50% Upfront
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- jobhall
I've always had a problem with charging 50% upfront for some reason. It's like going to a restaurant, ordering a meal, and having to pay half before you eat. I'm a full-time freelancer though so it might be helpful.
What do you think?
- JSK0
is a good idea.
- bjladams0
helps both designer and client take the work more seriously.
- I don't know if that's necessarily true.dMullins
- If you mean because there's money invested, then that sounds like a bad relationship to begin with...dMullins
- i agree with bj... its a commitment on both endsinkpink
- any business relationship that i've ever been in that was not about money usually cost me.bjladams
- Knuckleberry0
always... always.... and sometimes 100%
- iCanHasQBN0
yeah, but if a restaurant loses, they're out a 100 bucks. no big deal.
if you lose, you're out thousands of dollars. better to protect yourself.
- plus usually your clients don't sit there while you work. If they do, I'd let them pay after.spot13
- fyoucher10
If you can, why not.
If you're working on large projects (i.e. projects $25k+), you should definitely get something up front.
Good luck with that if you work with ad agencies though. In advertising, stuff is typically needed yesterday. Waiting for the 50% before you start usually means they'll be contacting the next person.
- dopepope0
Well, comparing it to a restaurant transaction is a mistake. When you eat at a restaurant there's no chance of you leaving and paying them 30 -120 days later, and those 30 - 120 days don't even start until the changes are made, but restaurant meals get no changes after the meal is eaten.
- jobhall0
true. 50% upfront it shall be.
- OSFA0
I have this wonderful little disclaimer right under the estimate figures...
'50% non-refundable deposit required in order to begin project...' or something like that.Only once has a client asked me to lower it to 30%... the rest of times.. I guess they see it as an official doc and they move forward...
- NONEIS0
As a designer, 1/3 tends to be a better rule, since you are usually undertaking about a third of the work upfront (design exploration), 3 bills at the three major intervals (design, development, delivery) works out nicely.
Developers should ask for 50% upfront, since you have 2 major elements to your responsibilities (development, delivery).
I'd ask for at least 50% though if you are doing anything under $3,000.
- Miguex0
Not trying to ruin your expectations but In my experience 50% upfront is a bit hard to accomplish, unless you are working on small projects for mom & pop shops.
Big agencies and large corp will most likely never consider such a thing, in fact I once got payed like 8 months late from a big client, and I had to suck it up, cause I wanted the gig and they could have hired anyone they wanted instead.
For small projects get something upfront I would say 25% before start, and divide the rest during the project.
I usually (for small clients) don't deliver high res files until project is fully paid, and I mention this upfront on an email and make sure they understand it before we start, this way when they go like, excellent we need to send this to print today please send it over, I will reference the email and remind them, I can't send the files till balance is completed, this will motivate them to pay faster too.
But then again, that's my experience and I'm fully aware I'm not the best at business. Would love to hear what other people do.
- i've always gotten 50% up front and the rest upon delivery. never had a problem and it's always nice to get paid.bjladams
- formed0
I've used 50% as a rule for many, many years. Only once did I have someone give me a headache about it and he ended up screwing me (paid, paid, paid, went bankrupt).
For projects larger than 10-20k I'll do a 30/30/30/10 (so you should have only a little work out there without payment).
Nowadays, though, I am requiring more upfront given the unusual conditions out there.
- noneck0
I don't even call it a deposit. I call it an up-front payment. A deposit makes it sound like they could get it back if they wanted to cancel.
- noneck0
Also, I really dig on the practice of not sending files to print/launching the website/etc, until the final payment is made. I've never done it myself though...
- whatsup0
Just remember to tell them that this is what will happen to them if they don't pay up
- nb0
I charge 50% up-front to new clients. You shouldn't be asking for the 50% up-front, you should be informing them that is the standard procedure in the industry. I always pay close attention to how they react when I first tell them it will be "50% up-front." Their reaction helps me decide if a contract with specific terms is going to be necessary.
If a client suggests that they won't pay until the work is completed, you probably don't want their business.
- Continuity0
Usually, if a client raises a stink about it (few do now, but when I was freelancing regularly, it was a real struggle), I tell them it's to get the work started, particularly if I need to turn around and hire a photographer, or copywriter, or programmer or whatever.
And if they still don't want to pay 50% up front, I walk, plain and simple.
For larger jobs that take a long time, though, I usually go for a 33/33/33 split.
- ali0
All good advice here. 1/3 to 1/2 upfront payment is a good idea, I've learnt the hard way.
- AD130
that should be your - first rule!!
- Rand0
mutual commitment
- Miguex0
I have a hard time believing anyone here gets paid upfront when working for an agency. Either that or I'm doing something wrong.
- Agency, no. And they're far more likely to pay religiously, in my experience.Continuity