Contracting & Deposit
*********************

The Contracting & Deposit SOP defines the standardized process for formalizing agreements with
clients after a quote has been approved. This step ensures that Maryland Productions and Event
Revolution have a clear, written contract in place before equipment prep, scheduling, or financial
commitments begin.

A consistent contracting process protects the company, sets expectations with clients, and prevents
misunderstandings during production.


Purpose
=======

- Ensure every job is backed by a signed agreement before work begins.
- Clearly establish financial, scheduling, and scope commitments.
- Prevent unapproved work or unpaid jobs.
- Provide project managers with legal and operational clarity.
- Maintain consistent business practices across MP and RV.


Who Handles Contracting
=======================

- Sales Staff
- Project Managers
- Administrative / Office Staff
- AVisionary (for smaller rental jobs)

All contracting and deposit handling must follow internal approval requirements.


When a Contract is Required
===========================

A contract **is required** for:

- Any full production job  
- Any rental over the internal threshold (typically $500+)  
- Any job with custom fabrication or subrentals  
- Any multi-day or multi-venue job  
- Any client that is new or has an uncertain payment history  

A contract is *strongly recommended* for smaller rentals unless the client is trusted and in good
standing.


Contracting Procedure
=====================

1. Prepare the Contract
-----------------------

1. Open the approved quote in Current RMS (MP) or Flex (RV).
2. Convert the quote into a contract document.
3. Confirm:
   - Client name  
   - Full event details  
   - Venue address  
   - Load-in/load-out dates  
   - Equipment list  
   - Labor estimates  
   - Payment terms  
   - Cancellation terms  
4. Add additional clauses if required (e.g., weather, outdoor events, venue restrictions).

Double-check spelling, dates, and figures.


2. Send Contract to Client
--------------------------

Send via:
- Current RMS contract link
- Flex-generated PDF
- Email attachment if needed

The email should:
- Thank the client  
- Summarize the contract  
- Highlight signature and deposit requirements  
- Provide next steps  

Important:  
**Do not begin warehouse prep or scheduling until the contract is signed.**


3. Deposit Collection
---------------------

Deposits protect against cancellations and secure equipment and crew.

Standard MP/RV deposit rules:
- 50% deposit for most production jobs  
- Lower deposits may be accepted for returning clients  
- Higher deposits may be required for high-risk or short-notice events  

Acceptable payment methods:
- Credit card  
- ACH  
- Check  
- Wire transfer  

Deposit must be recorded in:
- Current RMS (MP)
- Flex or accounting system (RV)
- Job notes (both companies)

A job is only considered officially **Confirmed** once:
- Contract is signed  
- Deposit is collected (unless waived by leadership)  


4. Contract Confirmation
------------------------

Once the client signs and deposit is received:

1. Change job status to **Confirmed**.
2. Lock inventory for the job in Flex or Current RMS.
3. Notify:
   - Warehouse manager  
   - Logistics coordinator  
   - Assigned technicians or leads  
4. Add the job to:
   - The logistics calendar  
   - Warehouse prep schedule  
   - Crew scheduling board  
5. Begin **Advancing**.


5. Handling Contract Revisions
------------------------------

If the client requests changes:

- Update the quote or contract.
- Re-send revised contract.
- Ask the client to sign the new version.
- Record the change in job notes.
- Adjust pricing as necessary.

Never treat verbal agreements as binding—**all changes must be written.**


6. Contract Storage & Documentation
-----------------------------------

Once signed:

- Store a copy in the job folder.
- Save in Current RMS/Flex under “Documents.”
- If signed physically, scan and upload.
- Archive older versions for reference.


Financial Terms
===============

Contracts must clearly include:

- Deposit amount  
- Remaining balance and due dates  
- Overtime or additional labor rates  
- Travel or per diem rules  
- Cancellation policy  
- Weather or force majeure clauses (as needed)  

Any deviation from standard terms must be approved by management.


Quality Control
===============

- No job proceeds to warehouse prep without a signed contract.
- All financial terms must match what was quoted.
- Contract language must remain consistent across PMs and sales staff.
- Deposits must be recorded accurately for accounting.
- Review all revisions for accuracy before sending.


Troubleshooting & Exceptions
============================

**Client refuses to sign a contract**  
- Politely explain that MP/RV cannot proceed without a signed agreement.

**Client wants to start work before signing**  
- Decline until the contract is completed.  
- Escalate to management if necessary.

**Client needs the contract urgently**  
- Prioritize formatting and review.  
- Flag as *Urgent* in internal communications.

**Client disputes pricing after contracting**  
- Refer to the signed agreement.  
- Prepare revised quotes if adjustments are agreed upon.

**Last-minute bookings**  
- Collect payment-in-full instead of deposit if contracting time is tight.