Settle the rules before a fee is overdue: who chases each client, how quickly the tone firms up, and whether business clients will pay statutory interest. Written into your engagement letter, those rules turn each reminder into part of terms the client has already accepted. Collecting monthly fees by SEPA direct debit also leaves fewer fees to chase.
In this article
The short version
- Name one owner for every client so overdue fees don't drift.
- Agree the chasing rules in your engagement letter before fees are late.
- Business clients owe statutory interest at 10.4% a year from 1 July 2026.
- Fees owed by individuals acting outside their business are outside the rules.
- Unpaid fees can't go through Small Claims, since debts are excluded.
Who should chase the fee
In your practice the client relationship probably belongs to a partner or a client manager, and whoever you ask to chase decides how a reminder feels to the client. Each option has a cost.
| Who chases | In its favour | What it costs you |
|---|---|---|
| The partner | Clients tend to take it seriously, and it fits the relationship | Partner time, and it's easy to put off |
| The client manager | Knows the client and the work in progress | Time away from client work in busy periods |
| An administrator or credit controller | Consistent, and keeps money talk apart from the advice | Clients may ignore a name they don't know |
| Automated reminders with a named owner | Runs on time in every season | Needs rules set in advance and someone to pick up replies |
You can mix these, letting automated reminders handle the routine and having the client manager step in once a fee passes a point you've agreed, such as 30 days overdue or a second reminder with no reply. The client then hears about money from a process first and from a person they know second.
Whichever you choose, name an owner for every client. When two people each assume someone else is following up, the fee drifts. Adfin's Essential credit control is free under fair use and gives you an aged debtors view where every client has an owner and next steps, alongside unlimited reminders by email, SMS and WhatsApp and client statements.
Pace and tone through the practice year
The weeks around tax deadlines are often when you have least time to chase and when many of your one-off fees are invoiced, so overdue fees can build up just as everyone is busiest. Rules you set in advance keep chasing going when nobody in your practice has time to think about it.
Your sequence might start with a friendly reminder a few days before the due date, then a reminder on the day with a link to pay, then a firmer note a week or two later that names the amount and how many days it's overdue. A message that sets out the facts, meaning the fee, the invoice date, the due date and how to pay, reads as administration and is easier to send than a personal email.
If you have clients on monthly fees, sending them a statement each month helps too, because a client who has missed one payment sees it next to the ones they've made.
With Enhanced credit control, at 0.3% per paid invoice and only when it's used, Adfin's collection agents decide when a client hears from the practice and how firmly, within rules the practice approves, and emails go from your own address.
Direct debit can remove much of this work for monthly fees. Once a client has signed a SEPA mandate, each fee is collected on its due date, after a pre-notification that can go on the invoice at least 14 calendar days ahead unless you've agreed a shorter period. If your clients already pay by SEPA direct debit through another provider, moving them to Adfin doesn't mean new mandates, because they keep their existing ones and are told before the next collection.
Interest, compensation and when to waive them
Under S.I. 580 of 2012, a business client that pays late owes interest from the day after the payment date, at 10.4% a year from 1 July 2026, a rate reset every 1 January and 1 July. On top of that comes fixed compensation of €40, €70 or €100 depending on the size of the fee. A client you act for in a personal capacity is a consumer, and neither applies to their fees.
Take a €1,200 fee from a company client, paid 45 days late. Interest comes to €15.39 (€1,200 × 10.4% × 45 ÷ 365), and the fixed compensation on a fee over €1,000 is €70, so the client owes €85.39 on top of the fee.
You wouldn't be unusual in holding back from charging it. In ISME's Q1 2026 survey of SME owners, 82% said they don't charge interest on late payments, and 13% said they're afraid to in case they lose the customer.
A middle path is to state the right in your engagement letter and apply it only after a grace period, waiving it for the clients you choose. Enhanced credit control can add statutory interest to overdue business invoices automatically, with grace periods and waivers set client by client, so the decision stays yours.
When a fee still isn't paid
Some fees stay unpaid however well you chase, and the decision then is about the client as much as the money. Before anything formal, have the partner call. A conversation often shows whether the problem is cash, a complaint about the work or a client who's planning to leave, and each needs a different response.
If you decide to recover the fee, a 7-day demand letter before legal proceedings is usual practice, though not always a legal requirement. Small Claims isn't an option, because debts are excluded from it. A claim up to €15,000 goes to the District Court, up to €75,000 to the Circuit Court, and above that to the High Court. On a business client's debt you can also claim reasonable recovery costs beyond the fixed compensation, such as a solicitor's or a debt collection agency's fees.
Before you start, weigh the amount against the time involved and against whether you'd want to act for that client again.
Common questions
Should my practice charge interest on late fees? You're entitled to statutory interest on fees owed by business clients, at 10.4% a year from 1 July 2026, but whether you charge it is up to you. One approach is to state the right in the engagement letter and waive it case by case.
Should a partner chase overdue fees personally? A partner's call carries weight, but partner time is expensive and chasing tends to slip. You could use automated reminders first, with the partner or client manager stepping in after a set point.
How soon should a practice chase an overdue fee? Starting with a reminder just before the due date and another on the day keeps chasing routine. A firmer message a week or two after the due date then reads as part of the process.
What should I do if a client disputes a fee? Pause chasing on that invoice and have whoever owns the client talk it through. More reminders are unlikely to settle a disagreement about the work.
Can I use Small Claims to recover unpaid accountancy fees? Debt claims, including unpaid fees, are excluded from Small Claims. Claims up to €15,000 go to the District Court and claims up to €75,000 to the Circuit Court.
Do clients on direct debit still need chasing? Fewer of them, since each fee is collected on its due date. A collection can still come back, for example for insufficient funds or a closed account, and a client can ask their bank for a refund within eight weeks, so those fees need following up like any other.
Sources
- Irish Statute Book - S.I. No. 580 of 2012, European Communities (Late Payment in Commercial Transactions) Regulations 2012 (accurate as of November 2026) https://www.irishstatutebook.ie/eli/2012/si/580/made/en/print
- Department of Enterprise, Tourism and Employment - Late payment interest rate (accurate as of November 2026) https://enterprise.gov.ie/en/what-we-do/supports-for-smes/late-payments/late-payment-interest-rate-
- ISME - Prompt Payments Report Q1 2026 (accurate as of November 2026) https://isme.ie/wp-content/uploads/2026/08/Q1-2026-Prompt-Payments.pdf
- Citizens Information - Court proceedings for recovering debts (accurate as of November 2026) https://www.citizensinformation.ie/en/money-and-tax/personal-finance/debt/court-procedures/
- Courts Service - About small claims (accurate as of November 2026) https://courts.ie/guides/about-small-claim
- European Payments Council - 2025 SEPA Direct Debit Core Rulebook (accurate as of November 2026) https://www.europeanpaymentscouncil.eu/node/26581
