Is It Legal to Get a Non Refundable Deposit on Custom Art
HELPING ARTISTS MASTER THE Business organisation OF ART, One STRATEGY AT A TIME
How to Never become Ripped Off AGAIN – For Freelancers
" Money is ameliorate than poverty, if just for financial reasons ." Woody Allen
Being "ripped off". I actually don't like the negative audio of those words. But I'yard compelled to write near it because it's a topic that comes up again and again.
Yesterday an artist was in my office and she said that she'due south been stiffed on payment too many times to mention. Information technology'south worn her down and she feels unappreciated.
Getting stiffed on payment is sadly ane of the nearly common and frustrating things that can happen to freelancers. It happens to artists, photographers, filmmakers, web designers and just nearly every modest concern owner at one time or another.
But it doesn't have to ever happen to you lot (again). It's very simple to avoid. You only take to do two things:
one.) Crave a deposit upward front end
2.) Require the full residual at completion
The INSTANT y'all plant these two policies for your small-scale business, you will NEVER have to make a collection call E'er again.
If it's this elementary, why do and then many people go on to get "stiffed" on payment?
Because they don't ask for the eolith up front end and they hand over the goods earlier being paid. Information technology's as well bad that art school doesn't teach you the importance of running your art venture like a business.
Here are some of the almost common excuses I hear from people who continue getting ripped off:
- "I don't have a business organization mind"
- "I'one thousand new at this"
- "I need an agent to do this for me."
- "I needed the work actually bad – I was desperate."
Handling your business organisation wisely is a decision you make, not a factor that yous're built-in with!
Please trust me when I say that YOU Practice Non Take TO Take BEEN BORN WITH A Business Mind TO Avert Existence RIPPED OFF!
You just accept to establish your own payment policies.
I learned this the hard way when, many moons agone, Drew was "hired" past the large clothing company American Hawkeye. They asked him to create a detailed artistic map of one of the Hawaiian Islands. The fine art was going to be used for t-shirts and other accessories.
They were on a tight deadline and needed it yesterday. There was no time to get a deposit. Drew put in many hours drawing this up, and the art managing director at American Eagle kept making changes.
Their final modify is what led to the non-payment: They decided not to apply a map subsequently all. We sent them a bill for the work done, and they never paid us. Dealing with a company that large is nearly impossible to get payment from AFTER THE FACT. That'south why nosotros should take gotten coin up front.
We were, past some standards, ripped off, taken advantage of and screwed over.
But I'm a firm believer that no-1 can take advantage of you without your consent .
It was our own fault for non getting coin up front before Drew put in many hours of work.
That was the Final TIME we ever got stiffed on a commissioned task. We learned from our mistake, and since then have required 50% up forepart and the residue when finished (before we hand the art over).
THE PSYCHOLOGY OF REQUIRING A Deposit
Two important things happen when you say to your client: "I'll need fifty% upward front to beginning the work and the balance is due when the work is completed."
1 You are viewed as professional person : Your client now sees you equally a person who has payment policies in place. They respect yous, and they are clear on what you expect and how it's going to become.
2 A delivery is formed: Your client is fully committed when they pay a deposit.
When someone pays a eolith towards something, they are making a commitment to the project.
It'due south a psychological thing. Without a eolith, there is no existent commitment from your client. It'south like buying plane tickets. My trip to New Zealand last year was simply talk until I plunked downwardly the $1,800 for plane tickets. In one case that money was paid, it was a reality. Nosotros were fully committed.
HOW MUCH OF A DEPOSIT SHOULD Y'all ASK FOR?
Many artists crave 50% up front. The boilerplate, according to the Graphic Artists Guide to Ethical Pricing, is xxx%. I adopt the fifty% and then does my banking concern account.
HOW Exercise Yous ASK FOR A DEPOSIT?
In every conversation I have with a new client, I mention, up front (fifty-fifty with friends and acquaintances and my mother's uncle's niece) that nosotros need a deposit to go started. (Hate to say it, but sometimes information technology's the people closest to you that will potent yous).
