consulting retainer agreement
Consulting Retainer Agreement: The Benefits
Being a consultant has its own perks, but it would be wise if you set up the Consulting Retainer Agreement so you won’t have to scramble for work. After all, not all consulting work is steady. With such an agreement, you can maintain a steady income without having to break a sweat.
Why the Agreement Is Crucial
Consulting business can be beneficial but it can be difficult too. If you have a consultation business where your business is always busy ALL the time, then you won’t have to worry about your finance. But if it isn’t always busy and you income isn’t exactly stable, then the agreement can be a crucial point to save your finance.
If you have a busy schedule in one month and empty ones on the other, what would you do? Sure, your first month is packed with schedules and appointments. The second one isn’t so much (only one or two) but you collect the payment from the first month. What about the third month? You still get the payment from the jobs on the second month. But what about the fourth month? If you don’t have any work on the third month, then you don’t get any money on the fourth month, right?
Well, the Consulting Retainer Agreement will fix it. Basically, the agreement allows you to bill your clients every month – it can be about the access to your skills and expertise or the numbers of working hours.
The benefits to the agreement are:
- You can manage a predictable income with the recurring cash flow
- You can focus on your best efforts and work instead of trying to find the next project
- The consulting retainer can be one of the most efficient pricing models to use
Composing the Agreement
Never underestimate the agreement because there are many different elements to include. For instance, it should contain the pricing models for your business. And then, what the project is about and how long it will last. Is it only a one time project lasting one month or is it a continuous work that last longer – for, let’s say, a year? Such an information should be included and found in the agreement.
Basically, there are many kinds of information and elements that you should include in the agreement. If you are overwhelmed and you don’t know what to compose, you can always check the templates. Be sure to choose the one suitable for your needs.
We have our own collections of samples and templates. Feel free to check our Consulting Retainer Agreement templates and find the one you need.