Glossary · Sales
What is Retainer?
Definition
A retainer is an agreement in which a client pays you a fixed fee on a regular schedule in exchange for ongoing availability or a defined set of services.
Why it matters
Retainers give service providers steady income and give clients priority access. They turn unpredictable project work into recurring revenue.
A freelance copywriter might offer four blog posts and a monthly newsletter for $1,800 a month. Three retainer clients produce $5,400 in predictable income, compared with chasing one-off projects of $600 that may or may not come in. If each client stays an average of 9 months, one client is worth $16,200.
Put the scope, hours or deliverables, billing date, and cancellation terms in writing. Have an attorney review your contract template since rules on prepaid fees can vary by state.
Common mistakes
- !Leaving the scope vague so clients expect unlimited work for a fixed price.
- !Not defining what happens to unused hours or deliverables each month.
Frequently asked questions
What is Retainer?
A retainer is an agreement in which a client pays you a fixed fee on a regular schedule in exchange for ongoing availability or a defined set of services.
What mistakes do beginners make with Retainer?
Leaving the scope vague so clients expect unlimited work for a fixed price. Not defining what happens to unused hours or deliverables each month.
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