2

On fixed-price projects I've generally worked for 50% up-front, which I believe is more or less standard for software development-related freelancing. I'll sometimes ask for less than 50% if the budget is high.

Is up-front payment still a standard when escrow is available, or does escrow entirely replace the up-front system? Please note I am not asking whether up-front payment is standard in general or what percentage to charge, just whether it's still a standard when escrow is used for the payments.

1 Answer 1

4

Yes, it's OK. I ask from 20% to 50% depending on the budget. If the project has large budget, you will have hard time convincing client to pay 50% upfront.

In large project, I also request milestone payments. We plan the project, set milestones from 2 weeks to 1 month, and when it's finished, they pay for it. This way, I don't wait for money a lot, and they pay smaller chunks.

4
  • How large is a "large budget"?
    – Pacerier
    Commented Oct 10, 2015 at 2:06
  • Any sum that is large in your opinion. For someone it's $500, someone $5000, and someone $50k. It also depends what a client thinks it's large. So you just have to rely on your hunch but also talk it thru with the client.
    – Peter MV
    Commented Oct 10, 2015 at 9:15
  • Is this answer specifically related to when escrow is involved?
    – user45623
    Commented Oct 13, 2015 at 1:47
  • Why not? Escrow is just a guarantee that the client has money to pay you for your work. So at the start of a milestones, a client can put the money into escrow and release it once you have completed the milestone.
    – Peter MV
    Commented Oct 13, 2015 at 20:04

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service and acknowledge you have read our privacy policy.

Not the answer you're looking for? Browse other questions tagged or ask your own question.