Special order involves few things such as expectation, time and money. So it is a matter of mutual understanding, trust and respect between the one who made the order and the knife-maker.
Upfront payment either in the form of a deposit or a full payment is alright if it is agreed by both parties and justified with the time frame and the reasoning.
At one time, a maker asked me to pay a 25% of the pricing as a deposit just because the knife is a one off and he might face a problem of selling it if I suddenly back off. I did pay the deposit and he finished the knife in the promised time.
At another time, a maker refused to take any upfront payment at all. And he finished the knife in the promised time. And the payment was sent just before he shipped the knife.
Once, about two years ago (i.e. Feb, 2008) I logged a special order of a hawk from a maker in Maine and he asked for a full upfront payment because his wife and his son needed fund for a Appalachian Trail hike. So I sent him the full payment. After few emails then suddenly there was no more news from him at all. I tracked his activity in the internet and it seems there is no more internet activity for him since that date till now. So, I guess he might be facing some very bad problem. And I hope he could solve it and make a come back. Anyhow it's very much better if he could frankly let me know about his problem and I don't have to left in the dark. After all money is not everything
In another time, I logged a special order from a maker. No upfront payment at all. Anyhow when it was about the time to start the project suddenly I faced a financial problem. I sent an email to let him know about my problem and he just understandingly canceled the order.
In my dealing with knife makers so far, I found out that about 60% refused to take any upfront payment, about 30% requested a deposit and less than 10% requested a full payment.
So, which one is the better practice .. to do or not to do an upfront payment? It depends! The risks and the impacts of any of those both practices financially and mentally are on both sides! And as I said earlier the key of this issue is very dependence on the mutual understanding, trust and respect of both parties.
Just my 2 cents
Mohd.