Invoice payment terms generator
Vague terms mean slow payments. Set Net days, deposit percent, and late-fee options — copy plain-language terms onto your next invoice.
What good payment terms cover
We assemble short paragraphs from your choices: (1) deposit % if greater than zero, (2) due timing — Net X days or due on completion when Net is 0, (3) optional late-fee note at your monthly %, (4) accepted payment methods, (5) optional thank-you with your business name. Business-friendly mode uses warmer wording; formal mode is more legalistic. This is a drafting aid — not legal advice for every jurisdiction.
Example: electrical contractor
An electrician requires a 30% deposit to order gear, Net 14 on the balance, and a mild late-fee note at 1.5%/month in business-friendly tone. The generator produces three short paragraphs ready to drop under the invoice total.
Frequently asked questions
What is Net 30?
Payment is due 30 days after the invoice date. Net 14 and Net 7 are common for smaller jobs where cash flow matters more.
Should I always take a deposit?
Deposits protect you on materials-heavy jobs and no-shows. 20–50% is typical for custom or stocked work; emergency call-outs often skip deposit.
Are late fees legal?
Rules vary by country and state. Keep fees reasonable, state them before work starts, and treat this text as a starting point — not legal advice.
Can Servicebay add these terms automatically?
Yes. Put standard terms on your invoice templates once, then every invoice goes out consistent.
Business-friendly vs formal — which should I use?
Business-friendly works well for local residential work. Use more formal language for commercial clients or larger contracts.