Retainers

[Little miss]

Just wondering how far in advance do people generally sign contracts and charge retainers for?
If I calculated earnings lost from now until contact started in June I would lose nearly £750.
Would a parent pay this or even 50% to secure a place? Feels very cheeky!
Also, would you charge a retainer on lost earnings if a parent wanted to start with one day for 4 weeks and then increase to 2 days for 4 weeks and then to the full 3 days a week after this.

[Mrs Pootle]

I have charged half fees in the past to hold a space open until mindee ready to start. It can seem expensive for the parent, but the alternative is they pay nothing and hope you have the space available when they want to use it.

I think you need to explain to parents why you are charging a retainer and that you have lost earnings whilst you have a space available but can not fill it because you are holding it open for them. Most understand the need for the payment once it is explained.

Could they perhaps pay monthly rather that the whole lot in one go?

[bunyip]

Are these earnings actually being "lost"? That's only the case if someone else is fired up and ready to take the place now. If that's the case, then maybe you should consider taking the family who can offer an immediate start.

[Little miss]

That's exactly what I was just thinking Bunyip as I've just had another enquiry who wants an almost immediate start, even though this parent wants days which knock out all my other enquiries - surely it's better as I can start earning now :-)

[bunyip]

I always think retainers are an uncomfortable compromise, though I can't say that I could suggest an alternative.

Inevitably, the CM looks at it as money lost, whilst the parent can resent paying the CM "to do nothing." Both points of view are equally valid in their own way.

I tend to offer a family the option to pay a retainer if the place they want is the very last one available. I feel more comfortable with that and know I can still interview other families. The parents know they won't lose the place, but don't feel I'm 'milking' them either. But I'd support any CM who felt the need to ask for a retainer.

[Little miss]

Agreed - and I only have one under 5 place

[ziggy]

as mentioned in another thread i had a verbal agreement to keep place for new baby till September. Today mummy said she isnt going back in September so could be January 14 or even later.

I know she wont want to pay retainer for months and months so i am going to take first full time child who comes along.

I think it all depends on parents job and amount of time parents want place kept and (obviously) whether other work is available.

My concern with keeping a place for more than a month or 2 is that parent may change their mind and i will have turned away other work at full fee.