Can you help me understand this? English isnt my first language.?
Before sending in this application, we ask that you understand that upfront fees to work with us start at $18,000 USD for our first quarter of work together. The final fee we quote for you will be based on the value we're capable of providing for your business."
How much will the final fee be? Are they saying if they are able to help me make 100k, they'll get some of it?
- RPLv 72 months ago
There is no indication of how much the final fee is, but they are indicating there is an upfront or advance fee of $18K that will cover the first quarter of their work with you. Apparently, they will determine the amount of their final fee based on the work done during that first quarter.
- busterwasmycatLv 72 months ago
They are saying that you won't get anything from them except if you give them $18K. They will come up with some more reasons to charge you additional money once they have had time to see what all your business can benefit from or will need to change or have done. It could be nothing at all, or it could be a quite a large amount of additional money. They do not make any guarantees that I can see.
I am not sure that I would be all that happy signing on to this sort of situation, but there are some things that do have to get done where total eventual cost cannot be evaluated up front (it will take work to even figure that out; engineering and environmental work often has this sort of problem: can't say what it will cost until we see how big the problem actually is).
If you are paying $18K though, I would make certain that you define NOW what they will give you in return. Reports, evaluations, something concrete that will be worth that large sum of money.
They are not saying anything at all about percentages of earnings or cost reductions. I would assume that they would have given you a schedule of costs (fees, manpower, materials, etc.) so you could sort of evaluate that yourself. Not wise to sign a blank check when you have nothing guaranteed for it.
- LaurieLv 72 months ago
They are saying that they require an $18,000 fee to begin working for you for three months only. They reserve the right to charge you whatever they want. They have not specified the final fee. I would NOT do business with them unless I have a complete contract, specifying exactly what they will do for a specific fee. Their “fee” should not be a function f how much money you make.
- BookbinderLv 72 months ago
"How much will the final fee be?" The amount of the final fee will be based on how much work they can do for your business. The short answer to your question is this: they don't say exactly how much the fee will be.
"...if they are able to help me make $100k, they'll get some of it?" No, they're not saying that. What they are saying is that they will charge you a fee - and that doesn't mean a commission - upfront, and the exact amount of that fee depends on the value of the work that they do. They have not yet quoted any exact figures; that will probably come later, after you have signed up to work with them.