You may feel foreign asking for this. Get over it, do it, and you'll go used to information technology and eventually it won't experience foreign anymore. Learning how to walk was foreign besides. But you got used to it.
When giving a price quote, include your eolith requirement in writing past electronic mail or proposal. Here's how ours looks in a price quote (I grabbed this from an bodily proposal for a wakeboard design we did earlier this twelvemonth):
PRICING: Fee is $3,800.00. A fifty% eolith is required to showtime the piece of work, and full rest upon completion. OPTIONAL: Original artwork may be purchased within thirty days of completion at a profoundly discounted price of $iii,500. (Payments shall exist made to Son of the Sea, Inc. PO Box 836, San Clemente, CA 92674.)
And hither's what nosotros put in east-mails sent to clients with big projects, like murals:
Nosotros must have your signed proposal and deposit for the mural painting NO LATER THAN two weeks prior to the offset appointment. This allows us to get the materials we need at the pricing we configured for your quote.
Over time, your returning customers will know what you await and they volition exist prepared to write you a check for the deposit. All of our longtime customers are used to the fashion we work. They besides know that the work will get done to their satisfaction, because they've worked with united states of america before.
RESISTANCE TO PAYING A Eolith COMES FROM CLIENTS AND ARTISTS:
It'due south non always the client feeling weird about a deposit. Sometimes information technology'south the creative person. Here are some of the scenarios:
THE Artist DOESN'T Require It Because THEY ARE DESPERATE FOR THE WORK: If y'all are desperate for piece of work, than you lot surely cannot beget to spend time on something that yous'll never get paid for. A deposit weeds out the payers from the non-payers. The people who most probable will never pay you are the ones who won't give a deposit. The people willing to give a deposit are the ones that are serious. See how this works?!
THE Customer REFUSES TO PAY A Deposit: If a customer won't pay a deposit, they but aren't set up to commit. If that'south the case, than yous shouldn't commit your time to their project.
Don't get mad. Just let them know that you are happy to start the piece of work afterwards they pay. Tell them to call you when they are prepare. Be friendly and professional.
THEY DON'T HAVE THE MONEY: I've encounter this many times: When I tell someone that they have to pay a eolith, and then they say "Oh, I don't have the money right now."This tells me that they may never accept information technology. So I say "When yous practise, let me know. We are looking forrad to working with you."
YOU Experience You lot HAVE TO Testify YOURSELF Earlier YOU Can DEMAND A Deposit: If you lot've been at it for less than 2 years you may withal have to prove yourself before you can require a xxx% – 50% deposit. Mayhap the client isn't certain of your abilities and they are nervous to trust you. In this instance, lower the corporeality yous ask for to 20% instead.
YOUR CLIENT IS A HUGE v BILLION DOLLAR Visitor AND THEY TAKE 3 WEEKS TO Cutting CHECKS BUT Need YOU TO FINISH IN 2 WEEKS: I've been faced with this scenario a few times. Here'southward what I do: I enquire the customer to write me a personal check and they can bill their visitor for it later. Some people laugh at that, just the serious ones send me their personal cheque.
THEY Flat OUT REFUSE: If they just refuse to pay a deposit, than near likely you'll never get paid, no matter what you do, because of a lack of commitment on their part. And so walk abroad. You'll relieve yourself a lot of wasted time and frustration.
IF Yous'VE BEEN A PROFESSIONAL AT YOUR TRADE FOR OVER FIVE YEARS: You can Terminate proving yourself. No i should question you at this point. Y'all have good references that the client can call if they doubt your abilities.
EXCEPTIONS TO THE RULES: Of class, there are exceptions to every rule. We made an exception when we did a deal with Converse – Drew started the work earlier we got our deposit. They took 6 weeks to cut us a check. But we have a good human relationship with our people there, and I knew they would take care of u.s.. I very rarely make the exception, considering of existence burned in the past.
LEARN FROM YOUR MISTAKES
If y'all've been "ripped off" more a couple times, than you need to wait in the mirror and ask yourself what you're doing to cause this. Analyze what's happening – are you lot keeping your end of the bargain? Do yous meet your deadlines? Are y'all a joy to piece of work with? Do you behave like a professional? Information technology's important to acquire from our mistakes so alter the way nosotros practise things if something isn't working.
