What Is a Business Claim? A Simple Guide

A claim is a receivable
Claim or debt: it depends whose books you're looking at

A business claim is money a customer owes your business for goods or services you've already delivered. In US accounting it's called a receivable: the business that's owed the money holds the claim, and the customer who owes it has a debt. The claim lasts until the customer pays; if they don't, you follow up and, if needed, take further steps to collect.

A claim is a receivable

Business claim isn't the usual US accounting term, so this page uses the textbook one. The open textbook Principles of Accounting, Volume 1 from OpenStax says: "A receivable is an outstanding amount owed from a customer." (OpenStax, section 9.1, opened October 30, 2026.)

For what accounts receivable is and how it's recorded, see what is accounts receivable.

Claim or debt: it depends whose books you're looking at

The same unpaid invoice is a claim for one business and a debt for the other:

For the business that's owed the money, it's a receivable, the claim.
For the customer that owes it, it's a payable. OpenStax (section 12.1) says: "Accounts payable accounts for financial obligations owed to suppliers after purchasing products or services on credit."

See what is accounts payable for the other side.

What makes a claim clear

A claim is clearer to prove when there's a written record of what was agreed on:

A quote, contract or purchase order that sets out the work and the price.
An invoice with the amount, the date and a due date. See what is Net 30.
Proof of delivery, such as the client's sign-off or a delivery note.

When a claim goes unpaid

Once the due date passes, the invoice is overdue:

Follow up with reminders and a phone call. See how to follow up on unpaid invoices.
Keep tracking it, so you know how long it's been outstanding. See how to track invoices effectively.
Consider formal steps, such as a demand letter, a collection agency or a court claim. The rules depend on where you and the customer are, so ask a lawyer where needed.
If it can't be collected, it may become a bad debt. See bad debt in business.

Sample: one invoice from both sides

This is a sample with invented figures. A designer invoices a client $3,000.00 for a website. In the same month, the designer buys $1,500.00 of software on credit from a supplier.

On the designer's books: a claim (receivable) of $3,000.00 from the client, and a debt (payable) of $1,500.00 to the supplier.
On the client's books: a debt (payable) of $3,000.00 to the designer.
The designer's net position: $3,000.00 owed to them − $1,500.00 they owe = $1,500.00.

When the client pays the $3,000.00, the designer's claim falls to $0.00 and their cash rises by $3,000.00. The client's debt to the designer is also $0.00.

Where Billed fits

Billed's invoice software page says: "Invoice reports show which invoices are paid, partially paid or past due, and you can see who owes you money and send them a payment reminder." Its features page lists "Defaulter Customers": "See who owes you money and send them payment reminders to get paid."

Frequently Asked Questions

What is a business claim?

Money a customer owes your business for goods or services already delivered. In US accounting it's called a receivable; OpenStax says: "A receivable is an outstanding amount owed from a customer."

What is the difference between a claim and a debt?

The same unpaid invoice is a claim (a receivable) for the business that's owed the money and a debt (a payable) for the customer that owes it. In the sample on this page, the designer's $3,000.00 claim is the client's $3,000.00 debt.

What happens if a business claim isn't paid?

Follow up with reminders, keep tracking how long it's overdue, and consider formal steps such as a demand letter or a collection agency. The rules depend on where you and the customer are, so ask a lawyer where needed.

How do I document a business claim?

Keep a written record: a quote or contract, an invoice with a due date, and proof that the work or goods were delivered.

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