Retainer
also known as monthly retainer · recurring engagement
A recurring arrangement where a client pays a fixed monthly fee for an agreed set of services or capacity, rather than per-project. Retainers give agencies predictable revenue and clients priority access.
For example, a design studio might put a client on a $4,000-a-month retainer that covers up to 40 hours of design work, two strategy calls, and priority turnaround on requests. Instead of re-quoting every new task, the studio simply draws against that agreed capacity each month, and the client always knows what they will pay and what they will get.
Why it matters to agencies: retainers turn lumpy, unpredictable project income into steady monthly recurring revenue you can forecast, staff, and grow against. They deepen client relationships, ease the constant scramble for the next sale, and make the whole business easier to plan and to value.
- Pricing the retainer on a round number instead of the capacity you actually commit.
- Leaving 'what's included' vague, so the scope slowly expands for the same fee.
- No clear notice period, which makes the eventual exit messy and unpaid.
What is a retainer?
A recurring arrangement where a client pays a fixed monthly fee for an agreed set of services or capacity, rather than per-project. Retainers give agencies predictable revenue and clients priority access.
How is a retainer different from a project fee?
A project fee pays for one defined piece of work with an end date; a retainer is an ongoing monthly fee for capacity or a service, so it renews and gives the agency predictable revenue.
How much should an agency charge for a retainer?
Price it on the capacity or outcomes you commit to each month - typically the hours you reserve at your blended rate, plus a premium for priority access - rather than on a round-number guess.
What should a retainer agreement include?
The monthly fee, what is included (hours or deliverables), what is out of scope, the term and notice period, and how extra work is handled through change orders.