I read somewhere once that the definition of crazy person is: Someone who keeps doing the same affair over and over again but expecting a unlike result!
Unproblematic RULES FOR PRICING:
If you follow these elementary guidelines, yous'll never have a trouble getting paid:
Put your cost quote in writing (eastward-post is fine) – this way there are no surprises on either cease. Give your quote leeway to add to it in the event that the scope of the work changes. (We do this by adding this sentence: In the event of unforeseen additional work due to conditions on surface or changes to the blueprint by the customer that may require actress labor or detail, this toll could modify .)
Have a payment policy and include that in your price quote (i.e. l% down and remainder due at completion)
Put a 30 day limit on your price quote – your situation could modify or your materials costs can go up. On my proposals I'll put: Proposal Date May 27, 2010. Proposal valid for 30 days
Don't begin the work without a commitment from your customer in the form of a deposit
Transport your client frequent updates of the progress of the piece of work , along with photos of the progression. This will give your client satisfaction knowing that you are working on it and that it's getting washed.
When it'due south finished, ship them a photo of the completed piece of work and arrange to get concluding payment at the same time you hand over the goods.
I sincerely hope this article convinces all of you lot out there to constitute your own policies. Even if you lot are a part-time freelance artist or photographer, you are in concern. Your time is valuable. Yous should be paid for your piece of work.
Please, in the comments below, let me know what bug you lot've had on this subject and how you've dealt with it!
Maria xxoo
.
184 Comments → How to Never get Ripped Off Once again – For Freelancers
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I've been up for hours researching your cognition…
Nifty postal service. As a writer, the problem for me has been collecting the final 50% after the piece of work is completed and delivered (can't really accept a picture of a writing project). It's go exhausting chasing final payments, then I've decided to only send a locked PDF of the material until I receive payment, at which point I volition transport the Word version. Will see how that goes for the side by side projection…
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I accept been doing freelance work for some time now and I had an issue with getting ripped off past a family unit member. It was a pocket-sized committee and then that was their reasoning non to requite me a eolith. I told them I would not begin doing piece of work until I had received a deposit. They refused and I ended upward non doing the commission.
In the by, I had worked on a website for them that ended upward non being used. They insisted that I show them a "prototype" of the website that I was going to build them. Then I fabricated one and they liked it only they didn't have the money to pay me. In the end, they didn't get the login info and I didn't get paid.
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Love your articles, really helpful! I'll try to exercise my new "business organisation woman behavior";), it'south non easy only I'chiliad gonna make it …cheers <iii
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Hullo Maria,
Cheers and so much for sharing, I read your article on -.. how to never get ripped off again ….. and I believe that the suggestions presented are valuable and piece of work. I am an artist and a human and thank you for showing united states of america this style. Work is necessary to create the platform for art and to share it. This has given me the insight that it is up to me to create the art and the platform and that working in what I honey is possible. Namaste, Love and Light Happiness K
Cheers, your words & information has helped me realize that I practice deserve to be paid for my fourth dimension. I just had a recent client cutting downwards my best work all because they didn't want to pay me. They made me expect & tried to intimidate me while I literally stood & waited for payment. I cut them a break, gave them a bang-up deal, didn't ask for a eolith, and didn't have them sign a contract, which I should of because it was a significant amount of work & my fourth dimension. Which I at present take learned from my error. I will forever get a deposit & a contract signed. Thank yous for your pointers & letting me know I'yard not the only freelance visual creative person that has ever run into this issue. I was feeling inadequate & the situation of the customer cut down my piece of work & reluctant to pay, has exist interfering with my slumber the last couple weeks. I did however get payment. And so I'm lucky I guess, because what I've read about so many other artists beingness ripped off & non receiving payment. Cheers so much for all your shared info, I truly appreciate it!! Have a wonderful solar day!
