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Deposit Required Before Work Begins

Requires an upfront deposit before any work starts, so you're never fully exposed at the beginning of a project.

When to use it: Use with every new client, and especially for first projects with someone you haven't worked with before.

The clause

Deposit. The Client shall pay a non-refundable deposit of [amount / percentage]
of the total project fee before the Contractor begins any work. Work will be
scheduled and commence only after the deposit has been received and cleared.
The deposit is applied toward the total project fee and is not an additional
charge.

Replace anything in [brackets] with your own details before using.

Why this clause matters

The riskiest moment in a freelance project is the very beginning, before any money has changed hands. A deposit turns a stranger's promise into a committed client and covers your time if the project stalls early.

How to use it

  • Set the amount. 50% is standard for new clients; 25–30% is common for established relationships. Replace [amount / percentage] accordingly.
  • Make it a precondition, not a formality. The clause deliberately ties the start of work to the receipt of the deposit — don't begin before it clears.
  • Decide on refundability. The template says "non-refundable." If you prefer to allow a refund before work starts, remove that word and add your own condition.

Related terms to pair it with

Combine this with clear payment terms for the balance and an IP transfer on payment clause so ownership of the work only passes once you've been paid in full.

This is a general template for information only, not legal advice. Have a qualified professional review your contract before you rely on it.

A deposit protects the start of a project. FileDue protects the end — it keeps the final deliverables locked until the balance is paid.

See how FileDue works →

Related clauses

Payment Terms (Net 15)Sets a clear invoice due date and payment window so 'I'll get to it' never becomes an open-ended wait.IP Transfers Only on Full PaymentOwnership of the work passes to the client only after they've paid in full — until then, the rights stay with you.