Deposit for a custom?

Jason Fry

Knifemaker / Craftsman / Service Provider
Joined
Jun 5, 2008
Messages
3,160
If you're having a custom knife made for you, is it customary to pay a deposit? What percentage?

New to the process... thanks for the help.
 
As a maker I never charge a deposit for any of my knives, that being said I will not build something I can't sell.

Just make sure that the maker has a not just good but really really outstanding delivery reputation, sadly many folks have watched there money go up in smoke with nothing to show but frustration.

I have heard this has been coming up more and more and it could be based on the economy, I know some makers that have completed knives only to have the buyer back out or scramble for payment which is no good when the bills show up for the maker.....tough spot to be in.

Just be careful and get something in writing

Good luck and you are smart to ask questions such as this

Spencer
 
Just say no to deposits.

Trust me on this I have learned the hard way years ago to the tune of 6k to 3 makers that I trusted.

Nothing wrong with helping out with true expenses of costly materials, but otherwise say no. If not, eventually you will get screwed.

Goes both ways, as collectors we are obligated to pay for knives we order also.
 
As a maker I never charge a deposit for any of my knives, that being said I will not build something I can't sell.

Just make sure that the maker has a not just good but really really outstanding delivery reputation, sadly many folks have watched there money go up in smoke with nothing to show but frustration.

I have heard this has been coming up more and more and it could be based on the economy, I know some makers that have completed knives only to have the buyer back out or scramble for payment which is no good when the bills show up for the maker.....tough spot to be in.

Just be careful and get something in writing

Good luck and you are smart to ask questions such as this

Spencer


ABSOLUTELY agree Spence,

not to say that makers asking for deposits are looking to crook on anyone. but it does happen.

as a knifemaker I simply can't afford for my reputation to be impugned. I'm much much safer to not accept payment until the knife is done and the buyer has seen a completed picture.

it just gives everyone nice warm fuzzies. the collector KNOWS what he's paying for

Stephan
 
The only time I ever ask for anything up front is for the price of gold on a one of a kind knife. I have an order coming up using 18K gold and it will run around $4-5K for the gold.
 
ABSOLUTELY agree Spence,

not to say that makers asking for deposits are looking to crook on anyone. but it does happen.

as a knifemaker I simply can't afford for my reputation to be impugned. I'm much much safer to not accept payment until the knife is done and the buyer has seen a completed picture.

it just gives everyone nice warm fuzzies. the collector KNOWS what he's paying for

Stephan

This was also one of the reasons (and many others) why I picked you to make a "special" knife for me:D:thumbup:
 
We don't take deposits on knives or prepayments on materials. It protects the customer that has the knife ordered if something should happen to one or both of us. In a business like this all it takes is one slip to put you out of commission.

There is no easy answer for protection of both the buyer and seller. While the buyer is protected because he has no investment in the knife at all, there seems to be a sentiment that the maker can just sell the knife to someone else if the buyer backs out of the deal and everthing will be fine. This does not take into account the additional cost of selling the knife twice when margins are already paper thin.

We will be glad to continue not taking deposits, but what would help us as makers is if the person that ordered the knife would tell us, as soon as they can, that they aren't going to be able to take delivery of the knife. That might allow us to make a more easily sold knife before the original one is completed if something special is ordered. If the knife is already complete and they can't take delivery at least answer the e-mails or return calls so we don't have to hold the knife for thirty days before we feel comfortable in selling it to someone else.
 
Tai Goo required me to make a deposit on a knife I ordered from him.
I trusted his many years in this business, and his clear instructions for ordering which are posted on his website.
He delivered the knife, as described, on time.

As a consumer, in all things, it really comes down to being careful and doing your research.

I had ordered, almost a year ago now, a large knife from Burt Foster, which I very unfortunately had to cancel for various reasons:(. However, I gave him at least a couple of months notice, and he was good with that, and didn't give me a hard time. That one hurt, as I was so excited about it, but it would have been much worse if money had already changed hands.
 
This has become a real delima for me. I NEVER used to take deposits.... But I recently have on CUSTOM one off orders, if I don't know the person ordering the knife. The reason being that when I take an order, I give a pretty specific date for delivery. I may pass on an order from someone else because I already have my time filled up. Or I may lose an order because someone doesn't want to wait as long as I may think they need to, based on orders I already have on my books.
Then when the order gets filled, the person who originally placed the order decides he has changed his mind or for whatever reason no longer wants the knife.
I do give a full money back guarantee with all my knives. If for whatever reason, the knife is not everything you expect it to be when you receive it, you get your money back.
Some may say then why bother with a deposit then if you are willing to give the money back if the person buying it is not happy with the knife??
It just seems to weed out the people who aren't really serious or are impulsive about an order and my have buyers remorse.
I will also say that I have never had anyone send back a knife I have built for them.. I hope that is because I give everyone at least as much or more than they expected when they placed their order.
This is just a business practice, that I have recently began using. If someone can convince me that it is a bad practice, or that I am losing business because of it, I will change. But for now at least it seems to be working for me. So far, I do not believe I have lost any orders due to asking for a deposit. Quite to the contrary, many have told me that the deposit seems fair to them.

