Deposit · Consulting
Deposit in consulting: what is normal
Consulting typically bills the first retainer period or a 25-50% deposit upfront, not in arrears.
Typical range
The first month's retainer in advance for ongoing work, or a 25-50% deposit for a defined project, with the balance on milestones or completion.
Off-market
Fully-in-arrears billing on a large engagement with no upfront payment, so the consultant delivers a month or a phase of work before seeing anything.
One-line fix
"The first retainer period is invoiced in advance. For project work, a 40% deposit is due at signing, with the balance on completion."
What we see
Retainer consulting is normally billed in advance: the client pays for the coming period's reserved capacity, not for time already spent. That upfront structure is the consulting analog of a deposit and is standard in professional services.
For defined-scope projects, a 25-50% deposit at signing with the balance on milestones or completion is the common pattern. It ensures the consultant is not financing a large block of advisory work and signals mutual commitment.
The pattern to avoid is fully-in-arrears billing on a significant engagement, where the consultant carries weeks of unpaid work and the client's exit cost is zero. Billing the first period in advance, or taking a project deposit, is expected by serious clients.
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