finders fee...
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- Midge
so, here's the deal... work overloaded, I need a break, taking off for a while, putting my firm on ice.
New clients (prospective) are ringing saying "can yuo do this, can you do that".
I have two options. Say no = $0
Or, say No, but i can reccommend firm X.
so.... without further ado... what should I be charging firm X?
Any ideas chums?
- jamble0
10%.
- Spookytim0
Tough one. Do you hope to pull back the clients once you're recuperated or do you expect that you'll hand them over and it could well become a permanent situation between the client and firm X... because if its the latter, Firm X need to be paying handsomly now, as an investment in their future client base.
If they are only going to be taking your workload on short term and handing back once you're back at work, then not so much.
I think we need some parameters here. How long are you going for, what kind of work, how well do you know firm X etc.
- Spookytim0
My short answer would be 15%
- PSYKHO0
Your going on holiday... 20%
- Midge0
I am going for a year, but i have many friends who went (london) for a year and came back 5 later. so who knows.
Generally speaking, these are new clients that i have not done anything for before. - i.e. i am not giving up my exisitng client in this deal.
- Dancer0
Hard to manage I think.
How do you know what their final fee would be?
Are you sending them to companies you know personally?
- Midge0
its to a company i know, they a nice friendly small firm and do good work so i have no worries about looking bad.
Final fee? who knows... maybe 50K. Its a branding and product laucnh type thing.
My thoughts are... i can;t do this work (although I would love to! - I have bought my plane ticket and I need a break) so therefore... they are going to go somewhere else anyway... thus I might as well try and clip the ticket for something if I can.
- trooper0
get firm x to do it but say you want to retain ownership of the client and all subsequent work has to go through you... i do this with my pseudo agency www.neue.co.uk and www.ihype.co.uk (incomplete but still works) i get 7% for jobs under 2k and 20% on work over 2k
works well... for sitting on my arse ;)
- formed0
10-15% tops and I would talk with the other firm about a cap. Say the 50k, as soon as the they reach 50k in revenue, then you no longer get fees. That's fair, I think.
15-20% is what a salesperson would get having given a proposal and retained a client/project, so I can't see how it is worth it if all you are doing is giving a name.
If you will have tons of referrals, like if you were handing over a business, then there could be more negotiations.
- MSTRPLN0
How do you invoice finder's fees ?
Send them the bill "btw that client that rang you, that was all me...."
- madirish0
formed says it spot-on; have a flat percentage but with a ceiling up to a certain amount on the account, per annum. the end result there is, the firm you refer is to a) get to that amount because it is known that is probably realistic, and b) are incentiveized to get more work from the client as they know your fee goes away after that amount.
- utopian10
Flat fee of 10% is fair considering the economy.
- Midge0
Thanks for all the responses and help - i will go do battle!
- MSTRPLN0
So I have a few clients lined up and have no time to work on any of their projects, I know of some people that can probably take on the work (non-firm, smaller freelance) - Does a finder's fee still apply in this situation? I want to put some money in my pockets!
- not if you want to keep your friends... send them to ppl you know will do the same to you.zarkonite
- JSK0
At least you are doing better now Midge. Hows the new agency coming along.
- brandelec0
at least 10% be fair to yourself
15% be good to yourself
20% share the wealth
- digdre0
be unique and do 25
- uberdesigner0
10%
- CALLES0
can you find the airplane crash thread?