Upfront Deposits: February Cash Flow Tips for Tradies – because working hard shouldn’t mean waiting weeks to get paid.
It’s summer, you’re flat out, and jobs are flying in. But if you’re not asking for deposits, you’re probably out of pocket before a job even begins. Between materials, labour, and site prep, the upfront costs add up fast.
Asking for a deposit isn’t about being pushy. It’s about being smart. It keeps your cash flow steady, filters out time-wasters, and shows you mean business.
Why Deposits Work in Your Favour
💰 Better Cash Flow
You’re not dipping into personal savings to buy materials or cover labour. The money is already there to get the job started.
🛠️ Only the Serious Say Yes
Clients willing to pay a deposit are more committed. You’ll waste less time on tyre-kickers or people who ghost after approving the quote.
🤝 You Look Like a Pro
Explaining deposits clearly sets the tone. It shows you’re not just working job to job – you’re running a business.
How to Handle Upfront Deposits with Confidence
👉 Be Transparent
Tell clients exactly what the deposit covers. Materials? Booking their place in your schedule? Spell it out in your quote so there are no surprises.
👉 Keep It Reasonable
A deposit of 10% to 30% is common and fair. It’s enough to cover your up-front costs without scaring off potential clients.
👉 Put It in Writing
Always include deposit terms in your quotes or contracts. It protects both sides and avoids misunderstandings later.
👉 Make Payment Easy
Offer multiple options like bank transfer, card payment, or Square to remove friction. Some clients won’t have cash handy – make it simple to say yes.
Set the Tone for a Profitable Year
At Tradies Bookkeeping, we help tradies across Sydney, Melbourne, Brisbane, Perth, Adelaide, Canberra, Hobart, Darwin and beyond create smart systems that support growth. That includes tightening up how and when you get paid.
✅ No more funding jobs from your own pocket
✅ No more delays in getting started
✅ Less stress, better margins
📧 bettina@tradiesbookkeeping.com.au
📱 0424 467 921
P.S. Need help cleaning up your quoting process or building deposit terms into Xero? Give us a shout.