A graphic designer gets enquiries for web design work. He does the graphic part (PSD mockups) while I do the development part. Just like me he charges according to time spent. Sometimes each of us earns half, sometimes I get more than what he gets (more development work than design work). I rarely send him work, it’s mostly unidirectional meaning he outsouces development work to me.
Besides division of total fee between us, he wants a 15% finder fee. What do you think of such arrangement, is it fair ? I’m asking because usually a finder fee is given in exchange of an entire project, not part of a project.
If each of you bills for hours worked, why do you need such an arrangement? Most designers like to have relationships with good developers so that they can further satisfy their clients by helping to get their projects done. You both need each other.
I would resist this unless the designer is giving you tons of work AND has many other options for developers.
Not sure exactly what the “finder fee” means, but where I come from, you would often submit your invoice to the graphic designer, and the designer would pay you and then add a % onto the client’s invoice. (So if you charge $60 / hour to the graphic designer, she will charge the client $80 per hour for that work, for example.) So from your point of view, it should be irrelevant what the designer has organized with the client. Presenting it to you as a fee to you seems like poor politics to me.
Personally, I dislike this kind of arrangement anyway. As sagewing says, you are allowing the designer to get work she might otherwise not have gotten by filling in the gaps in her abilities. If might be fair for you to drop your price a little in gratitude for getting the work … but that’s for you to work out.
As it was already mentioned, a relationship like this is one that should benefit you both (you both get to work on the project and both get paid what you feel you are worth). You would be billing him the time you spent and he would then bill the client. If he chooses to bill his client extra to compensate, that is not going to affect you. A “finders fee” would only be relevant if he found a client and passed it along to you to build completely. If they want to charge you in addition to your hourly rate, I would decline the offer.