Ask Vicente: Contracts


Name: Mark Roberts
City: Cedar Rapids
State: Ia
Country: USA

Comment:
Vicente,
I’m a designer from the Midwest and have always admired your work. I know in the past your blog has addressed clients and your working relationship with them, and I’d enjoy hearing your thoughts on the following:

My father started our firm over 30 years ago, and we’ve being lucky to live in a community where we have always operated on an honest handshake. However, we realize that in today’s business world clients are more savvy and not always loyal. As much as I hate to admit it, we have been burned recently as clients enjoy seeing our ideas and proposals, but when it comes to purchasing products, they feel no obligation. What has been obvious to you and possibly many others is now clear and necessary for us as well: we need a contract.

Without revealing private information, could you please give some insight into how your client contracts are designed? What are the key points in them? How do ensure your time is not wasted and your talents not stolen without scaring the client away?

Finally, are you speaking in the Midwest sometime soon? I’ve seen you twice in Minneapolis and always enjoy hearing your insights on the profession.

Thank you for your time.

Regards,
Mark

Vicente Responds:

Mark, it doesn’t matter how long you’ve been in business. Having a contract is the thing that sets the rules of engagement. It tells the client what to expect from you and what you expect from them. Without those things you’re winging it and especially now, at a time when businesses are suffering, maintaining a professional front gives the client the security – and you the protection – that you both need. Talk to legal representative to formulate a contract. You want to tell them what you bill, what you expect from them. You need an out if they don’t pay you, you have to list the areas you’re working on, what your budget is, how you’re going to bill the deposit and how you’re going to bill the balance. Nobody should be out there working without a contract because they can turn around and screw you over and you won’t have a leg to stand on.

I’m impressed that you’ve seen me talk twice! We’re embarking on a book tour in October – I’ll be sure to post a list of places we’re stopping by up here so you can know when I’ll be near where you are.

  1. #1 by Jeffrey on August 26, 2010 - 7:03 pm

    There are several good “business contract books”, with CD ROM forms included, available at bookstores.
    Legally binding agreements that can be downloaded, customized and printed for you to present to clients.

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