Why it works
The customer pays up front and gets a predictable cost; you get recurring revenue and are paid before you work. Both sides come out ahead if the rules are clear.
Four things to put in writing
- What draws down the bank and what does not. Travel? A diagnosis that ends in “not our problem”? A five-minute call?
- The minimum billing increment. If it is half an hour, a five-minute question uses half an hour. Say so before, not after.
- What happens to unused hours. Do they expire? Do they roll over? For how long?
- Who sees the balance and how often.
The usual mistake
Not showing the balance to the customer. If only you know how many hours are left, every renewal turns into an argument and the customer is suspicious even when you are right.