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Getting paid

Due on Receipt

The short answer

Due on receipt means payment is expected the moment the client gets the invoice — no fixed date, no grace window. It sounds firm but gives a client nothing concrete to be held to, which is why a real date usually gets you paid faster.

What it means

It reads as urgent, but it’s actually vaguer than Net 7 or Net 14, not stricter. “Due on receipt” doesn’t say when the clock started, so a client who pays two weeks later hasn’t technically broken any stated deadline — there wasn’t one written down to break.

It works fine for small cash-and-carry jobs where you’re handed payment on the spot anyway. For anything invoiced and sent, a specific date — even a short one, like Net 3 — gives you something concrete to point to in a reminder, and gives the client something concrete to plan around.

For example

A one-hour callout marked “due on receipt” gets paid on the spot by card before you leave — that’s the use case it actually suits. The same wording on an emailed invoice for a bigger job just leaves both sides guessing what “immediately” means in practice.

The mistake to avoid

Using “due on receipt” on every invoice by habit, then being surprised when a follow-up email a week later reads as premature — there was no stated date it was actually overdue against.

See also

Want this handled automatically?

BizBinder keeps quotes, invoices, deposits, and reminders in one binder, so using the right term is the least of it — the underlying habit runs itself.