Free Template
Free Statement of Account Template UK
A statement of account template for UK trade businesses. Every invoice, payment and credit on one page, with an ageing summary that turns please pay into this has been outstanding since May.
- Account
- Harrow Lettings Ltd
- Statement date
- 31 July 2026
- Balance due
- £4,234.00
| Date | Ref | Description | Charge | Paid | Balance |
|---|---|---|---|---|---|
| 02 May 2026 | INV-1187 | Bathroom first fix | 2,450.00 | 2,450.00 | |
| 18 May 2026 | PAY-0442 | Payment received, thank you | 2,450.00 | 0.00 | |
| 09 Jun 2026 | INV-1213 | Boiler replacement | 3,180.00 | 3,180.00 | |
| 27 Jun 2026 | INV-1229 | Radiator upgrade, 4 rooms | 1,140.00 | 4,320.00 | |
| 11 Jul 2026 | CRN-0031 | Credit, valve returned | 86.00 | 4,234.00 |
What a Statement of Account Does That an Invoice Cannot
An invoice asks for one payment. A statement shows the whole relationship: every invoice raised, every payment received, every credit note, and what is left owing today.
The reason it works as a collection tool is psychological rather than legal. A single overdue invoice is easy to file under things to deal with later. A statement showing four unpaid invoices, the oldest ninety days old, reads as a problem that has been building, and it goes to the top of the pile.
It is also the fastest way to find out that an invoice never arrived. A surprising share of late payment turns out to be an invoice sent to the wrong address, sat in a spam folder, or approved by somebody who then left.
What to Include on a Statement
- Statement date and period. A statement is a snapshot, so it must say when it was taken.
- Customer name and account reference. Especially where you deal with several sites under one head office.
- Opening balance. What was owed at the start of the period.
- Every transaction in date order. Invoices, payments received and credit notes, each with its own reference.
- Running balance. So the reader can follow how the figure got where it is.
- Ageing summary. Current, 30, 60 and 90 days plus. The column that does the actual work.
- Total outstanding. The number, large and unambiguous.
- Payment details and terms. Bank details and a reminder of the agreed terms, so paying is easier than replying.
The Ageing Summary Is the Point
Splitting the balance into current, 30, 60 and 90 days plus changes the conversation from please pay to this has been outstanding for three months.
It also tells you something you need internally. Money in the 90 day column is not late, it is at risk. Industry collection data is consistent on this: the probability of recovering a debt falls sharply the longer it sits, and once it passes six months a meaningful share is never collected at all.
If your 90 day column has anything in it, that is not a statement problem. That is a sign the chasing started too late.
How Often to Send One
- Monthly to every account customer, on the same date each month, whether they owe anything or not. Predictability is what makes it routine rather than confrontational.
- Immediately when an invoice passes its due date, alongside the reminder rather than instead of it.
- Before any formal escalation. A statement is the document you attach when you write the letter before action, because it evidences the whole balance.
- At the end of your financial year, as a reconciliation. Customers find their own errors when they see the full picture.
Statement, Reminder or Letter Before Action?
- Statement. Routine and unemotional. Here is where the account stands. Send monthly.
- Payment reminder. Specific to an overdue invoice. Polite, dated, and references the agreed terms.
- Letter before action. The formal step before a claim, setting a deadline and stating what happens next. Only after the first two have failed.
Working through them in order matters. Going straight to a threatening letter over one late invoice damages a relationship you may want next year, and skipping the paper trail entirely weakens your position if you ever do need to escalate.
Frequently Asked Questions
What is a statement of account?
A statement of account summarises all transactions between you and a customer over a period: invoices raised, payments received, credit notes applied and the balance now outstanding. Unlike an invoice it is not a demand for a specific sum, it is a summary of the whole account.
What is the difference between an invoice and a statement?
An invoice requests payment for one job and creates the debt. A statement lists every invoice and payment on the account and shows the total outstanding. You cannot replace an invoice with a statement, because the invoice is the document that establishes what is owed and why.
How often should I send customer statements?
Monthly to every account customer, on the same date each month. Sending them on a fixed cycle regardless of whether anything is overdue keeps it routine, which makes the ones that do carry an overdue balance far less awkward to send.
What is an ageing summary?
It splits the outstanding balance by how long each amount has been owed, usually current, 30 days, 60 days and 90 days plus. It shows the customer how long the debt has been building and shows you which accounts are moving from late to genuinely at risk.
Does a statement of account have any legal weight?
It is evidence of the account position rather than a demand in itself, and it is not a substitute for the underlying invoices. It is commonly attached to a letter before action to evidence the full balance claimed, so it is worth keeping accurate and keeping copies of the ones you send.
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