Getting paid

Due on receipt

"Due on receipt" is a payment term meaning the client is expected to pay the invoice immediately upon receiving it, rather than within a set number of days.

What "due on receipt" means

When an invoice is marked "Due on receipt" (or "Due upon receipt"), there is no grace period — payment is expected as soon as the client gets the invoice. In practice, most clients treat it as "pay within a day or two."

It’s the fastest standard term and is popular with freelancers, contractors, and small service businesses that want to keep cash flow tight and avoid chasing payments.

When to use it

Due on receipt works best for one-off jobs, smaller amounts, new clients without an established relationship, or any time you want to be paid quickly. Pairing it with a one-click online payment link makes immediate payment realistic rather than aspirational.

For larger corporate clients with formal accounts-payable processes, a short Net term (Net 7 or Net 15) may be more practical, since "due on receipt" can clash with their payment cycles.

Example: A mobile mechanic finishes a repair and texts the customer an invoice marked "Due on receipt" with a card link; the customer pays before leaving the driveway.

FAQs

Frequently asked questions

How long do you really have to pay a "due on receipt" invoice?

Technically payment is expected immediately. In practice, paying within one to two business days is generally considered prompt.

Is "due on receipt" better than Net 30?

For cash flow, yes — you’re paid sooner. But Net 30 may suit larger clients with formal payment processes. Match the term to the client and job size.

Put it into practice

WaffleInvoice lets you create branded invoices, set payment terms, collect payments online, and automate reminders — free for unlimited invoices.

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