Contract questions

I’m starting out with a new client. I’m going to write up a simple contract. I suppose I will get a 10% down payment to start. I’m doing this work for a VERY GOOD PRICE hoping this client uses me in the future. They said they want to use me for their other websites and projects. Should I include that in a contract?
Should I retain the copywrite of the website and only license it out to them? That sounds kind of harsh. I really don’t know how I would go about doing that. If I retain the rights that means my name would go on the copywrite notice and not theirs. Or should I just release it. I don’t want any hassle and want to move forward.

10%…? thats nothing pays the taxes thats about it. I do 50% or at least $500.

If they are paying you to make the website seems like they will own it copyrights and all.

I’ve only ever worked with 50% upfront and 50% on completion, and until that final payment was made the site was on my server (always easy when you can offer someone free hosting for the first year and host them on your reseller account)

Be careful with clients that promise “if you’ll give me a break now, I’ll give you all kinds of additional work in the future.” Those types of deals rarely ever work out as the designer hopes and you should be sure you’re paid well enough for this project to you can deal with it if no future work materializes.

Firstly, I wouldn’t go with 10%, especially if it’s a small contract… you want to scale your deposit based on the value of the project, small ones I would go for 100% up-front (we’re talking like under $500 value) - with a money back guarantee if the work is substandard, medium ones I would go for 50% up front (most general work) and large projects (those huge ones which’ll keep you busy for months) I would go for 25% (these are averages to work from as a base amount). Small projects it pays to just pay it all up-front as you start receiving the service as breaking payments down is redundant, and large projects you don’t want to scare off the client by taking a huge chunk of their budget in a single swipe (risk wise). It’s just about what makes sense for the project’s scope.

For the other stuff… if you retain the copyright, ensure you state that in your contract (who owns the finished work), licensed stuff is usually done at a cheaper rate than when you hand over all the work (with no restrictions) - as licensing allows you to resell on the work (remixed of course as a unique entity). If it’s a basic project, you don’t want anything to-do with it post completion and you have no components worthy of restricting ownership of, just give them the copyright. :slight_smile:

I more or less agree with Alex except that for large projects get 25% up front with a monthly billing for work completed (so that you always have the deposit until the final delivery is made).

By the way… it’s copyRIGHT not copyWRITE.

That doesn’t really make sense. The taxes are a percentage of what you take in revenue less expenses. So, as long as you hold back x percent of your revenue you are covered in taxes regardless if whether you get the balance or not.

Would definitely take the promise of future work with a generous pinch of salt. Charge them your normal fee and if they like your work, they’ll hire you again.

Of course, the downside of offering a huge discount is that the client will always expect this price, or even worse, they may expect an ever increasing discount for each subsequent project. Can of worms IMO.

Did the prospect ask for this amazing deal, or did you decide to offer it?

Regarding your other questions, it all depends on the type of project. Give us some more details.