An interior design contract lets you establish clear expectations and financial terms for an interior design project. Whether you’re the designer or the client, you can streamline management and provide legal protection for everyone involved.
What Is an Interior Design Contract?
An interior design contract is a service agreement between the designer and the client. It includes a detailed list of the scope of the work, party information, and other critical parts of an enforceable contract.
Interior design contracts outline what types of work will be done in the home, business, or another area that needs to be designed. It might include a list of the services and materials necessary to perform the work.
- Clarifying Expectations: This helps to ensure the designer and the client have clear, mutually understood expectations for the project.
- Financial Agreement: Outlines the financial aspects, preventing misunderstandings or disputes regarding payment.
- Project Management: This helps in efficiently managing and executing the project, ensuring all parties are on the same page regarding the timeline and deliverables.
- Legal Protection: This clause provides legal protection to both parties by explicitly stating the terms and conditions, reducing the risk of potential legal conflicts.
- Dispute Resolution: Facilitates smoother resolution of any disputes by providing a reference for agreed-upon terms and conditions.
What to Include in an Interior Design Contract
Step 1 – Scope of Work
Outline the scope of the project in as much detail as possible. Everything that you intend to charge for needs to be mentioned. You also need to detail what your work does not include: any services that will need to be provided by contractors, such as plumbing, electrical, and ventilation.
Step 2 – Design Fees
You must decide how to charge your clients, such as hourly or fixed fees. If you charge hourly, include your rate, and all time spent on the project, including responding to emails, researching, drawing, and purchasing products, will be charged.
You could also include that the fees will be charged in increments and can be paid when they receive an invoice.
Step 3 – Drawings
You need to include in the contract a section about your drawings. You need to state that any drawings, plans, or renderings are conceptual and are intended to set forth design intent.
Also, you need to emphasize that your drawings rely on the accuracy of the information provided by your client and that, unless you’re measuring yourself, you won’t be liable for any miscalculations or design flaws.
If necessary, you can state that your designs are purely for the contracted project and cannot be shared or used for other purposes.
Step 4 – Refunds, Cancellations, and Expenses
If you’re purchasing furnishing items or ordering anything for the project, you need to detail that these won’t be refundable, especially for custom-made orders.
You may also want to include a section covering expenses the client must reimburse, such as travel costs or storage fees.
Step 5 – Payment Terms
Clearly state the timeframe you must be paid and the payment terms. If you send invoices to the client, include when you will send them and how long they have to pay after receiving one.
How Much Does An Interior Design Cost?
Interior design fees can vary depending on experience, location, and project size. Here’s the information on interior design pricing structures:
- Hourly Billing: It is a great option for smaller projects or those whose scope might evolve. The client pays directly for the time spent on consultations, space planning, and design selections.
- Flat Fee: This upfront cost might be ideal if the client has a clear vision and a well-defined project. It covers the entire design process, offering predictability and peace of mind.
- Cost-Plus: The designer charges for their time and adds a markup (often a percentage) on the cost of materials and furnishings purchased for the project.
- Percentage of Project Cost: The designer charges a percentage of the total cost (usually between 10% and 30% or more) of the project, which includes furniture, materials, and labor.
Addressing Pricing and Project Changes
A few tips specific to interior design contracts you should consider include:
No-Price Guarantee Clause (Limited)
You can include a “No-Price Guarantee” clause to assure clients that your initial consultations or project assessments are provided without any upfront cost.
Detailing Separate or Optional Design Fees
Detail any design fees that are separate or optional within the project scope. Offer a separate price list for optional services not included in the base package
Addressing Changes Mid-Project
Outline a clear roadmap for handling changes in the middle of the design process. Specify limitations on change requests.