Practice Management System CRM · Case study

Reducing Debtor Days from 45 to 14

How a UK accounting firm fixed its cash flow with recurring invoices, online payments, and automated overdue reminders East Midlands, ~140 clients, 5 staff.

Executive summary

Predictable cash for the first time

A 5-staff general practice firm in the East Midlands, UK serving ~140 clients across accounts, tax, and bookkeeping was consistently waiting over 45 days to collect payment after raising invoices.

Invoices were raised manually and irregularly. Overdue reminders relied on whoever noticed an unpaid invoice in the ledger. The partner had no live view of what was owed, by whom, and for how long and cash flow was a constant source of anxiety every month.

After implementing PRACTICEASY’s Revenue Clarity Dashboard with recurring invoices, integrated online payment links, and an automated three-step overdue reminder sequence, the firm reduced average debtor days from 45 to 14 within a single quarter.

Outstanding debtors dropped by over 60%, the partner stopped manually chasing late payers, and monthly cash flow became predictable for the first time.

Finance professional reviewing cash position, invoices, and collections on screen
Small accounting firm balancing client work and getting paid on time

Client profile

Firm at a glance

Firm typeGeneral practice accounts, tax, VAT, and bookkeeping
Team size5 staff (1 partner + 4 staff)
Client count~140 active clients (Ltd companies, sole traders, partnerships)
LocationEast Midlands, UK
Fee mix~60% recurring monthly/quarterly fees; ~40% ad hoc annual compliance work
Previous billingManual invoices in a standalone invoicing app; overdue chasing by email when noticed
Average debtor days (before)45 days

Challenges / problems

Cash flow was draining partner time

Five interconnected problems sat at the root of poor cash flow and chronic financial uncertainty.

  • No link between job completion and invoicing: Invoices raised manually when someone remembered. Completed work sat unbilled for days or weeks delaying collection before the clock even started.
  • No recurring automation for retainers: ~80 monthly retainer clients should have been billed on the 1st every month; in practice invoices went out on random dates or were forgotten retainer income was lumpy and unreliable.
  • Overdue reminders manual and inconsistent: No system for chasing late payers. The partner scanned aged debtors and wrote individual emails. Some clients went 60–90 days without a chase.
  • No real-time cash view: Understanding receivables meant opening the invoicing app, filtering, and calculating manually so problems were spotted late.
  • Friction for clients paying: PDF invoices and bank transfers meant even willing clients paid slowly.
Laptop with scattered dashboards and metrics before one connected invoicing and cash view
45
Avg debtor days
before PRACTICEASY
60–90d
Some clients
before a chase
Weeks
Work unbilled
while cash waited
Team working together on one connected system for jobs, billing, and collections

Why they chose PRACTICEASY

Fix the full chain not just debtor chasing

Standalone debtor tools only solved half the problem: cash collection is downstream of job management and billing.

  • Built for small UK accounting firms (1–50 staff): Billing logic matches how firms work job completion triggers invoicing, recurring retainers auto-bill, UK compliance calendar aware.
  • Compliance-to-Cash the job-to-invoice connection: When a job is marked complete, an invoice is generated automatically, pre-populated with client, service, and agreed fee.
  • Flat-rate pricing: One fee for all 5 staff below the cost of separate invoicing apps plus manual chasing time.
  • 14-day done-for-you setup + quarterly reviews: Recurring schedules, payment links, and overdue sequences configured so the system worked from day one.

Implementation

Live in 14 days

First automated recurring invoices on day 14. Zero invoices lost in migration. Overdue sequences active from go-live.

Timeline What was configured Who was involved
Days 1–3 · Billing audit Export of outstanding invoices and aged debtors from previous app. Clients classified by billing type: recurring retainer vs. ad hoc. Fee schedule mapped per client. Partner + PRACTICEASY onboarding team
Days 4–8 · Configuration Recurring invoice schedules for all ~80 retainer clients (monthly and quarterly). Job-completion invoice triggers per job type. Online payment link on all invoice templates. Three-step overdue sequence (Day 7, Day 14, Day 21 with partner escalation). Revenue Clarity Dashboard activated. Internal champion (office administrator) + PRACTICEASY configuration team
Days 9–14 · Go-live Open invoices migrated. First batch of recurring invoices sent automatically. All outstanding debtors visible on the dashboard from day one. Full team trained: complete job → auto-invoice → client pays via link. Full team (partner + 4 staff) + PRACTICEASY trainer

Solution in action

Revenue Clarity four connected mechanisms

Recurring invoices

Before Monthly retainer invoices raised manually, often late or missed. The team recreated the same invoices from scratch every month.
After PRACTICEASY generates and sends recurring invoices on the configured date 1st of the month for monthly clients, quarter start for quarterly. Set the fee once; the system bills consistently with zero manual effort.

Job-completion invoice triggers

Before Ad hoc compliance work billed manually after completion. Finished jobs sat unbilled for days or weeks.
After Marking a job complete automatically generates the invoice same day client, service type, agreed fee and sends it to the client. Delay from completion to billing dropped from ~11 days average to zero.

Automated overdue reminders

Before Ad hoc chases when someone noticed an unpaid invoice. Some clients waited 60–90 days for a first chase.
After Three-step sequence on every unpaid invoice: polite reminder at Day 7 with payment link, firmer follow-up at Day 14, final notice at Day 21 with partner escalation. Every invoice, every time without awkward manual calls.

Online payment links

Before PDF invoices clients hunted bank details and transferred manually.
After Every invoice includes a “Pay Now” flow: clients pay in under two minutes from their phone. Payment within 7 days of invoice improved from 28% to over 70% in the first 90 days.

Results / outcomes

First full quarter after go-live

Metric Before PRACTICEASY After PRACTICEASY (90 days)
Average debtor days 45 days 14 days
Paid within 7 days of invoice 28% of invoices Over 70% of invoices
Days from job done to billed Average 11 days delay Same day (auto-triggered)
Recurring invoice consistency Variable, manual, often late 100% on time, zero manual effort
Overdue reminder consistency Ad hoc, frequently missed Every invoice chased automatically
Partner time on billing/chasing 4–6 hrs/week Under 30 mins/week review
Cash flow predictability Anxious, unknown monthly position Confident live dashboard view
45→14
Debtor days
69%
Faster collection
70%+
Pay within 7 days
0d
Job-to-invoice delay
30m
Weekly billing time

Customer quotes

In their words

“Debtor days at 45 felt normal we just thought that was how it worked. Getting it down to 14 in three months felt almost too easy. The system just chases for you.”
“Before, I’d finish a Self Assessment and it might not get invoiced for two weeks because everyone was busy. Now I close the job and the client gets the invoice the same afternoon.”
“I knew we were owed money I just didn’t know how much, by who, or how old it was without spending an hour pulling it together. And the chasing? It just didn’t happen consistently.”
“The pitch that sold it was simple: when you close a job, the invoice goes out the same day. We’d never had that before.”

Partners, general practice firm, East Midlands UK

Professionals reviewing financial reports and metrics together at a desk

Still waiting 30, 45, or 60 days to get paid?

If cash flow is a source of anxiety rather than certainty, PRACTICEASY’s Revenue Clarity Dashboard brings recurring invoices, job-completion billing, automated overdue reminders, and online payment links all in the system your team already uses.