CollectFast’s plug-and-play AR reminders for a gentle, automatic fix—and watch overdue balances shrink.
Ready to make AR feel lighter?
See how CollectFast automates the small stuff →
CollectFast gives your reminders a system and your cash flow a rhythm—so chasing becomes nearly effortless, plus seamless QuickBooks integration if you need it.
Conclusion
Fixing these “invisible” mistakes is one of the highest-leverage moves any SMB founder or finance lead can make. When AR is flowing predictably, you get clarity—for planning, payroll, and growth. Don’t wait for another month of overdue payments: start making collections feel lighter today.