my piece of work is taking money out of my check for medical insurance every two weeks $74 information technology has been two months and I have not received any medical insurance or medical card or a packet..the beginning fourth dimension I called the insurance company they stated to me that I was non insured through their company and I would have to bring information technology up with my dominate…afterward talking to my boss she states that I am insured and if I accept whatever medical issues bug and I need to go to the doctors to pay for the bill myself and I will be reimbursed on that to save all receipt…please help me I don't know what to do I'm being ripped off and charge for medical insurance which I don't accept and I don't know what to do please help
Only delivered a promotional video for a local "feller" (seen the Swedish movie Switchblade, Uhuuhh?) Last week. He gave me all the "tears and whistles" about how he would pay $2500.00 "at present" and $2500.00 later later on his Kick-starter promotion "paid off". stories of how "everyone else" had asked for $10000.00 and so along . . Well the guy still hasn't posted his promo video and it'due south not like he didn't honey it. One evening before our concluding edit , or finishing post touches (yes he was at that place with me) we "hung" out over some hot dogs and a couple of drinks on our property. Equally he was eager to brandish how pleased he was with my freelance work on my ain "promo" video (yup). Chosen the guy'due south vocalism mail Three times this past week without whatsoever replies, so this week I'g calling an attorney to detect out my chances in an U.s.a. small claims court.
It's strange how individual professionals, owning their ain factory, actually earn an income working their business organization take no 2d idea almost messing with a half-dozen.5 alpine / 380 Lbs Swedish Ogre or Viking. I wasn't born nor educated in the US (TG) so this "freakishness" really ways State of war because I'g a Existent artist, and yous know what "they" say nearly messing with truthful artists.. 😀
Sir Carl..
Really it'south 280 Lbs my wife tells me, oh well.. Like I used to tell my 2'nd X wife.. – I'grand Non perfect, but I'k Shut.. 😀
Sir Carl..
I have a question. What most if you paint a mural and get stiffed on the balance due? Or if they continue saying "before long, soon". How do you not hand over their wall that is in their house?
Another question. I was working on a portrait and did not accept a deposit and he wanted updates in the form of photos so I sent him a photo and he said information technology didn't look like the pic and canceled it. Now I don't send updates till it'south finished considering fearfulness of pulling out. I practice currently charge l% deposit (learned my lesson) but I'm thinking if he had paid a eolith then when I gave him the update he may not accept pulled out and canceled information technology? What are your thoughts? I think photograph updates would exist nice to send but it scares me from my by experience.
Awesome post Maria.
I am concept artist. Just wanted the perfect professional procedure in dealing with customer.
Thanks a ton.
This is very helpful to me.
I observe working through online freelancer websites such as CatchUpNews.org solves problems with payments. The site crave deposit prior to the kickoff of a job which is held in escrow. Worth checking them out.
I capeesh your commodity every bit a small business entrepreneur who has successfully fought for deposits. However what I don't see is propose for the small business organization who gives deposit to an creative person and he/she fails to respond to texts, calls, request for proof of work started. Right at present she's using a health issu as an excuse, but it's been weeks. Ive asked her repeatedly if she'southward not up for information technology, no harm no foul, simply forfeit the deposit. What are my options? I've shared original content with her for an thought, and I don't know what my next form of activity should be.
Erica,
Thanks for your comment and question. Aye, sadly, this does happen sometimes. Information technology happened to me a few years agone – gave an artist $2,500 deposit for a $5K project. He didn't practice it. Worse part – I knew him personally!
To reply your question – Requite her a borderline. She must have a typhoon to you no afterward than Oct 25th. If she does not come through, then you look total refund on that appointment. If she doesn't refund or come through with the piece of work, then you accept to file in small claims court, or only let it go.
Pitiful this is happening to y'all. 🙁
Thanks a lot maria. Slap-up post. Very helpful for the beginners into the freelancing world.
BTW i am a technical writer and a lensman with 6+ years of experience. Anyone needing the services may get in touch with me.
Great post! Simply what I needed to give-and-take my proposal for a corporate gig coming up. I look frontwards to reading more of your material.
Thank you Maria. You helped me a lot.
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YOUR Customer IS A HUGE 5 BILLION DOLLAR COMPANY AND THEY Have iii WEEKS TO CUT CHECKS BUT Need YOU TO Cease IN 2 WEEKS: I've been faced with this scenario a few times. Here's what I do: I enquire the client to write me a personal check and they can nib their company for it later. Some people laugh at that, but the serious ones ship me their personal check.
