Retainers

[Tom Milo]

Just curious, how many of you ask for a retainer or deposit for the work up front?

[RAM]

we collected one every time unless we knew the client and had a good prior payment history.

[bruce hall]

topographic mapping I normally get 50% prior to starting any work with the remainder due when the pipes are in the ground and the map is delivered.

This is for the mom and pop surveys or a remodel/addition.

[btaylor]

Same as RAM. We collect them unless we have a good relationship with a repeat client.

[hellsangle]

As our old friend Walt Robillard once said at a seminar . . . there is no "commitment" from the client if you don't obtain a retainer.

My experiences since 1971 are if you don't get a retainer - that will be the client that doesn't pay promptly (or at all!).

(The only exception is government work and we all know they don't give retainers, nor do they pay in a timely manner.)

50% has been my practice since day one. ('Course I'm a small shop.)

My two cents . . . Stay kewl and hydrated next week!

Phil - Sonoma

[Jim Frame]

I've only rarely required a retainer. I'm not suggesting that it's not a good practice to require one, just that it's never been my habit. I've only been burned once in 20+ years, and a retainer probably would have prevented that by driving that client somewhere else. Wish I had.

[land butcher]

I agree with RAM and Bruce.
Especially important if your client leaves you stuck filing a RS.
A new client that doesn't want to pay a retainer doesn't plan on paying later.

[MikeTurnrose]

Almost on every job 50%, unless it's a larger job, I may request 33%. Exceptions would be for timely paying previous clients and the scope of work isn't large. The way I look at it, in addition to the reasons stated by others above, is on most jobs you have to incur time and expenses before even going out to the job (i.e. research, contracts, correspondence, calculations, not to mention gas and supplies) so you need to cover those costs without waiting for 2-3 weeks or a month to get compensated.

[E_Page]

I made the mistake of not collecting a retainer from one client. He was a local contractor who had been around for several years, had a job that needed doing right away, and didn't argue about my fee. I figured that since it was a small community, it would be unlikely that he would be one to skip out on paying the fee of another local small business person.

Long story short, I collected a retainer or deposit on every project after that.

Collecting a retainer or deposit also tends to weed out those who aren't really serious as well. I would collect 30% or 50%, depending upon the type of project, or sometimes depending upon the client.

[Frank Romano PLS]

I have required a 66% retainer since starting my business in 1993, except when I was doing some construction staking back in the beginning(30% -50% with progress payments.) Only one client has skipped out on final payment. That was 20 years ago and he was out of state. The majority of my work has been mom & pop PLSS boundary surveys with a few topos and ALTAs.

[mpallamary]

Every time, standard contract requirement just like a written agreement. You should always test your potential client's mettle and commitment.

[PLS7393]

I too have been collecting retainers for all projects as others have said above, 50% with the signed contract. Standard practice for me, cause if they don't want to pay a retainer, how much time will I spend chasing after them to collect. Final payment is stated in contract as due prior to delivery of map, just to be safe too.