Benjamin Dyer, CEO and co-founder of Powered Now, on why so many independents end up working for free, and the simple habits that get the money in.
The Cost Of Unpaid Invoices
It happens in garages up and down the country every week. The car’s fixed, the customer’s happy and the keys are handed over. The invoice goes on the pile marked “later”. Later becomes next week, and next week becomes “I’ll chase it when I’ve got a minute”. You never have a minute.
This summer we put numbers on it. The NOW Report 2026, which we ran with Installer magazine, found that the business owners we spoke to are owed £5,901 on average in unpaid invoices. Two in three (67%) have had a customer deliberately delay payment, dispute an invoice unfairly or try to avoid paying. And 60% have written money off because chasing it felt like too much hassle.
That last one stings. The customer didn’t win. The business just gave up.
Some of the excuses are brilliant. My favourite has a motoring twist: the customer whose money was in an envelope in the glove compartment of their car when it was stolen. You couldn’t make it up. Although I suspect they did.
The good news is that most of this can be fixed with a few habits, and garages have an advantage most trades don’t.
Get Paid Before The Keys Go Back
Payment on collection is normal in your world, so make it the rule for everyone, regulars included. Once the car’s gone, so is most of your leverage.
Agree Extras In Writing
41% of small businesses don’t invoice for extras because they forgot or couldn’t face it. Text a photo of the worn part and a price, and get a yes back before you fit it.
Make Paying Easy
“I couldn’t do a bank transfer at the weekend!” is a real excuse from our survey. Take cards and send payment links, and that one disappears.
Set A Routine For Chasing
A friendly reminder at seven days, a firmer one at 14, a phone call at 21. Decide it once and stop agonising over every chase.
None of this is complicated. It’s just the stuff that slides when you’ve got three cars waiting and the phone ringing. And if you’re under a car when it rings, you can’t pick up, which is often the next job going to someone else. But £5,901 isn’t a rounding error. For a small independent, that’s new kit, a month’s rent or a proper week off.
You did the work. Get paid for it.
About The Author
Benjamin Dyer is CEO and co-founder of Powered Now. Powered Now’s mobile app aims to make it easier for independent garages, mobile mechanics and other trades to run their businesses, from quotes and invoices to getting paid. Powered Now Receptionist answers customer calls when they’re under a car and can’t pick up.