Net terms
The countdown on an invoice: net 30 means payment is due 30 days after the date the contract names, usually the invoice date, not after the work.
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What it is
Net terms set the clock on an invoice. Net 30 means payment is due 30 days after whatever event the agreement names as the start, most often the invoice date, sometimes receipt of a valid invoice. Either way it is not 30 days after you finish the work, so say which event starts the count in the contract. Net 15 and net 45 exist too, and a large client with leverage will push for net 60 or net 90. The number is negotiated in the contract, not announced on the invoice, and 'due on receipt' is a perfectly normal thing for a small studio to ask for.
Reach for net terms when the payer is a company with an accounts payable function, because they cannot pay you any other way: procurement wants a PDF with a PO number, your legal entity, itemized lines and bank details. Individuals and small businesses are better on due on receipt plus an upfront deposit. Whatever number you agree, pair it with a late fee clause and a stop-work clause, or the terms are decoration.
Gotcha: if the contract starts the clock on receipt of a valid invoice, the count does not begin when you hit send. A missing or wrong PO number gets the invoice quietly kicked back and your 30 days restarts at zero. Even when the invoice date governs, payment run cycles and approval chains add days on the back end, so plan cash flow around net 45 and be pleasantly surprised.
Ask AI for it
Draft the payment terms section of my freelance contract. Set invoices at net 15 from the invoice date, with a 50 percent deposit due before kickoff and the balance invoiced on delivery. Spell out: what counts as the invoice date, accepted payment methods (bank transfer and ACH, no cheques), a 1.5 percent per month late fee on overdue balances, my right to pause all work if any invoice goes 14 days past due, and the client's obligation to supply a PO number before I issue the invoice. Plain English, one short numbered clause per point, no Latin.