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How to ask for a deposit as a contractor
To ask for a deposit as a contractor, put it in the estimate before the customer says yes, say what it pays for, and make it easy to pay by card. Here's the wording and what to check first.
When a deposit makes sense
- You have to buy materials before you start.
- You're holding a date in your calendar for one customer.
- The job is big enough that a no-show would hurt.
What to say
The total is $4,200. I take a deposit of $800 to order the materials and hold your dates, and the balance when the job's done. I'll send you a link you can pay by card.
Check the rules first
Some states cap deposits on home improvement work. In California, the down payment on a home improvement contract can't be more than $1,000 or 10% of the contract price, whichever is less (Business and Professions Code 7159.5). Check your own state's contractor board before you set yours.
Taking it
Put the deposit in your estimate so it's agreed in writing. Send it as its own invoice with a Pay button, then invoice the balance at the end. With Knockround the customer pays by credit cards, Apple Pay and Google Pay on their own phone.
Questions
Should the deposit be on the estimate?
Yes. When it's on the estimate they've accepted, nobody's surprised by it later.
Can I take a deposit by credit card?
Yes. Send it as an invoice and the customer pays on their phone. The card fee is the same as on any other invoice.
Try it on tomorrow’s work
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