Ask a Cashflow Expert: Haley’s 3 non-negotiables for getting paid on time

"When I turned off our payment reminders for just one week, people stopped paying almost immediately."

This stark observation from Haley Reyners isn't just another cash flow story – it's a wake-up call. As founder of My Two Cents, a Northland-based bookkeeping and accounting practice in New Zealand, Haley learned the hard way that getting paid isn't about luck or even about having great clients. It's about having your non-negotiable’s in place before anything goes wrong, “and one day, it will” warns Haley.

"At one point I had over $60,000 sitting in outstanding invoices, and I was giving the same cash flow advice to clients that I wasn't following myself," Haley admits. "That's when I realized getting paid on time isn't complicated – it's about being absolutely clear on your non-negotiables, the lines of defense that you can leverage when the going get’s tough."

Drawing from both her own transformation (to now bringing her ‘anytime’ outstanding balance to a record low of $24,000) Haley knows the painful cost of missing just one of these critical elements. "Most businesses think about credit control after they have a problem. But by then, you're already playing catch-up." 

So here are Haley’s 3 non-negotiables that business can't afford to compromise on:

1st Non-Negotiable: Build Water-Tight Terms of Trade

"Without proper terms of trade, you have no legal standpoint to collect debt," Haley states bluntly. "You're basically hoping clients will pay – and hope isn't a strategy."

Haley’s painful experience shaped how she approached setting her own payment terms, both for her practice and when advising clients. “First you need to understand what your industry norms are. For us [in professional services], most of our costs are current so we set 7-day payment terms.”

But every industry has its quirks – “B2B typically works on '20th of next month', wholesale often runs longer. The key is understanding that while industry standards matter, your terms need to primarily serve your business needs. You need to get paid quickly enough to keep the lights on."

Haley recommends that you terms of trade must clearly outline:

- Expected Payment timeframes.
- Late payment consequences (eg what late fees or interest you charge).
- Collection procedures.
- Dispute resolution process.

You don’t have to go it alone either, Haley uses local firms Tradie Terms to support her clients with ensuring they have the right (and legal) terms for their business. 

2nd Non-Negotiable: Have a Debtor Policy

Secondly, after you have a strong set of terms setup, you need to outline your debtor policy. "Your debtor policy is the blueprint for how you follow up and collect – it's about being predictable,"

Haley explains. "When you spell out exactly what is going to happen when your invoices are overdue by 7 days, 14 days, and beyond, you take emotion out of the equation. Our clients actually appreciate knowing where they stand, and we've cut our debtor days from 40 to under 25 by simply following our own rules."

It isn't just about when to send reminders – it should also include when you charge interest (if any), when to escalate to manual actions such as phone calls or legal letters to debt collectors.

Haley recommends that your debtor policy should address:

- Who gets what payment terms (eg different groups of customers)
- Your follow-up schedule.
- Interest charges and late fees.
- When to escalate.
- How to handle disputes.

Defining what these are, and and including them in your payment terms is essential to setting the stage (and the expectations) for what happens when your customers don’t pay you by the due date. 

3rd Non-Negotiable A dedicated owner (who is policing it for you?)

"The best terms and policies mean nothing without someone owning them," Haley emphasizes. Whether it's internal staff or an external service (such as Paidnice or Haley’s firm, MyTwoCents), someone needs to be accountable for policing your AR process.

At My Two Cents, accounts receivable automation tools like is key to making this work at scale. "We use Automation for 90% of the debtor process, and have dedicated staff for that crucial human follow-up [powered by Paidnice]. You need both – systems for consistency and people for relationships."

You can’t afford to sit on the fence

"If you look at these three non-negotiables, there's nothing revolutionary about them. They're obvious – almost trivial," Haley reflects. "But most businesses I work with are missing them. They're either hoping their terms will protect them, running without a clear policy, or what we typically find is that nobody has ownership for policing them."

“Having software that manages these workflows behind the scenes just makes it work," explains Haley. "Paidnice is something we can use ourselves internally and easily set up for clients who need help with their AR process."

"The reality is, when our debtor workflow is turned off – even briefly – people stop paying almost immediately. And as the economy gets tougher and cost of living goes up, small businesses can't afford to leave your cash flow to chance."

Haley's message is clear: "You have two options. Either put these foundations in place yourself or outsource it to someone who will. But there's no sitting on the fence about this. When you're struggling with debtors that are out of hand, there's no 'on the fence' – you've got no option.” cautions Haley.

“For the cost [of using software] versus the money you get in your bank, it's a no-brainer. We've managed manual systems, we've used various software, but having these three elements working together is what actually gets cash in the bank."

Haley Reyners runs My Two Cents, a Northland-based (NZ) accounting and advisory firm where she serves as a Professional Tax & Business Advisor (PTBA, ATAINZ) and ICNZB Certified Bookkeeper. My2Cent's is an Expert Paidnice Partner who can help you with your setup or management of Paidnice. Find out more on their directory listing, or on their website.