sheet 2·money and payments
Deposit or full payment? How to choose for workshops and lessons
Take full payment at booking for a single lesson, workshop or activity up to about 100 euros: it is simple for the guest and you have nothing to chase. Use a deposit for expensive, multi-day or group bookings that come in months ahead, and collect the balance a few weeks before the start. That keeps the step to book small and still protects you from empty places.
What is the difference between a deposit and full payment?
With full payment the guest pays the whole price when booking. With a deposit they pay a part, say 30 percent or a fixed amount, and the rest later. That balance has a due date, usually a number of days or weeks before the start.
A deposit is an advance on the price. When a guest cancels, your cancellation terms decide what you keep. So deposits and cancellation terms belong together: settle one and you need to write down the other.
When should you take full payment?
Full payment works best when the booking is short and close:
- a single lesson or workshop of half a day;
- a booking that takes place within a few weeks;
- an amount a guest pays without a second thought;
- an activity with few places, where a no-show costs you money straight away.
It also saves you admin. There is no second payment, no reminder and no guest settling up on the day.
When is a deposit the better choice?
A deposit lowers the threshold for large amounts. A family booking a 450-euro surf camp per child in January for July would rather pay part now and the rest just before summer. The same goes for a team outing for twenty people or a ten-week course.
It helps you too. You know early who is serious, you have money in for materials or a venue, and a guest who has paid something is less likely not to turn up.
How much deposit is normal?
There is no legal standard for services; it is your choice. These rules of thumb work for most small businesses with lessons and activities:
| Type of booking | Price | Advice |
|---|---|---|
| Single lesson or workshop | up to about 100 euros | everything at booking |
| Private lesson or time slot | up to about 150 euros | everything at booking |
| Multi-day course or camp | 150 to 1,000 euros | 25 to 50 percent at booking, balance 2 to 4 weeks before the start |
| Group booking or team outing | from about 500 euros | fixed amount or 30 percent at booking, balance before the start or by invoice |
| Booked less than 2 to 4 weeks ahead | any amount | everything at booking |
The last row matters. When someone books a camp two weeks ahead, the due date for the balance is already in the past. Ask for everything at once.
Can you ask a consumer to pay everything up front?
For a service, yes. In the Netherlands, article 7:26 of the Civil Code says a consumer buying goods cannot be required to pay more than half in advance. That article is about consumer sales: buying goods. A lesson, workshop or activity is a service, and the article sets no such limit for services. When you also sell goods alongside the lesson, such as a wetsuit or a pottery kit, the rule does apply to that part. Other EU countries have their own rules, so check them when you sell there, and have a lawyer read your terms when in doubt.
Tell the guest clearly what they pay and when: on the page of the activity, in the payment step and in the confirmation.
Is a deposit refundable when a guest cancels?
You decide that in your cancellation terms. A common set-up: up to a few weeks before the start you keep the deposit, after that you charge a higher percentage or the full price. Write it down per period, so the guest sees it before booking and you never have to negotiate after a cancellation.
Setting this up in Superota
Per activity you choose how guests pay. There are four options: no deposit (everything up front), a fixed amount, a percentage, or a payment schedule in instalments, for example 30 percent at booking and the rest 30 days before the start. You can also set a threshold: up to that total the guest pays everything at booking, above it the schedule applies.
On the last booking step the guest chooses between the deposit and the full amount. Payments go through your own Stripe account. For the balance the guest gets a reminder by itself, 14 and 3 days before the due date, with a button to pay online. Three days after the due date an overdue notice is ready for you. It only goes out when you click send, so you can call a regular guest first.
Questions and answers
- How much deposit is normal for a workshop or course?
- There is no legal standard. In practice 25 to 50 percent works well for multi-day courses, camps and group bookings. For a single lesson or workshop up to about 100 euros, full payment at booking is more common and simpler.
- Can I ask guests to pay everything up front?
- For a single lesson, workshop or activity, full payment at booking is the simplest choice; say so clearly before the guest books. The Dutch rule that consumers pay at most half in advance (article 7:26 of the Civil Code) is about the sale of goods.
- Is a deposit refundable when a guest cancels?
- Your cancellation terms decide that. Set out per period what the guest pays, for example the deposit up to four weeks before the start and a higher percentage after that, and show those terms when the guest books.
- When should the balance be due?
- A few weeks before the start, so you still have time to call the guest or resell the place if the money does not arrive. Two to four weeks works for most lessons and camps.