By: Gail Doby

Gail Doby — Sat, 27 Mar 2010 20:32:44 +0000

Hi Tammy – thank you for sharing your comments. I'd suggest one more thing that will really simplify your paperwork. Come up with a flat percentage for freight, delivery, inspection, etc., and add that to your proposal. It makes your paperwork so much easier, and the client doesn't get overwhelmed with additional paperwork per order. I agree with getting the 100% up front. I've done that for years. You're also absolutely right about the cash flow problems. That's a way to go out of business in a hurry, and a designer's reputation is their brand. The relationship with subs and vendors is every bit as important as the client relationship. Don't you think?

By: Tammy Dalton

Tammy Dalton — Sat, 27 Mar 2010 20:27:59 +0000

I apply the retainer to the last time billing invoice for the job. I've done this successfully with all my clients so far, without any hiccups, and it only applies to design fees, not product purchasing. With regard to purchasing product, I collect the full amount upfront before I place any orders. If there are any additonal charges that come later, like freight charges or delivery charges, or whatever, I invoice and collect those amounts prior to delivering or installing anything in someone's house. Unfortunately, I've learned over the years to CYA (cover your a**), and I've seen my previous design employers get into terrible binds after product has been delivered and then not being able to collect the final amount. Your vendors still need to get paid, so you either get stuck shelling out the money from your own pocket, or you end up looking like a jerk to your vendor by telling them you can't pay them because you're waiting for your client to pay. That doesn't work, it's not fair, and I've seen many vendors refuse to continue doing business with some designers because of tactics like that.

Comments on: #9 Biggest Mistakes Interior Designers Make With Fees

By: Gail Doby

By: Tammy Dalton