Interior design projects carry two kinds of money: your design fee, and the client's money flowing through you to furniture makers, fabric houses and workrooms. Most disputes start with the second kind. A sofa takes 14 weeks instead of 8, a custom rug arrives a shade darker than the sample, the client decides they want the other chair after the order is placed. The contract has to settle, in advance, who carries those risks.
This template is built for residential and small commercial designers who handle both design and procurement. It separates the design fee from purchasing, spells out markup, and makes written approval the trigger for every order.
TL;DR
The interior design contract template covers project phases, design fee model, procurement with disclosed markup, client deposits on furnishings, written purchase approvals, returns on custom items, site-visit limits, contractor coordination, and photography rights. Send it after the client accepts your proposal and before the measure visit. Require full payment for each furnishing order before you place it, and state your markup in a number.
What's inside
- Project and spaces — the address, the rooms in scope and the target completion window.
- Design phases — concept, design development, procurement and installation, with what each delivers.
- Design fee — flat, hourly, percentage or hybrid, with a payment schedule by phase.
- Procurement and markup — how you price furnishings, what the client pays up front, and freight and receiving costs.
- Approvals, returns and lead times — written approval per order, custom-item rules and delay language.
- Site visits and meetings — the number included and the hourly rate beyond that.
- Contractors and trades — coordination only, no supervision of construction or permits.
- Photography and credit — the right to photograph the finished space.
- Cancellation and general terms — termination, liability limits and governing law.
When to use it
Use it for any project where you will buy or specify furnishings for the client: a full home, a single room makeover with purchasing, a boutique hotel lobby, or a restaurant fit-out. Pair it with the interior design proposal that sold the job and the client intake form you used to gather the brief.
For a one-off color consultation or an e-design package where the client buys everything themselves, this contract is heavier than you need. A short service contract covering fee, deliverables and usage of your design boards will do.
How to set the design fee and markup
Designers mix these models, so the contract lets you pick one or combine them:
- Flat design fee by phase. Easy to sell and easy to forecast. Bill a portion on signing and the rest as each phase is approved.
- Hourly. Common for smaller residential jobs and for revisions beyond scope. Give an estimate range and require approval before you exceed it.
- Percentage of project cost. Often used on larger renovations where the designer's involvement scales with the budget.
- Procurement markup. Many designers add a markup to their trade price on furnishings and accessories. Ranges of 15-35% are typical, but what matters is that the number is in the contract. Some designers instead pass trade pricing through and charge a flat procurement fee.
Freight, receiving, warehouse storage, white-glove delivery and installation labor are real costs. List them as client costs, billed at actual cost or with your standard markup, so they don't come out of your fee.
Procurement clauses you need
Payment before ordering. Collect 100% of the item cost (or at minimum the vendor's deposit plus your markup) before you place an order. Never fund a client's furniture on your own card.
Written approval per item. Use a purchase approval sheet listing item, finish, quantity, lead time and price. The client signs each one. That signature is what protects you when they later say they never agreed to the walnut finish.
Custom items are final. Made-to-order upholstery, custom drapery, rugs and millwork usually can't be cancelled once in production. Say so, and say that natural variation in wood, stone and hand-dyed fabrics is not a defect.
Lead times are estimates. Vendor delays are outside your control. Commit to tracking and reporting, not to dates.
Customize it in your COLO workspace
Save the agreement as a contract template in COLO Contracts. Clients sign in the client portal with a typed name or signature image, and you can add your company signature before sending.
Run the job as a project in COLO project management, with tasks for each phase, files for floor plans and approved selections, and comments for decisions. Invoice the design fee and each furnishing order separately with line items and tax, and record freight or sample costs as expenses linked to the project.
Common mistakes
- Blending the design fee with procurement. Two separate invoices make it obvious what the client is paying you versus what they are paying for goods.
- Undisclosed markup. It feels awkward to write down; it feels much worse when a client finds the trade price online.
- Verbal approvals. A text saying "love it" is not an approval of finish, quantity and price.
- Unlimited site visits. Each extra visit is two to three hours with travel. Put a number in the contract.
- Accepting contractor liability. Coordinate trades; don't supervise them unless you are licensed and insured to do so.
FAQ
Q: How do interior designers usually charge?
The common models are a flat design fee, an hourly rate, a percentage of the total project cost, or a design fee plus a markup on furnishings purchased through the designer. Many designers combine a flat design fee with a procurement markup.
Q: Should I disclose my markup on furniture?
Yes. State in the contract whether you sell at retail, at your trade price plus a stated markup, or pass trade pricing through for a procurement fee. Clients who discover an undisclosed markup later rarely hire you again.
Q: What happens if a custom piece arrives and the client doesn't like it?
Custom and made-to-order items are usually non-cancellable and non-returnable once ordered. The contract should say so clearly and require the client to approve each purchase in writing before you place the order.
Q: Am I responsible for the contractor's work?
Not unless you agree to be. Most designers coordinate with contractors but do not supervise construction, pull permits or guarantee trade workmanship. Say that plainly, and have the client hire trades directly.
Q: How many site visits should the fee include?
Set a number tied to the project phase, such as one measure visit, two visits during installation and one final walkthrough, then charge additional visits hourly. Unlimited site visits are where design fees quietly disappear.
Related
More on running design projects end to end: COLO for interior designers.