As a trades business, you know: issuing invoices is one thing—getting them paid is another. This guide explains your rights regarding payment deadlines, limitation periods, and special provisions. Plus: how tools like KLEVERBILL can help you get paid faster.

1. Why this topic is important for trades businesses

Payment delays cost real money

• According to a 2023 Chamber of Industry and Commerce (IHK) study, 42% of craft businesses wait longer than 30 days for payment

• One in five clients pays only after a reminder

Legal special provisions

• Trade invoices are subject to specific rules

• Deadlines and limitation periods are critical for enforcing your claims

  
  

2. Payment deadlines for trade invoices

Statutory provisions

• Section 286 BGB: 30 days after receipt of the invoice (unless otherwise agreed)

• Contractual deadlines: Can be defined individually (e.g., "14 days net")

Practical tips

✅ Issue the invoice immediately (ideally when the work is completed)
✅ Communicate the payment deadline clearly (in bold in the contract and on the invoice)
✅ Send reminders early (not only after 60+ days)

3. Limitation periods for trade invoices

Key deadlines

• Standard limitation period: 3 years (§ 195 BGB)

• Start: From the end of the year in which the invoice was issued

Avoiding limitation

• Obtain written acknowledgment of the debt

• Accept a partial payment (interrupts the limitation period)

• Document reminders

Example:An invoice dated 15/03/2024 becomes time-barred on 31/12/2027 (not on 15/03/2027!)

4. Special features of trade invoices

Mandatory information

• Name/address of both parties

• Tax number/VAT ID

• Special note: For construction services, also observe Section 14a UStG

Typical mistakes

❌ No service date stated
❌ Generic description ("repair work")
❌ Forgotten small-amount invoice rule

5. How to enforce claims (with KLEVERBILL)

Step 1: Issue a professional invoice

• Clear payment deadline information

• Digital invoice by email (faster delivery)

Step 2: Automate reminders

• KLEVERBILL tip: Set up staged reminders

• Reminder (5 days after due date)

• Reminder notice (14 days later)

• Reminder + fees (after a further 14 days)

Step 3: Act if payment is not made

• Engage a collections agency

• Initiate court dunning proceedings

  
  

6. Frequently asked questions (FAQ)

Question 1: May I charge reminder fees?➡ It depends on the customer segment:

For private customers (B2C):

• No statutory percentage cap

• Only actual costs are recoverable (postage, printing, paper)

• Judicially recognized: €2-5 per reminder

• Flat fees above €5 are usually invalid (including under terms and conditions clauses)

For business customers (B2B):

• Statutory flat fee of €40 pursuant to Section 288(5) BGB

• Due in addition to default interest

• No contractual clause required (automatic entitlement)

  
  

Question 2: What should I do if payment is refused?➡ Written demand with a deadline, then legal action.

Question 3: How does KLEVERBILL help?➡ Automates the dunning process, calculates the correct fees, and documents everything in a legally compliant manner.

7. Conclusion: Security in invoice management

• Communicate payment deadlines clearly

• Keep limitation periods in view

• Automate dunning (e.g., with KLEVERBILL)