Retainer Contract (in gig economy): A contractual arrangement where a freelance worker is guaranteed a set fee for availability.
Retainer contract
A contractual arrangement in the gig economy where a freelance worker is guaranteed a set fee for their availability, ensuring that organizations can access their skills as needed while providing the worker with financial security.
What is a retainer contract
Think of a retainer contract as a safety net for your freelance relationship. It’s like having a favorite pizza place on speed dial; you pay a fixed amount to keep the chef ready to whip up your preferred pie whenever you please! In this context, freelancers receive a predictable income in return for holding space in their schedules, making them available to fulfill your needs when called upon. This prevents the back-and-forth hassle of last-minute contracts and can foster a stronger partnership between you and the worker.
For example, if you’re running a busy marketing agency, hiring a graphic designer on a retainer can be a strategic move. Instead of scrambling whenever a new project comes in, you have a designer who is already familiar with your brand, processes, and expectations. This means quicker turnaround times and elevated quality because they’re already part of the family!
However, it’s essential to understand what a retainer contract is not. This isn’t a flat salary where the freelancer is your employee. A retainer isn’t about tying someone down but granting them reliability in their freelance work. The contract doesn’t guarantee hours worked; it ensures their availability for your projects. Misunderstanding this can lead to confusion over deliverables and expectations, so clarity is key.
How we can help
Zelos Team Management is a simple app for managing workforce on-demand. We can help you communicate and distribute work to your internal pool of freelancers, whether on retainer on not. Sign up for a free account on our website, and see if it’s a good fit!