I think this issue is a delima for many makers and the only thing that makes this whole thing work for everyone, makers and buyers, is our honesty and integrity. Both are traits I refuse to compromise!!

Just my 2 cents worth...


Steve
 
We don't take deposits on knives or prepayments on materials.


Just curious, how many knives you make that has $4000 to $5000 in gold? Must be nice to be able to lay out that kind of cash , especially on a custom orderthat may take a couple of months to make. If it is a standard knife that may be ok.
 
We don't take deposits on knives or prepayments on materials.


Just curious, how many knives you make that has $4000 to $5000 in gold? Must be nice to be able to lay out that kind of cash , especially on a custom orderthat may take a couple of months to make. If it is a standard knife that may be ok.

I'm not entirely sure what this statement is supposed to contribute?
 
I have no problem paying a reasonable (say, 10%) deposit on a knife. If I request expensive materials, I am willing to pay for those up front. Makers that ask for 50 to 100% up front are never going to get an order from me.
 
In 1989, a maker charged me full price up front for one of his standard models, which he said had a six month delivery time. 3 1/2 years later I got it.

Put me off custom orders until this year.

I had a special order Wilson Tactical about a year ago, ordered through a local shop. Nothing up front required, knife arrived in good time and I paid the dealer.

In March I ordered a Rob Patton knife, for which he required a $300 deposit, with the balance to be paid when he actually began work on the knife. He has a good rep, so I went ahead. It arrived on schedule and I'm happy with it.

Just ordered a Craig Camerer knife, no deposit required.

So, kind of a mixed bag. As stated before, if a deposit is required, do your research and make sure they have a solid reputation.
 
This is a subject that has recently hit home with me, and I am currently struggling with an answer.

I have never taken deposits, however, due to some recent events, I am considering it. In the month of October, I had 4 knives scheduled for delivery, two knives each, from two different clients. Two of the four knives were completed, and then within two days of each other, I get emails from each of the clients, stating that they were canceling their orders. No explanations, no "sorrys", just "cancel my order". When I emailed I got no response from either, and after leaving a couple of messages for each, got no return calls.
That pretty much represented my income for the month of October...I'm not whining, just stating facts. My thought is that had I required a deposit, whatever the amount, it might have made the individuals stick to the deal. I can assure you that if either of those individual every place an order with me again, I will require full payment in advance.

I'm mulling it over.....November is usually when I do a full update on my website, and make any policy changes. My thought right now is that I will still take orders without a deposit, but prior to starting the knife, I will require some type of deposit (not sure exactly what yet). I have always trusted everyone, and not taken deposits, but being "messed over" like that, it makes me believe that the Maker needs a bit of leverage to ensure they don't get taken for a ride. Of course all the knives will still come with a money back policy of satisfaction, but hopefully a deposit of some type will help the client stick to the deal.
 
I always ask makers to let me know when they are about to start my knife so that I can send payment in full. That way, when the knife is ready to ship, the maker has been paid and there are no delays.
 
I never ask for a deposit on a knife. I usually give an estimated delivery time.
I do this for several reasons. I don't make knives full time.I only have week-ends. If for what-ever reason I am out of the shop for a day, that doesn't put me a day behind it puts me a week behind. I feel if I accept a deposit I am more bound to that delivery time. I also give top priority to our troops overseas. If your order is next up to start and I get an order from a serviceman / or woman, theirs is now next up. I explain this thoroughly to the customer at the time of order. That said I do try as hard as possible to meet my delivery time.
 
IF a knife has gold, jewels or unusual material(ivory costing a fortune, top quality black lip, gold quartz) I think that a deposit in the ACTUAL amount of material cost is warranted....other than that...

If you don't know the collector, and it is a WAY oddball design, then why are you considering the order....would it not be better to focus on work in your "chosen" style that could readily be sold? I understand stretching the boundaries of your art, but if that is really the case, the "benefactor" or "patron" should be paying a deposit, and continuing to pay until the knife is done, with a commitment to purchase, barring some complete meltdown of skills or material failure.

Every order placed by a serious collector, and confirmed by maker in advance of completion SHOULD be set in stone, if I was a maker that did not have this level of trust with the collector, I would walk away from it, and vice versa.

Best Regards,

STeven Garsson
 
What I stated was our policy as it pertains to deposits and prepayments. I see no need to change it. One thing we are pretty particular about is finding out who our customers are, particularly on our top end knives. :D
 
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