Essential Business Forms by Natalie Fobes
Get it in writing should be the mantra of every photographer. Every time you license an image or shoot an assignment you must have that contract in writing. Do not depend on the good intentions of a client. The client is not going to look out for you. Their job is to look out for their best interest. They want as much in usage and as little in fee as possible. You must look out for your own best interests.
If you are emailing your estimate let the client know they have to print it out, sign it or digitally sign the document and return it to you. You should ask for a percentage of the total invoice up front. That percentage varies but usually is 25-50%.
Your forms should be considered contracts. When writing them pretend that you are testifying in court. Use specific language with correct grammar and spelling. Pay attention to details. Have your clients sign an estimate or confirmation letter, any change orders and delivery memos.
Your forms will vary depending on the area in which you work. Refer to section 5 of the book to see examples. Or, go to the ASMP website for more information and tutorials. If you are ASMP members, you can go to the website to see the paperwork share examples of real estimates and invoices for jobs shot by ASMP members.
Two examples: www.fobesphoto.com/MC-estimate.pdf and www.fobesphoto.com/Kauggman-estimate.pdf
Please note that I have not included the last page terms with these examples. Both had the full terms and conditions with them when they were sent to the client.
All of your paperwork should clearly state the scope of work, license, fees and your terms. (see terms and conditions worksheet)
Forms you will use include:
Estimate, quote or bid. An estimate is a calculated estimate but the invoice will reflect the actual price. A quote is a firm price. A bid is a firm price that is competing with other photographer’s bids. I usually do Estimates.
Confirmation of estimate, bid or assignment. This can be a separate letter or a signed estimate.
Contracts. If the assignment is complicated and extensive, like a book project, you may have a full blown contract. Until you know how to read contracts have your attorney look at it.
Change order. This is used when the scope of work has changed after the estimate was accepted. It describes the change and the fees and expenses the change incurs. It should be signed by the client.
Delivery memo sent with the deliverables. Your client should sign this to acknowledge receipt. This also has the terms and conditions and usage granted.
Invoice. The final fees and expenses are reflected on the invoice. Deduct the advance that you received before you shot the assignment. Usage and t&c are on this form.
Model, property releases as needed
Follow-up, thank you note (aka: request for more work)
You don’t have to reinvent the wheel. Search online to download specialty-specific forms and terms. ASMP, PPA, APA and others all offer boilerplate terms that can be used by their members. Use photography business software like Blinkbid or Stockview or fotoQuote that includes ready to print forms with terms. Take time to adapt them to your business.
In general the document is divided into five sections: Your client and your contact information, your creative fees, the license for usage agreement, the production expenses and the terms.
The front of a document is where you list the most important elements and those you want to give weight to. The back is for the small print, ie, terms relating to weather delays or cancellation, etc.
On the front:
The client’s contact information, your contact information,
The scope of work or assignment information
The license detailing the usage including number of images, where the photos are going to be used, the sizes, credit line requirements, placement in the media described above and duration of use
The creative fee consists of the fee you negotiated for shooting the assignment*
As I mentioned last week some photographers break their fee into two parts: their creative fee and the usage fee. I look at it this way: they are paying the same for the photographs whether the $2000 is classified as all creative fee or broken into $1500 for the creative fee and $500 for the usage.
The production expenses you will incur including assistants, pre-and post-production costs, processing, meals, travel, props, anything you buy for the shoot. And remember to mark up your expenses 20-100 percent.
It is important to get the scope of work and usage correct. You’ve got to ask them questions.
Assignment Description or scope of work questions
1. What is the overall description of the project,
2. How many views or individual shots will you be taking.
3. Film and/or Digital File Format,
4. Description of deliverables
5. Time frame for the assignment.
6. Digital concerns. Not all of these would apply to your project.
• How will the images appear? (Offset press, web site, digital prints, etc.)
• Will the files need to be re-purposed for additional media in the future?
• What is the largest anticipated reproduction size, and what resolution is required?
• How, when and where will the captures be edited?
• How critical is color matching?
• Who will be providing proofs, and what type of proofs are required?
• Will the files be distributed to unknown printers (e.g., magazines)?
Licensing & Usage Rights Granted
• Who will use the images?
• Where will the images appear?
• How will the images appear?
• What language?
• How long will the images be used?
Check out the ASMP job share documents at www.asmp.org They have three that are viewable even if you don’t belong.
Terms that should be on the front of the estimate.
1. Possible variance of quote usually 10%
2. That transfer of usage rights is dependent on payment in full
3. Notice that additional usages require an additional written agreement by photographer
I include the following language: no other usages allowed without permission of the photographer. All usages not specifically listed remain with the photographer.
4. Payment terms and rebilling fees or interest charged for unpaid invoices
5. Notice that advance payments are due before you begin the assignment
6. Refers the client to terms and conditions on the reverse side
The back of document is for the nitty gritty details: reshoot or weather delay charges, overtime charges if applicable, where disputes will be litigated if needed, model release indemnification, etc.
Here is a very basic example of when to use what form.
•Estimate request and research: A client asks you to submit a estimate, quote or bid for a job and gives you a scope of work. Ask as many questions as you need to find out what he/she really wants.
•Estimate is sent to client for approval and signature: You create an estimate quote or bid and deliver it to your client. Unless your client changes the scope of work, or unforeseen events affect the shoot, this is what the final invoice will be. Your creative fee and/or usage fee are separated out from your production costs. All are itemized. Your terms and conditions should be included in this document. These must be clearly stated.
•The client often will try to negotiate a smaller bid. Often they will change the scope of work. Rework the numbers as needed and resubmit the document.
•Once your figures are accepted have them sign the quote and return it or send them a confirmation of your quote and have them sign it. It is imperative that you have their signature on the document. That is your proof they have agreed to pay you. It is your signed contract.
•Shoot
•Change Order: If client wants something added to the scope of work then write it up with your additional costs and have them sign it.
•Delivery of receivables: After the shoot you deliver the images to the client. No matter if you deliver them via ftp, dvd or as prints you must have a Delivery Memo included that states the usage and applicable terms and conditions. I also include a cover letter. If transmitting digitally then have the delivery memo and letter in the photo folder. The photo folder should be zipped or stuffed. The client should acknowledge receipt of the images either by signing it and mailing it to you (best) or acknowledging it in an email.
•Invoice: Your creative fee, production costs, usage and terms and conditions are on the invoice.
•After the job has been accepted send your client a thank you note telling them how much you enjoyed working with them, how successful the assignment was and how you look forward to working with them in the future.
Websites to look at:
www.asmp.org
www.stankaady.com
www.markbolster.com