How to Ask for a Deposit Invoice: What to Say and How to Structure It

Why Deposits Matter

A deposit does three things: it protects you from non-payment on a job you've committed time and resources to, it gives the client skin in the game (committed clients pay deposits; people who aren't serious don't), and it improves your cash flow by getting money in before you've done all the work.

For any project worth more than a few hundred dollars, requesting a deposit is professional, expected, and sensible.

What Percentage to Request

Common deposit structures:

50% upfront, 50% on completion: Standard for project-based work (design, construction, consulting, bespoke manufacturing). Splits risk evenly between seller and buyer.

30% deposit, 70% on completion: Appropriate when the client is established and the project is straightforward.

100% upfront: For very small projects, new clients with no track record, or where you're doing significant prep work before deliverables are produced (e.g. ordering materials, booking equipment). Also standard for some digital products and courses.

Milestone payments: For large projects, split into three or more stages: e.g. 30% on signing, 40% at midpoint, 30% on completion. Keeps cash flowing through the project.

How to Ask for a Deposit

Asking for a deposit should be a normal part of your process, not an afterthought. Include it in your quotation:

"To confirm your booking and secure your project start date, a 50% deposit of $1,200 is required. The remaining 50% ($1,200) is due on project completion."

If you're asking verbally or by email:

"Before I block out the time for this project, I require a 50% deposit of $1,200. I'll send an invoice for this today — once it's paid, you're confirmed and I'll get started."

Don't apologise for asking. It's normal practice and clients expect it.

What to Put on a Deposit Invoice

A deposit invoice is just like any other invoice, with a few additions:

Label it clearly: "Deposit Invoice" or "Payment 1 of 2" in the title.

State the total project value: So the client understands the context.

State what the deposit covers: "50% deposit — Brand identity project — Invoice total $2,400."

Note the balance: "Balance of $1,200 due on project completion."

Reference the quotation: "As per quotation Q-2025-044."

Example invoice description:

"Deposit — 50% of total project fee — Brand identity design (logo, typography, colour system) — Total project value: $2,400 — Balance ($1,200) due on completion"

Non-Refundable vs Refundable Deposits

State in your terms whether the deposit is refundable:

Non-refundable: Protects you if the client cancels after you've started. Standard for custom or bespoke work that can't be resold.

Refundable within X days: Some clients need to verify funding or board approval before committing fully. A short refund window (e.g. 7 days) allows them confidence while protecting you from month-long uncertainty.

Make the refund policy explicit in writing before the deposit is paid.

Handling Non-Payment of a Deposit Invoice

If a client requests work but doesn't pay the deposit despite reminders, don't start the work. The deposit is your confirmation of commitment. Starting work before it's paid removes your leverage and significantly increases your risk.

Send a reminder (using the overdue invoice templates elsewhere in this blog), and if no payment arrives, treat it as a declined engagement and move on.

Deposit Invoices in Quotation Expert

In Quotation Expert, create a deposit invoice exactly like any other invoice — set the amount to the deposit percentage, describe it clearly, and send it to the client. When the deposit is paid, mark it as paid. The final invoice is created separately when the project is complete, and the balance shows the remaining amount due. Both invoices are stored together under the client record.