Custom orders - deposit or full amount?

[Former_Member]

So I've finally received a request for a custom order which will require me to take some kind of upfront payment for the work I'm going to do. Nothing has been set in stone yet but the customer has requested a piece which I've roughly estimated will carry material costs of around £20-30. I've never taken a deposit before mainly because the materials have been things I have on hand and it hasn't cost me anything to make custom sets of waist beads before.
I was considering asking for a deposit then I realised that there's no realistic way I can think of which complies with Etsy's dos and donts which would allow me to take a deposit. How do you take deposits? Or should I just agree a design now, draw a rough sketch out for her and get her to agree to it and take full payment now?

[Former_Member]

Please get everything in writing and half down deposit, set aside a portion of that deposit as fees that will not be returned if the customer cancels or doesn't follow through.

Good Luck.
Special orders are great.

[Former_Member]

What you can do is once you've agreed to the terms ($$ payable now and the balance paid when the item is ready to ship) you can simply set the payment methods to 'other' on the order and use paypal to send the invoice for both the deposit and the final payment.

That way Etsy gets their fees on the full value of the listing and the customer can easily pay the deposit.

When I send all but the last paypal invoice I set the payment type to 'services' and only use the 'goods' option for the final payment. That way the customer cannot come back on me via a paypal chargeback. (not that they would but occasionally it happens)

[Former_Member]

Thanks Crochetgal :)

[birdmom9726]

I post a photo of whatever it is that the customer is purchasing, and put a very thorough description of what they're buying, what color, how many, when the delivery date is expected to be, and any other variables so that it's all in writing. Then I charge half down, with the other half to be paid in full the day before shipment is expected. I just do the first custom listing for half the total amount, and then do another custom listing for the other half, once the item is ready, stating that it's the final payment and that shipment will be the next business day, and the date that day is. I also put in how I'm shipping (USPS, UPS, whatever), if insurance is provided and who pays for it, and if there is a shipping upgrade, which I usually provide as a complimentary service for large custom orders. You can't put in too many details, believe me!

Crochetgal has a great thought there, though, I like that about the "services" and "goods" distinction. I never thought of that!

It also never occurred to me that someone would not follow through on a commitment like a custom order, I need to give that some thought so I'll have a policy in place just in case that happens. Thanks, ladies, you never fail to inspire me!

[PiecesOfMePaperCraft]

After all the details are worked out, I require that the buyer purchase the custom listing at the full price before I start making the item. I've never had a buyer complain about having to do that.

[Former_Member]

If something happens and your buyer doesn't agree to purchase the finished item can you sell it in your store? If not, I would want full price up front. If you can sell it if the buyer bales then I would only ask for a deposit to cover your material cost. Either way the buyer has to be on the hook for some of the expense.

The reason I say this is I get requests for custom booties that are personalized with specific initials. If I make them and the customer for some reason does not want them after all I cannot resell them. I ask for full price up front. I have lost a sale asking for that but at least I didn't put time and effort into making something and then find out the buyer flaked on me.

Good luck,

[Former_Member]

I agree at least a deposit to cover the cost of your materials and labor would make sense. Because if they decide they dont want it anymore they have some responsibility towards it already.

Has anyone asked for a non-refundable amount? and if so what would be customary to ask for to cover expenses of material and such if the person doesn't decide to follow through?

[joliefemmebydiana]

Thanks everyone! I'm learning quite a bit from all your questions and advice!

[ShadyLaneDesignz]

There was one time when I asked for a 50% deposit up front and the other 50% was due before I shipped. However most of the time I ask for the full amount up front. Nobody has had a problem with it!

[SageNThymeDesigns]

I do lots of custom orders. Once the details have been nailed down, I create a reserved listing in their name with the full description of the custom product. They pay, in full, and then I start to create the item.

Perhaps if it was something that was several hundred dollars, then I might consider a 50% deposit, but I have always charged full payment before I start work- ALWAYS!

[1AEON]

I ask for deposit, that kind of gives me the green light to make it. ...and if they change their mind, I don't loose money this way. You need to protect your business. But had many customers who asks for options to pay the full amount though...

[Former_Member]

Barbara - Because of the high material costs I wouldn't feel comfortable sinking that much money into a product without some kind of payment from the customer. Also these are not materials that I was planning on purchasing so I have no use for them if she decides she no longer wants the product.

Also for any of you who have taken deposits, if your customer decides they don't want the item anymore do you just keep the deposit and send them the materials you purchased or do you just keep the deposit and anything else you purchased in anticipation of the custom order?

I'll probably end up charging the full amount to get rid of any unnecessary obstacles

[Former_Member]

Becky Gibson from CrystalsandPearlsMI says

I just do the first custom listing for half the total amount, and then do another custom listing for the other half,
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Just remember Becky that if you do two listings with two separate paypal transactions, and the customer decides to do a chargeback on one of them they can, simply because you've set it up as two separate transactions.