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  • 1.  Question RE QA/RA Consultant Retainer/Fees

    This message was posted by a user wishing to remain anonymous
    Posted 30-Dec-2021 15:23
    This message was posted by a user wishing to remain anonymous

    Greetings,

    I am leaving my current full-time permanent position as Director, QA/RA for a small medical device company. This leaves the company headcount at 5 FTEs with none of those employees having any QA/RA experience.

    I have agreed to consult for them on quality and regulatory matters including serving as their PRRC, GUIDID Coordinator/LDE, and EUDAMED LAA. Will also take care of Management Rep activities, but will not be appointed the role as the FDA and NBs frown upon it.

    My question is this:

    Is it best practice to request a retainer fee and an hourly fee? Or, do most consultants only charge an hourly rate? 

    My thanks in advance.


  • 2.  RE: Question RE QA/RA Consultant Retainer/Fees

    Posted 31-Dec-2021 07:48
    Happy New Years Eve!

    I think you will find a variety out there in regards to your question.  A lot depends upon the arrangement you are making with your former employer.  If they are seeking dedicated time from you (e.g., 20 hrs a week) and want you to be available at any time, you could float a retainer to protect you; however, my last couple of years consulting (mind you, not for small device companies) I have had no clients out of 6-8 during that time that were willing to pay a retainer.  Rather, they just wanted to pay me based on invoiced hours spent working for them. 

    Sometimes, it also is a personal situation thing - can you afford waiting for payments to come in 30-45 days after the month in which you worked?  

    Discuss with their finance person or whomever is your remaining main point of contact.   Honestly, a company with 5 FTEs sounds a bit tenuous, so I'd at least ask for an initial deposit/retainer up front to cover you for a quarter or more.   I'm sure there are other ideas out there from other consultants who will hopefully contribute here.

    ------------------------------
    Glenn Byrd, MBA
    President, GByrd Ad-Promo Solutions, LLC
    Chairman, RAPS Board of Directors
    United States
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    Original Message


  • 3.  RE: Question RE QA/RA Consultant Retainer/Fees

    Posted 31-Dec-2021 08:35
    We charge three ways:  Retainer, hourly and by project.  Short term can be by hourly and project fees.  By project we usually request commencement fee of 25 to 50 %.  The situation you mention we would use the retainer or hourly structure. 

    All the best,

    Bob

    Robert Schiff, PhD, RAC, CQA, FRAPS
    President and CEO
    Schiff & Company, Inc.
    583 Mountain Avenue
    North Caldwell, NJ 07006

    Tel  973-568-3361
    www.SchiffandCompany.com

    Celebrating 39 Years (1982-2021) of service in Compliance, Regulatory Affairs and Clinical Research




    Original Message


  • 4.  RE: Question RE QA/RA Consultant Retainer/Fees

    Posted 31-Dec-2021 10:02
    Even small companies may sometimes prefer a monthly retainer contract as they then know what your services will cost over the near term and  you are available as needed. The benefit for you is a reliable monthly income during the term of the retainer contract. A combination of retainer and hourly contacts can be an ideal  for your consulting income.

    Understand that some months you my do more work than the retainer fee provides but this is balanced by the other months where you do less work.

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    Michael Evelegh RAC
    President
    Dundas ON
    Canada
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    Original Message


  • 5.  RE: Question RE QA/RA Consultant Retainer/Fees

    This message was posted by a user wishing to remain anonymous
    Posted 31-Dec-2021 12:12
    This message was posted by a user wishing to remain anonymous

    To Whom it May Concern,

    I am a consultant also. I require a retain upwards of 10-15% of the overall potential cost of the project. I do this because clients in the past have either put the project on hold or go in some alternative direction. I also charge an hourly rate, and don't be afraid to reach high. They need you more than you really need them.
    Original Message


  • 6.  RE: Question RE QA/RA Consultant Retainer/Fees

    Posted 05-Jan-2022 10:44
    I had a somewhat similar situation - I retired when the company was looking to cut costs, but they wanted me to stay on as CtO on a contract basis. In my situation, where I was not overly concerned about the company failing quickly (though they were venture funded), I simply created an S-Corp and signed a yearly contract with the company that spells out activities and rates. We did not do a retainer or any "promise" on hours, nor did I agree to limits. We do, however, have a "handshake agreement" on a target range for hours in a typical month. This works because the CEO and I go back a long way, and we trust each other not to "overbill" or to "not pay." I bill monthly with payment terms +30 and they have always paid my invoices promptly. I also do take on a limited number of other clients (hey, in my case my goal was to have more free time anyway)

    Your situation may be different regarding confidence in the organization, amount of work needed etc. Thus you may choose to reach a different arrangement that better fits the situation, but this certainly has worked for me.

    g-

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    Ginger Glaser RAC
    Chief Technology Officer
    MN
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    Original Message


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