Payment Terms for Freelancers: What Applies in Switzerland

Many Swiss freelancers write "Payable within 30 days" on their invoices — without ever checking whether that deadline is too long, too short, or simply misaligned with their cash flow needs. The Swiss Code of Obligations (CO) does set a basic framework, but leaves considerable room for negotiation. Those who don't use that flexibility consciously often wait longer for their money than necessary.

What the Swiss Code of Obligations says about payment terms

The Swiss Code of Obligations does not impose a rigid standard payment deadline for invoices. According to Art. 75 CO, a debt falls due immediately if no other maturity date is agreed. In practice, this means: without an explicit deadline on the invoice or in a contract, a debtor could theoretically be asked to pay on the spot — which of course is impractical.

What really matters: the payment term is a contract element. If it appears in a contract or terms and conditions, that agreement takes precedence over what appears on the invoice. If it only appears on the invoice, it's a unilateral proposal — the client accepts it tacitly if they don't object and proceed to pay.

Default (failure to pay on time) only occurs when:

• You have explicitly reminded the customer (CO Art. 102), or
• a specific payment date was agreed and has passed.

This means: an invoice with "Payable within 30 days" with no further agreement does not automatically put the customer in default after the 30 days expire. You must first send a reminder.

Which payment term makes sense for freelancers?

There is no one-size-fits-all answer, but the following rule of thumb helps:

Situation	Recommended Term
Existing customer, regular collaboration	20–30 days
New customer, first project	10–15 days
Small amount (under CHF 500)	10 days
Public bodies / large corporations	30 days (often stipulated)
Project with extended delivery period	upon completion, 14 days

Important: the shorter the term, the sooner you can send a reminder and initiate debt collection if payment is not received. 30-day terms are widespread, but often too generous for freelancers with tight cash flow.

State your payment deadline more concretely

Instead of "payable within 30 days," a specific date is clearer and more legally secure:

"Payable by 15 September 2026"

This way you avoid any discussion about when the clock starts (invoice date? receipt? value date?). The date is fixed — end of story.

Early payment discount: incentive or loss?

Some freelancers offer an early payment discount ("2% discount if paid within 10 days"). This can make sense if the liquidity gain outweighs the discount. But for high-value projects, do the math: on a CHF 10,000 invoice, that's CHF 200 off for faster payment. Whether that actually solves your cash-flow problem depends on your situation.

Early payment discounts on VAT-liable invoices also have accounting implications: if taken, they reduce the VAT base. The practical guide on Swiss VAT basics 2026 — rates, duties and special rules explains how to record such adjustments correctly.

What to do after the deadline passes

When a payment term expires without payment, the following sequence is recommended:

1. Friendly reminder (days 1–5 after deadline)

No reproach, no pressure — a brief email with subject line "Outstanding Invoice No. 2026-047" and a duplicate invoice attached. Many delays stem from simple forgetfulness or the customer's internal processes.

2. First formal reminder with late payment interest (from day 10)

Now you formally notify the customer of the default and state the interest rate. In Switzerland, 5% annual late payment interest applies under CO Art. 104 unless otherwise agreed. Set a new, specific deadline (e.g. 10 days).

3. Final reminder with threat of debt collection

If the reminder and first notice go unanswered, send a final reminder with an explicit warning that you will otherwise initiate debt collection proceedings under the Debt Collection and Bankruptcy Act (SchKG). This costs you as creditor nothing except the fee at the debt collection office (CHF 7–8 for a payment order up to CHF 10,000).

The Swiss dunning process — from reminder email to debt collection describes the full sequence from reminder to collection in detail.

Common mistakes on freelancer invoices regarding payment terms

• Forgotten deadline: Without a term, ambiguity arises, and you'll struggle to enforce payment later.
• Unclear date vs. term: "30 days net" — from when exactly? A concrete date is clearer.
• No mention of late payment interest: Without an explicit reference on your invoice, it's harder to enforce interest later.
• Too lenient with regulars: Long-standing clients don't exempt you from the dunning process — those who are never reminded pay late.
• Wrong IBAN or missing QR reference: Technical errors on the invoice slow down payments significantly. Check the mandatory fields for QR-bills — QR-Bill Mandatory Fields: What You Can't Leave Out provides a full checklist.

Issue the invoice correctly and send it right away

The faster an invoice reaches your client, the sooner the deadline begins to run. Those working with SnapBill create a standards-compliant QR-bill in minutes and send it directly by email or eBill — without technical errors delaying your payment deadline.

At a glance

• The Swiss Code of Obligations does not set a standard payment term; without agreement, immediate due date applies (impractical).
• A concrete payment date on the invoice is more legally secure than "within 30 days."
• Default occurs only after explicit reminder — unless a deadline was contractually agreed.
• For freelancers, 14–20 day terms often make more sense than the standard 30 days.
• Late payment interest in Switzerland is statutory at 5% per annum.
• A three-stage dunning process (reminder → formal notice → collection threat) protects your claims without unnecessarily damaging the customer relationship.
• Technical errors on the invoice (wrong IBAN, missing QR reference) delay payments — always verify mandatory fields.