How do you handle late invoices?

Last updated: July 30, 2026

Summary: Collections follow an escalating ladder: automated reminders around the due date, recurring late notices on a cadence based on your billing settings, then personal outreach and phone calls, a formal demand letter, and — if an invoice still isn't resolved — referral to a collections agency or litigation through outside counsel, depending on the situation. The earlier a problem is raised, the more options everyone has.

The escalation ladder

1. Automated reminders around the due date.
Invoices are delivered by email with their due date and payment instructions. Automated messages go out as the due date approaches and when it arrives.

2. Recurring late notices.
Once an invoice is past due, automated dunning emails continue periodically — the cadence depends on the billing settings for the account. These recap the outstanding balance and how many days past due it is.

3. Personal outreach and phone calls.
If automated notices don't resolve it, our team reaches out directly — email follow-ups and phone calls to your billing contacts (and, where relevant, the client's) to understand what's blocking payment and agree on a date.

4. Demand letter.
Invoices that remain unpaid despite outreach receive a formal written demand for payment.

5. Collections agency or litigation.
As a last resort, seriously delinquent balances are referred to a collections agency we partner with, or pursued through litigation via our outside counsel — depending on the amount, the history, and the situation. At this stage, additional costs and interest may apply per your agreement.

What else can happen while invoices are unpaid

  • Distributions can be affected. Aged, unpaid invoices can delay or reduce partner distributions — see Why your distribution might be delayed.

  • Credit and new business. Ongoing delinquency affects the client's available credit with us and can pause new assignments for that client.

If you know an invoice will be late

Tell us early — email support@ascen.com or your Customer Success Manager. A heads-up about a client's payment issue lets us pause escalation, work out timing, and protect your relationship with the client. Escalation is about resolving the balance, not surprising anyone.

  • When do I receive payment from assignments?

  • How do I know when invoices are paid?

  • How do I pay invoices? (for clients)