THIS is exactly what I needed to hear today! Thanks! They call back bc the cheque is on information technology's way, then all is good, simply it isn't not when you lot are working at zero and they want the job done last week and promised you the eolith- until corporate got involved and said here is the bank check number, its being processed. In my listen I end the press and wait to receive in my hands and go focus on making coin today elsewhere. Until now they ask.. where is the work you lot promised- and I have to reply- I still take not received the deposit. The comeback y'all mentioned asking to pay me personally and they tin can get it back on their end later is a smashing idea and also shows that I am serious. If information technology is good enough for the geese, information technology is good plenty for the gander.. Thanks Maria again for reminding me and others of our self worth and to keep pushing frontward 🙂 G
Glad you lot liked information technology! Another way they can send the money is by bank wire transfer. Many larger companies do this regularly, and they adopt it. The not bad thing is that most wire transfers go through immediately. (Unless information technology's sent from out of the country). Paypal is instant, and that's always my preference, but, most large companies don't utilise Paypal.
Yah, I know I offered that besides wire. My final client paid wire transfer. This detail company I offered cash wire or paypal and did not respond, and then I but created a paypal link they could utilise until they responded. Anyways update- squashed that 1. Getting deposit was likewise much and making me nervous. Thank you once more for your reply! HUGS!!
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Cheers Maria. I am in a situation with an agency right now where their deadline was one week from the date they decided to contract me. I apace sent over an invoice and revisions to their contract but their internal process is so slow that I had to starting time the piece of work. I told myself, I'll create the piece of work and non release it until I have a deposit. They've tried to sway me a couple of times to encounter the concepts, but I told them it is my policy to not release artwork until I have a deposit. They've been understanding and it looks like I'll be getting a credit card payment merely in time to meet their deadline. It is a tricky situation because the delays don't get out much room for revisions just hopefully information technology will all work out.
Hi Sam,
Don't worry virtually their deadline until they send the deposit. If it'south a huge concern for them, they will over night or Fed Ex you a check. I've had many companies do that for me. Or, process their credit carte number immediately, earlier working on sketches. Either way, if they have a quick deadline, they will find a style to pay you quick!
I have a policy in business and my personal life. I never take on someone else'due south problems. If a large company has a deadline simply they tin't get you the coin in time, that's their trouble, it's their borderline, not yours. Maybe making them solve their own trouble volition encourage them to create amend processes so it won't happen again for them in futurity. Since implementing this policy into my life, I live quite stress free. I also find, I rarely attract to me those types of people or business anymore.
Hi Maria,
Great article!
How about other way around? I take ordered the artwork, paid the eolith, artist finished it and sent it for reviewing but liked it and then much that wants to increase the toll and even after 30% increase is non willing to sell it to me???
As well not wanting to render the deposit!
Any advice would be profoundly appreciated!
Kind regards,
Helin
Deplorable thought I might add that after signing the contract, we changed to color technique but after the artwork was gear up artist asked to keep the original, also sell prints and canvas of the work as well.
At first we had in an understanding that subsequently payment and completion we have all the rights for the work as it is commission piece of work.
Thank you!
Helin, I'k lamentable you're having this problem! Whatever the contract states is what you and the artist agreed to, and that is what needs to be done.
That's why a contract is so important . If your artist is breaching the contract, then you take to either work it out with them or seek legal help and take them to minor claims court or sue to enforce the agreement.
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This actually answered my drawback, thanks!
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In the three years of building my career equally an artist I've made mistakes of doing murals without asking for a eolith. I've been ripped off before with sketches I wasn't paid for. Lesson learned!
At present a question I have is: what if you lot have the client sign an understanding that clearly states the full payment for the entire project (sketches and so on) is due upon completion?
I mean if they can't requite a eolith because of a policy their company has, which is a situation that happened to me last year, couldn't signing the agreement be another style to get them commited to the project?
If they don't pay up could you point out that they signed an agreement that would be escalated to legal action?