Invoicing for Retainer Clients: Best Practices for Steady Income

Retainer agreements are the holy grail of stability for service-based businesses. But you must bill them consistently and correctly to maintain that stability.

What is a Retainer?

A retainer is a fixed monthly fee paid in advance for a set amount of availability or work. It moves your business from project-to-project to predictable monthly income.

Key Invoicing Principles for Retainers

1. Bill Upfront: Always invoice for the coming month of service (e.g., bill March on February 25th).
2. Use Recurring Invoices: Automate the billing to ensure perfect consistency.
3. Detail Scope: The invoice description should clearly state what the retainer covers (e.g., "Retainer for March: up to 15 hours of SEO Consulting").
4. Track Overages: Have a process to bill for any work that goes beyond the agreed-upon hours/scope, listed as a separate line item.

Invoice ASAP's recurring invoice feature is ideal for retainers, automating the monthly billing process and allowing for easy addition of overage charges.