Top 3 Reasons to Require Deposits for Services or Classes

Give Your Time a Value

Sometimes, because clients associate their payment with the completion of a service, they forget that your time itself has a value. Deposits ensure that clients value your time the same way that you do, because there’s a cost associated with the booking. After all, you’re less likely to cancel or forget an appointment if you’ve already paid a deposit!

Cover Out-of-Pocket Expenses

For some services, you may need to purchase additional products, supplies, tools, or materials in order to perform the service. Deposits allow you to cover your overhead without dipping into your savings.

Keep Cash Flowing

Instead of waiting for all your payments to clear, deposits allow you to have a steady, reliable cash flow. That way, even if an appointment gets rescheduled, your budgeting won’t be thrown off by the money you’d been counting on.

When and How to Require a Deposit

The answer isn’t straightforward, but for deposits, that’s actually a good thing. For some industries, requiring a deposit is standard for booking a service. For example, tattoo artists require deposits upfront because appointment times depend on the complexity of the work. For beauty and fitness professionals, the easiest way to decide on whether to require a deposit is to consider the length of the appointment and the overhead cost. For example, a Brazilian Blowout is a lengthy, expensive service requiring supplies you may not have on hand. Likewise, a multi-process color, such as highlights and base color, or a double-process fantasy color look might take up half your day’s schedule.

Safeguard Your Time and Resources with Deposits

For high-ticket services, appointments requiring longer service times, or services requiring specialized supplies, it may be beneficial to require a deposit. Deposits keep everyone accountable. Clients know that their deposit secures the appointment, and service providers know that deposits place a value on their time. The deposit feature is the newest addition to VMS, which helps you quickly, easily, and efficiently add a deposit requirement to book future services. This protects your valuable time and resources. Deposits also make it easier for customers to check out later, because their deposit is deducted from the service total at the completion of the appointment.

Protect your time and resources with deposits!

Header Image and Icons: Mia Montemayor via Vagaro