Design checklist

Before you sign a design contract

8 clauses worth a second look, with what is off-market and the one-line fix for each. Work down the list against the contract in your inbox.

1. 01

   Kill fee

   Red flag

   No kill fee clause at all, or a clause that only pays for hours the freelancer can itemize after the fact. Both leave the risk almost entirely with the designer.

   The fix

   One sentence in the contract: "If Client cancels: 25% of the fee is due before kickoff, 50% after first concepts, 100% after final delivery."

   What is normal for kill fee →
2. 02

   Deposit

   Red flag

   No deposit at all, especially on a project longer than a few weeks or from a client the freelancer has not worked with before. Zero deposit means the freelancer is financing the client's project.

   The fix

   "A 40% deposit is due at contract signature and is non-refundable if the project is cancelled after work begins."

   What is normal for deposit →
3. 03

   Net payment terms

   Red flag

   Net-60, Net-90, or "payment when we get paid by our client" (pay-when-paid). Any of those pushes the client's cash-flow problem onto the designer.

   The fix

   "Invoices are due Net-30. Amounts unpaid after 30 days accrue a 1.5% monthly late fee." Pair short terms with a deposit so the balance owed is already smaller.

   What is normal for net payment terms →
4. 04

   Unlimited revisions

   Red flag

   "Unlimited revisions until Client is satisfied" with no cap and no definition of a round. Satisfaction is subjective and open-ended, so the project can never formally end.

   The fix

   "The fee includes 2 rounds of revisions. Additional rounds are billed at [rate] per round. A round is one consolidated set of feedback."

   What is normal for unlimited revisions →
5. 05

   IP transfer

   Red flag

   "All work product, including drafts, source files, and unused concepts, becomes Client property on creation, whether or not payment is made." That is a full buyout of everything, triggered before payment.

   The fix

   "Client receives full rights to the final approved deliverables on full payment. Working files, source files, and unused concepts remain the designer's unless purchased separately."

   What is normal for ip transfer →
6. 06

   Exclusivity

   Red flag

   A broad clause barring the designer from working with any company "in a similar industry" for a year, with no added fee. That quietly removes a chunk of the designer's market for free.

   The fix

   "Designer will not take work from [named direct competitors] for [3 months] after delivery. This exclusivity is compensated by [retainer/premium]."

   What is normal for exclusivity →
7. 07

   Liability cap

   Red flag

   No liability cap at all, combined with a broad indemnity, so a four-figure design project carries open-ended exposure if a third party raises an IP or damages claim.

   The fix

   "Each party's total liability is capped at the fees paid under this agreement. Neither party is liable for indirect or consequential damages."

   What is normal for liability cap →
8. 08

   Non-compete

   Red flag

   A clause barring the designer from working in the client's whole industry, or for any competitor, for a year or more after the project, with no compensation.

   The fix

   "Designer will keep Client's confidential materials confidential. Designer is free to work with other clients, including in the same industry. Any competitor restriction is limited to [named companies] for [3 months]."

   What is normal for non-compete →