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Contracts? Do yo use them?

Discussion in 'Business & Tax Advice' started by noramouse, Jul 28, 2014.

  1. noramouse

    noramouse Newbie

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    Contracts?????? I am starting a new freelance business and was wondering if contracts are really needed. I have a basic 4 page contract that I have used in the past.

    But do you use them or am I just being over paranoid?
     
  2. sashablack

    sashablack Elite Member

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    What type of freelance? I always use contracts and take 50% upfront! A contract is good so you can cover your ass incase the client does not want to pay you or is asking much more then what is promised on the contract! Good luck!
     
  3. American Trends

    American Trends Jr. VIP Jr. VIP

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    Hey! I am new to this word "contract" in relation to freelancing , can anyone of you let me know a bit more about it.
     
  4. Kikerinka

    Kikerinka Senior Member

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    IF you're not from US, or not deal with high figure transactions, then contracts are for nothing... You won't take someone to court for $500, will you?
    And if you work in international business, then you will have to take him to arbitrage, and that itself costs more then $30K just to start the process. (Speaking from own experience, I once lost 12K euro, because client simply decided to not pay me (was another business, not IM))

    On the other hand, a simple contract can create a feeling of commitment, and maybe speed up payments a little bit... But to cover your ass, it won't work.
     
  5. noramouse

    noramouse Newbie

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    Thanks for the input. I like what you said about taking someone to court for $500.

    I require payment for services a month in advance. So I think I'll have a basic contract on hand if a client asks, but I wont bring it up.

    Thanks again.
     
  6. Asif WILSON Khan

    Asif WILSON Khan Executive VIP Premium Member

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  7. Numbuh362

    Numbuh362 Elite Member

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    either charge money upfront or use contracts on big jobs, if you're doing work for $20 I wouldn't bother. If you're doing work for $2,000 I wouldn't risk it.
     
  8. Techxan

    Techxan Elite Member

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    I use a contract mainly to describe my deliverables.

    This way, the customer knows what he is getting, and when they throw in the other stuff they want done I can charge them because it is out of scope.

    Also, as long as I slightly over deliver, they have no complaints.

    Its simply best to have it all in black and white.

    If I hire you to publish a book, and you are thinking "Hell yes, Klindle here I come, money in the bank" and publish a kindle book, and I thought you meant publish a real book, I am not going to be happy.

    You have to handle expectations, and saying, "I'm sorry, that is not on my scope of work" is a heck of a lot easier and better than saying "I don't want to fuck with that shit for nothing, what the hell is the matter with you?"
     
  9. WizGizmo

    WizGizmo Super Moderator Staff Member Premium Member

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