Research

Unpaid invoices: why they are common and how to change the structure

Most freelancers, studios and agencies have at some point delivered real work and never been paid, or waited months for money that should already be in their account. This guide sums up what independent data says about unpaid and late invoices, and how funded steps through Stripe can change the pattern.

Unpaid invoices are normal. Flikker is built so they become rare.

Most freelancers, consultants, studios and agencies have at some point delivered real work and never been paid. Even more are paid 30, 60 or 90 days after sending an invoice, sometimes longer than the terms they agreed. This guide summarises what independent data says about unpaid and late invoices, and how a funded step structure with Stripe based delayed payouts can change that pattern.

Who this problem hits hardest

Unpaid and very late invoices are not limited to one niche. They show up anywhere people do project based work for clients:

  • Freelancers: designers, developers, copywriters, marketers, photographers, videographers and more.
  • Consultants and coaches: strategy, product, business, management, change and innovation.
  • Studios and agencies: branding, creative, performance marketing, product and web shops.
  • Professional services: lawyers, accountants, architects, engineers and similar roles.
  • Any team doing fixed fee, step based or retainer work where delivery happens before full payment.

What independent data says about unpaid and late invoices

Surveys from accounting tools, payment providers and small business groups paint a similar picture, even if the exact numbers differ:

  • A meaningful share of invoices are paid weeks or months after the due date, especially in business to business work.
  • A small but painful slice are never paid at all, even after repeated reminders.
  • The smaller the provider, the bigger the hit. Solo workers and small teams have less buffer and less leverage when a client delays.
  • Late payment is often concentrated in a few large invoices, not in many tiny ones.

The pattern is not that people send one bad email. The pattern is that the structure lets clients benefit from delays while providers carry most of the risk.

Why unpaid invoices happen even when you have a contract

A signed contract is important, but it does not make money move on its own. Common reasons unpaid invoices pile up:

  • Big final invoices feel expensive, so they are the easiest thing for a client to delay when cash is tight.
  • Your main contact may depend on an internal finance or procurement team that moves slowly or has other priorities.
  • The project ends, people change jobs, inboxes fill up and nobody feels direct ownership of your invoice.
  • Scope creep or vague milestones make it easy to argue that the work is not really finished, even if the client is already using the result.
  • There is little internal consequence for a client that uses suppliers as a free buffer for their own cashflow.

In other words, the usual pattern puts all the risk at the end of the project. By the time you send the final invoice, the client already has the work and you are left chasing.

What traditional fixes usually miss

When people are burned by unpaid invoices, the classic advice is familiar:

  • Write stronger contracts and add firmer payment terms.
  • Send better reminder emails and follow up more often.
  • Charge late fees and interest where the law allows it.
  • Threaten legal action or hand the invoice to a collection agency.

These tools have their place. They can help in the short term and in some countries you have strong legal rights. The problem is that they still assume the same basic pattern: you deliver first, then hope to be paid. That structure is the real issue.

What Flikker is designed to change

Flikker does not try to magically force late clients to pay old invoices. It focuses on changing the pattern for the next project so you do not end up in the same place again.

  • You stop thinking in one big project and one big final invoice, and start thinking in small funded steps.
  • Each step has one amount and clear criteria for what done means in plain language.
  • Upcoming steps are funded through Stripe before you start that piece of work, so you are always working against money that is already reserved.
  • Stripe holds each funded step as a delayed payout on your connected account. Flikker never holds client money on its own balance sheet.
  • When your client approves a step in Flikker, Stripe releases a separate payout for that step only. Other funded steps stay in delayed payout until they are delivered and approved.

The goal is simple. You still do the work, but you no longer carry months of risk in one unpaid invoice at the end.

How Flikker changes the money loop in five steps

The core structure you can reuse on almost any client project looks like this:

  • Create project with steps. Break the work into small steps. Each step has one amount and clear done criteria.
  • Send contract for signature. Every step is written into the contract so both sides share the same checklist.
  • Client funds the steps via Stripe. Stripe charges their card and holds each funded step as a delayed payout until it is approved inside Flikker.
  • Deliver work and attach proof. Documents and links sit next to each funded step, so approval is about evidence and not memory.
  • Approve and get paid. The client approves funded steps with one click. Flikker tells Stripe to release a separate payout for that step only to your connected account.

To receive payouts you connect your own Stripe account once. Stripe runs standard onboarding and risk checks before enabling payouts. Flikker stays as the project layer on top, not as a bank.

How to start on a real project

You do not need to rebuild your whole business at once. Start with one real client project:

  • Pick a project you are about to propose or have just agreed in principle.
  • Write down three to seven clear steps with one amount and done criteria.
  • Use Flikker to turn that into a contract and list of funded steps.
  • Ask your client to fund the first steps through Stripe before you start, not after you finish everything.
  • Deliver, attach proof and approve each funded step as you go instead of one big invoice at the end.

