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Simple ID Fees

Welcome to the “New Normal”. As our infection rates go down, we are starting to feel a sense of normalcy in our everyday lives, and in Singapore, soon we will be moving to phase-3. Currently, we are in the midst of a restart so it is just a perfect time to also change the narrative surrounding our Interior Design industry practice especially when it comes to providing free proposals and services.

Just recently, I have received a few emails and phone calls asking for an ID consultation for a new office fit-out and as usual, asking for a site visit, a proposed layout, 3D, and a quotation. This time it’s different, we have to do it on our own due to our recent staff lay-offs and company re-structuring. we have less manpower and resources. This time, there will be more at stake as we also have to value our time and effort or if we don’t secure the project it may significantly impact our cash flow due to the days or weeks spent in pitching without certainty.

As a result, we came up with a simple fee policy that may help us in dealing with uncertainty as we rebound back to normalcy. For some, this may be in the low-end of the pay scale, but our rationale is at least to kickstart the process and educate our clients about the importance of professional fees and the need to survive our business.  

A simple FEE guide for Interior Designers in Singapore:

  1. First meeting / Design briefing – FOC (Free of Charge) but in the Designers Office
  2. Succeeding meetings (by client) – $150 to $300 depending on the seniority of staff attending the meeting.
  3. Site Audit / Site Visit – $200 per hour (for the first hour – $100 succeeding hours)
  4. Design Proposals – Non-confirmed project $5 per sq.ft of the area to be designed. Charged as “Design Fee Deposit” – Deductible only upon confirmation of the Project. (Deliverables and Revisions to be discussed and agreed between both parties)
  5. Upon Confirmation of the Project, we will charge 8 to 10% of construction cost as design fees. “Design Fee Deposit”  to be deducted.
  6. Client Site Meeting 3 to 4 times per project. Additional meetings will be charged at $150 to $300 per hour.

Extra FEEs;

  1. Full-time Project Management Fee 5% of construction cost.
  2. Package Cost, Design & Manage 15 to 20% of the total project cost.

In a few months we will know if this approach will be effective in dealing with clients in the “New Normal” if there is a good time to test and chart a new direction, now is the time.

You may want to leave your comments and suggestions on our Facebook page. For related articles you may want to read this; What to do with non-paying customers on construction projects

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