How to Accept and Fund a Direct Contract | Client
How can freelancers send contract proposals to clients who aren’t on Upworks yet?? What should you do accept and fund a direct contract after receiving a contract via email?
Through Direct Contracts, you can craft and dispatch contract proposals to clients who haven’t joined upwork. Similar to your existing contracts on upwork, these proposals can be either fixed-price or hourly contracts. You’ll initiate the invitation process by sending an email to your client. Should your client choose to accept your invitation, they’ll be required to establish an Upwork account and approve your proposal.
With Direct Contracts, you can work easily with over 100 independent clients from different countries. Upworks provides many support features like an escrow service and secure payments.
Direct Contracts with Clients
What are Direct Contracts?
Direct Contracts on Upwork allow freelancers to invite clients who do not have an account to collaborate on projects within the platform. This feature provides freelancers with the opportunity to benefit from reduced freelancer service fees while offering clients the advantages of Upwork’s escrow protection, streamlined contract management, and dispute resolution support.
How Direct Contracts Works:
- Inviting Clients: Freelancers can create and send contract proposals to clients via email. Clients who wish to accept the invitation must create an account and agree to the proposed contract terms.
- Contract Initiation: Once a client signs up for it and accepts the proposal, the contract operates similarly to other Marketplace contracts. However, freelancers pay a reduced freelancer service fee of 5% on the earnings from Direct Contracts.
- Ongoing Management: Freelancers can monitor pending contracts on the Direct Contracts page. After a client accepts a contract, it appears on the freelancer’s All Contracts page. To continue benefiting from the reduced service fee, freelancers must initiate future contracts with the same client through the Direct Contracts page.
Upwork Direct Contract Client Fee
It charges a service fee to freelancers based on their lifetime billings with a specific client. Here’s how the Upwork direct contract fee structure typically works:
- Contract initiation fee: Up to $9.95 per contract.
- Marketplace fee: 5% of the value of the contract if paid with a card or PayPal. If eligible to use a bank account, the fee is reduced to 3%.
For example:
- If the contract value is $100 USD and paid with a card or PayPal, the marketplace fee would be $5 USD.
- If the same contract is paid with a bank account, the marketplace fee would be $3 USD.
These fees are subject to change, so it’s always advisable to refer to Upwork’s website or contact Upworks support for the most current fee structure and any updates.
Accept and Fund a Direct Contract
Fellow step-by-step guide to accepting and funding a direct contract.
Freelancer Send Contract
Step 1: Freelancers will send you Direct Contracts via email. With the key information, including the contract amount, title, description, and contract type.
Client check email to view contract
Step 2: The contract email from Upwork includes important contract details, such as your freelancer’s name. You will have the option to either Accept and Fund Contract or Decline.
Note: For security reasons, we request that you confirm your email with a brief 6-digit code before proceeding with the complete review.
Accept and Fund Contract
Step 3: After reviewing the complete contract details, kindly sign up for an Upworks account to accept the contract. Fill in your name or company name, tagline, description, and website URL (please refrain from including email addresses, phone numbers, or chat IDs). Next, you can sign and accept the contract to get started.
You will have the option to either Accept and Fund Contract or Decline.
Client Enter Billing details
Step 4: Enter the billing method for funding. Upworks accepts payments via PayPal and credit cards. If you are based in the U.S., you may also be eligible to utilize a bank account for payment. Select your preferred method to proceed.
Contract Start
Step 5: Congratulations! Both you and your freelancer will receive confirmation emails from Upwork, and your contract will officially begin.
Step 6: Now when work is done, freelancers send payment request and client approve it by click on email.
Conclusions: Accept and Fund a Direct Contract
To accept and fund a direct contract, thoroughly assess its cost-effectiveness, quality, expertise, and alignment with organizational goals. Document the decision-making process transparently, communicate it effectively, and establish monitoring mechanisms to ensure successful implementation and adherence to contractual obligations.
Frequently asked questions
Can I start more contracts with my freelancer after I accept their DIrect Contract invitation?
Yes, you can start more contracts with your freelancer after accepting their Direct Contracts invitation. However, it’s important to note that the freelancer who invited you to Direct Contracts needs to initiate all your contracts together to receive discounted freelancer service fees. If you wish to work with other freelancers on Upworks, you’ll need to initiate those contracts separately by posting a job or making a direct offer to them.
What’s the cost for clients to use Upwork’s Direct Contracts?
The cost for clients to use Upwork’s Direct Contracts includes:
Contract initiation fee: Up to $9.95 per contract.
Marketplace fee: 5% of the value of the contract if paying with a card or PayPal. If eligible to pay with a bank account, the fee is reduced to 3%.
Do I log time for Direct Contracts in the Time Tracker?
Yes, you’ll log time for Direct Contracts in the Time Tracker, just like for other contracts.
Can the client submit feedback for this contract?
Yes, you and your client can share feedback on Direct Contracts.