Payment Terms for Creators: Net 30 vs Upfront

Last updated: February 2026

"Payment upon completion of campaign."

If that's in your contract, you might be waiting months.

Payment terms determine when you actually see money in your account. Get them wrong, and you're financing the brand's marketing budget with your time.

Here's how to structure payment terms that protect you.

Payment Terms Explained

Common Payment Structures

The Case for Upfront Payment

When to Require 100% Upfront

• New clients with no track record
• Small projects (under $500)
• Brands with concerning reputation
• Rush jobs
• International clients
• First-time brand deals

Why It Works

1. Eliminates chasing — No invoices to follow up on
2. Proves commitment — Brands that pay are serious
3. Protects your time — No work wasted on non-payers
4. Funds production — You're not floating costs

The Pushback You'll Hear

"We don't pay until we see the work."

"I understand that concern. I work with a revision process that ensures you're happy with the content. For new partnerships, I require payment upfront — once we've built a relationship, we can discuss other arrangements."

"Our finance department doesn't work that way."

"I can invoice immediately upon agreement, giving your finance team the full production timeline to process payment before delivery."

The 50/50 Model (Most Common)

How It Works

1. Client signs contract
2. Creator invoices 50% deposit
3. Payment received, work begins
4. Creator delivers final content
5. Creator invoices remaining 50%
6. Client pays balance

Why It's Popular

• For creators: Guaranteed partial payment, reduces risk
• For brands: They see some work before paying full amount
• Middle ground: Both parties have skin in the game

Sample Contract Language

Payment Terms: Total compensation of $[X] shall be paid as follows:

• 50% deposit ($[X]) due upon signing this agreement. Work will not begin until deposit is received.
• 50% balance ($[X]) due within 7 days of final delivery.

Deposit is non-refundable once Creator begins work.

Net 15 vs Net 30

Net 15 (Recommended for Creators)

Payment due within 15 days of invoice date.

Pros:

• Faster cash flow
• Less time for issues to arise
• More professional urgency

When to use: Default for established relationships.

Net 30 (Industry Standard)

Payment due within 30 days of invoice date.

Pros:

• Standard in corporate world
• Gives brands processing time
• Less pushback from finance departments

When to use: Larger brands with formal AP processes.

Net 60 or Longer (Avoid)

Only accept if:

• Brand is offering significantly higher rate
• You have strong cash reserves
• Relationship is highly valuable
• Contract includes late fees

Payment Milestones for Larger Projects

For projects over $2,000 or with multiple deliverables:

Three-Part Structure

Content-Based Milestones

This keeps cash flowing throughout the project.

Late Payment Protection

Late Fees

Standard clause:

"Invoices unpaid after [X] days will incur a late fee of 5% per month (or the maximum allowed by law) until paid in full."

Why it works:

• Creates financial incentive to pay on time
• Compensates you for the delay
• Signals you're professional

Work Stoppage Clause

"Creator reserves the right to pause work if any milestone payment is more than 7 days overdue. Work will resume upon receipt of outstanding payment."

Right to Terminate

"If payment is more than 30 days overdue, Creator may terminate this agreement. All completed work reverts to Creator, and Client receives no license to any content."

Red Flags in Payment Terms

🚩 "Payment upon campaign completion"

• "Completion" is undefined
• Could mean months after delivery

🚩 "Net 60 or 90"

• You're financing their marketing
• Only accept with significant premium

🚩 "Payment contingent on performance"

• You're not responsible for their ad performance
• Get paid for work, not results

🚩 "We'll pay when we get budget approval"

• They shouldn't sign contracts without budget
• Hard pass

🚩 No specific payment date

• "Soon" isn't a payment term
• Require exact timelines

Negotiating Payment Terms

You Want Upfront, They Want Net 30

Option 1: Meet in the middle

"I typically require payment upfront for new clients. Would 50% upfront with the balance Net 15 work for your process?"

Option 2: Offer a small discount for upfront

"I can offer a 5% discount for payment in full upfront — that would bring the total to $[X]. Otherwise, it's 50/50 at my standard rate."

Option 3: Shorten the net terms

"I can work with net terms for established clients. Net 15 instead of Net 30?"

They Have Strict AP Rules

Large companies often have rigid payment processes. Options:

1. Invoice earlier — Invoice on contract signing, so 30 days runs during production
2. Accept with deposit — Net 30 on balance, but 50% deposit required upfront
3. Charge more — Your rate for Net 30+ clients is higher (builds in the delay cost)

Setting Up Your Payment Process

Your Invoice Should Include

• Invoice number (for tracking)
• Invoice date
• Your business name and contact
• Client name and contact
• Project description
• Total amount due
• Due date (specific date, not "Net 30")
• Payment methods accepted
• Late fee policy
• Thank you note (be human)

Invoice Timing

Rule: Never wait to invoice. The longer you wait, the harder it is to collect.

Payment Methods

Options to Offer

Recommendations

• Domestic clients: PayPal or ACH
• International clients: PayPal, Wise, or wire
• Large payments: ACH or wire (avoid % fees)

Sample Payment Terms Clauses

For New Clients (Protective)

Payment Terms: Total fee of $[X] is due in full upon signing this agreement. Work will not begin until payment is received and cleared. No exceptions.

For Established Clients (Standard)

Payment Terms: 50% deposit ($[X]) due upon signing. Balance of 50% ($[X]) due within 15 days of final delivery. Late payments subject to 5% monthly fee.

For Enterprise Clients (Flexible)

Payment Terms: Client shall pay Creator $[X] within 30 days of invoice date. Creator will invoice upon delivery of final content. Late payments exceeding 30 days will incur a 2% monthly fee.

Summary

Your payment terms should:

1. Minimize risk — Upfront or deposits for new clients
2. Create urgency — Net 15 over Net 30 when possible
3. Include consequences — Late fees and work stoppage rights
4. Be specific — Exact dates, not vague language

Cash flow is the lifeblood of freelancing. Don't let brands turn you into their interest-free lender.

Related: How to Chase Late Payments | 10 Clauses Every Contract Needs