Why getting paid late usually starts before the job does…

Getting paid on time has nothing to do with luck. It’s about how you set the job up from the start. Most tradies chasing money at the end of a project don’t have a work quality problem. They’ve got a structure problem. Weak terms, no enforcement and too much trust given too early.Miss that setup, and you’re not running a trade business. You’re running after invoices.

Do the work. Get paid on time.

If you want to get paid properly, everything starts before the tools come out. Too many tradies skip contracts on small jobs, thinking it’s not worth the hassle. That’s usually where things go wrong.

Every job needs something in writing. Scope of work, timelines, payment terms, deposits, stage payments and what happens if a payment is late. No grey areas. A deposit upfront isn’t optional either. It protects your cash flow and covers early costs so you’re not out of pocket from day one.

Breaking the job into stages matters just as much. Waiting until the end to collect everything is a rookie mistake. The final payment should be a small slice of the total, not the whole pie. That way, if something goes sideways, you’re risking profit, not survival.

Where most tradies lose control of the money

The tradies who stay afloat aren’t the ones doing favours. They’re the ones keeping payment terms tight and enforcing them. Long payment windows on residential work don’t make sense. Stage payments should land as the job progresses, not weeks later.

If a client misses a payment, work stops. It’s uncomfortable, but it’s necessary. Late payment is a warning sign. Pushing on and hoping it sorts itself out usually ends with you deeper in the hole. If the terms were agreed upfront, pausing work isn’t being difficult. It’s protecting your business.

“Good work doesn’t mean much if the money never lands.”

 When you’re subbing to bigger builders

Subbies working for large builders don’t always get the luxury of short payment terms. That’s part of the commercial game. But even then, you’re not powerless.

Protect yourself by locking in progress claims, keeping documentation tight and registering on the PPSR where it applies. That step alone can make the difference between getting paid something or getting nothing if a company collapses.

When the money starts dragging

Late payers exist. The difference is how fast you act. Your contract should allow for interest or late fees, even if you never plan to use them. Once a payment is overdue, follow up early. Friendly reminder first. Formal notice if it keeps slipping.

The longer a debt sits, the harder it is to recover. Legal options exist, but they cost time, money and energy. The real win is not letting overdue payments snowball in the first place.

The bottom line

If you keep finishing jobs with most of the money still outstanding, it’s rarely bad luck. It’s weak terms and weak follow-through. Running a trade business isn’t just about doing good work. It’s about making sure you actually get paid for it. Good work doesn’t pay the bills if the money never lands. Strong structure does.