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A consulting agreement with a retainer involves an upfront payment from a client to a consultant in exchange for services. A retainer reserves the consultant for a minimum number of hours, ensuring availability regardless of the situation. Consultants may choose to charge a retainer based on their type of work and personal preference, often to cover initial business relationship costs and secure payment for initial efforts. Key aspects of such agreements typically include a minimum deposit or a predetermined number of required hours, offering both parties clarity in expectations and commitment. Understanding the structure and implications of retainer agreements is essential for effective collaboration.
