Collecting upfront deposits protects your time and weeds out bad clients. Here's how to ask, how much to charge, and how to make it frictionless.
Every freelancer has a ghost story. The client who loved the work, signed off on revisions, then vanished before the final invoice. A deposit doesn't just protect your money — it filters out the clients who were never serious.
The standard is 25–50% of the total project value. For smaller projects (under $500), 50% is common. For larger engagements, 25–33% is typical. For ongoing retainers, the first month in full is reasonable.
Don't go below 25%. A deposit that's too small doesn't create enough commitment to change behavior.
Ask for the deposit in the proposal, before any work starts. Not in a separate email after the proposal is signed — in the proposal itself, as a condition of kicking off. This sets the expectation cleanly and professionally.
The script is simple: "To secure your start date and begin work, a 50% deposit is required upon signing." That's it. No apology. No "if that's okay with you."
The easier you make it to pay, the fewer excuses exist not to. The old way — email the proposal, wait for a reply, send a PayPal invoice, wait again — adds friction at every step and gives the client time to change their mind.
The better way: the client reads the proposal and pays the deposit in the same flow, right after signing. That's what Penly.it's Stripe deposit collection does — no separate invoice, no chasing.
Some clients will push back. A small number of those objections are legitimate (large companies often have 30-day net payment terms). Most are a signal.
If a client refuses to pay any deposit for a project over $500, ask yourself: why? A client who won't commit $100 upfront is the same client who will drag the project out for months and dispute the final invoice.
The professional response: "I work with a 50% deposit for all projects — it's how I hold your start date and prioritize your work. Happy to answer any questions about the process."
Be clear about this upfront. A common approach: the deposit is non-refundable after work begins, but fully refundable if you haven't started yet. Put this in your proposal and Terms of Service so there's no ambiguity if a client cancels.
Beyond the cash, deposits change the dynamic of the relationship. Clients who have paid are more likely to show up for calls, respond to questions promptly, and treat the project seriously. They have skin in the game.
Start requiring deposits on every project. The clients who are worth working with won't hesitate.
Penly.it lets you collect Stripe deposits as part of the proposal signing flow — no separate payment links or invoices needed. Available on Pro and Business plans.