Why do we charge a down payment for our web design services?
Today we’re going to talk about something no-one wants to talk about.
“Why we charge a down payment for our web design services”
There are actually several reasons we charge a down payment. I’m going to cover several of them.
Just so we’re clear these are not negotiating points either.
We charge a down payment because we actually have a lot of upkeep costs.
When you hire San Antonio’s Web Design, we actually use the down payment to make sure we pay our developers, designers, bloggers, videographers, photographers, logomakers, sales people etc.
For the life of the project, or at least until you or the next customer makes their payment. We don’t do anything for free and we don’t do anything without a deposit.
If we start a project for you whether it is a medium project or a large project or whatever, we are taking on risk from the beginning.
The second we sign that contract we are agreeing not only that we are going to build xyz, but that we are going to abc for expenses.
If something happens to a client after the project starts and we haven’t collected a payment to start.
We could easily lose thousands, because now we have no-one to pay for all the work we did.
In one week our team can easily clock 500-700 hours on a busy week.
Normally, our clients' down payments cover these expenses.
The next client
Let’s say we start a project together and we agree to x price because your project will take x amount of time and maybe at that point we’re fully booked.
That means if for whatever reason, if this contract is stopped, then we just lost two contracts.
The one you signed for, and the one we turned away, because we were fully booked.
We generally take on multiple contracts to cover expenses and deliver all contracts on time.
But if any of those contracts flip over for any reason, we are automatically at a loss. If we clear our schedule, have to hire more people for a project or simply don’t have time for any other projects and the customer bails for any reason, we are out thousands.
We simply can’t do that.
We charge for a down payment for our skill because we know how many customers call everyday for our service.
We know how valuable our time is and we know how much we have to offer as a company.
The amount of value we offer with these skills is directly correlated to our price. That’s why each contract starts with a minimum deposit of ½ the negotiated rate.
Not only does it take years to learn all the skills our employees have, it also can take months to use those exact skills to develop the level of work that your site needs.
So if we don’t immediately charge for that skill, then we as a company lose out as much as you as a customer loses out. With the rate of inquiries we get all day and night, we need to make sure all customers are serious about our service.
So a down payment ensures the customer is accepting a minimal amount of risk and shows that the customer is actually serious about our service.
It allows us to get started faster and understand which clients are ready for service and which are still browsing or gathering funds.
This is especially crucial when we offer financing.
We offer financing
We offer financing in many different forms, this helps ease the weight of risk on us as well as our customers, by providing affordable options for an otherwise expensive endeavor, we can’t always lower our prices, but we can lower your immediate overhead.
Please check our home page
www.sanantonioswebdesign.com to learn more about our financing options.
We offer financing, so we can reach a broader customer base. We understand not everyone can afford the down payment on the same day, but this allows us to reduce downtime in our business and also allows you to move faster on our services, so we can both carry less risk.