The first time you do this, it can feel different from the old pattern. After a few projects, it starts to feel like the normal and safer way to run client work.

When you are ready, you can use the button below to start your first funded project in Flikker and apply this structure on a live client instead of another unpaid invoice story.

Start your first funded project

Pick one real client project, apply the structure from this guide and then move that project into funded steps inside Flikker. Your client sees a clear explanation, you see which steps are funded and Stripe keeps the money on hold until each step is approved.

The Flikker resources section is for anyone who runs client projects and worries about getting paid on time or paying safely. That includes freelancers, studios, agencies, consultants, professional services firms and also the clients on the other side. Many people who land here have searched for things like unpaid invoices, late client payments, how to structure projects so I actually get paid, how to pay freelancers safely, or how to move trusted clients off marketplaces into my own pipeline.

Some readers are just starting out and are scared of getting burned on their first freelance clients. Others are experienced but exhausted from chasing overdue invoices, underpriced retainers and scope creep. Some are desperate for one large invoice to be paid, others are simply busy or a bit lazy around admin and want a simple structure that makes payment and delivery move together automatically. On the client side, people look for better ways to pay freelancers and agencies without wiring the full project amount up front or relying on vague, end of project invoices.

Flikker is software for project based work, built on top of Stripe Connect. It is not a marketplace, not a bank and not an escrow service. Instead of sending one big final invoice and hoping it gets paid, you break the project into small steps. Each step has one amount and clear "done" criteria. Upcoming steps are funded by card through Stripe; Stripe holds those funds as delayed payouts per step until approval or refund. Flikker never holds client money. It coordinates the contract, the list of steps, the attached files and links, the approval clicks and the payout timing per step.

Across the different guides in this section we answer questions like: why unpaid and late invoices are so common, what to do when a client does not pay the final invoice, how to design steps and acceptance criteria so both sides feel safe, how Stripe based funding and delayed payouts compare to classic invoice after delivery flows, and how to outgrow public marketplaces by moving trusted clients into your own funded step structure. The short version is that Flikker makes client projects safer by tying work and money to many small funded steps instead of one big all or nothing payment at the end.

Flikker is built for global use in the countries where Stripe operates. Whether you work with clients in North America, Europe, Latin America, Asia or Oceania, the pattern is the same. You set up a project as a series of named steps, your client funds those steps by card in their local currency, Stripe processes the payment and holds the funds as delayed payouts per step until approval or refund, and Flikker keeps the structure and audit trail around that flow.

It is designed for solo freelancers, small studios and larger teams in design, development, marketing, product, content, consulting, legal, accounting, architecture, creative services, coaching, training and trades. Any role where you deliver work in projects and want a predictable way for work and money to move together can use the same pattern of funded steps, attached evidence and clear approval events.

Whether you invoice in USD, EUR, GBP, NOK, SEK, DKK, CAD, AUD or other Stripe supported currencies, the principle stays the same. Instead of carrying the risk of one large unpaid invoice at the end of a project, you move to many smaller funded steps where each approval triggers a payout event that can be traced and defended. Flikker uses Stripe Connect for the money movement while it focuses on contracts, structure, evidence and timing so that projects feel safer for both sides.

This page is for people searching for help with unpaid client work and invoices that never get paid. Many freelancers, consultants, studios and small business owners search in their own words after a bad experience, for example: client did not pay my invoice after the project was finished, client ghosted me after I delivered the work, client still has not paid final invoice after three months, freelance client refusing to pay for completed work, agency client not paying second half of project, how to deal with unpaid invoices as a freelancer, how to protect myself from non paying clients, what to do when a client never pays an invoice, how to avoid getting burned by clients who delay or avoid payment.

People also search for late payment patterns in more general terms, like: why are my invoices always paid late, why small business clients pay invoices 30 60 or 90 days after due date, how to stop waiting months to get paid by clients, how to improve cashflow when clients pay late, how to structure client work so cash comes in earlier. This guide speaks to those situations by focusing on structure, not just on sending more reminders or writing stronger email templates.

Common search phrases we want this page to answer include: what to do about unpaid client work, how to chase an unpaid invoice without ruining the relationship, what rights do freelancers have when a client does not pay, how to reduce the risk of unpaid invoices, how to structure projects to get paid on time, how to avoid one big final invoice that never gets paid, software to help avoid unpaid invoices, platform where clients fund steps up front, Stripe based project payments where money is held until approval instead of hoping the client pays later.

This page also helps people who are comparing options and tools: alternatives to chasing invoices on their own, alternatives to relying only on Upwork or Fiverr for payment protection, tools that connect contracts, steps and payouts, project payment systems that sit on top of Stripe Connect, and structure for funded steps that protects both client and provider. Flikker is software around contracts, steps, evidence and payout timing on top of Stripe. Funds are held by Stripe as delayed payouts per step until approval, so the default outcome is much safer than a single big invoice at the end of a project.