An interior design contract covers the design scope by room/phase, fee structures (flat fees per room $2,000–$12,000+, hourly $100–$300, or percentage of project 10–30%), the procurement model (designer purchases at trade discount and charges client retail-or-cost-plus — markup disclosure is the trust clause), furnishings budgets separate from design fees, revision rounds per phase, contractor coordination boundaries (designers design; contractors build under their own contracts), installation day terms, and return/custom-order policies (custom upholstery is non-returnable, stated up front).
Interior Design Contract Template
Reviewed by the Agiled editorial teamUpdated June 2026
Interior design contracts manage two budgets that clients persistently merge: the design fee (the expertise) and the furnishings budget (the stuff) — often...
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Full template text
INTERIOR DESIGN SERVICES AGREEMENT
This Interior Design Services Agreement ("Agreement") is entered into as of [Effective Date] by and between:
Designer: [Designer/Firm Legal Name], with principal place of business at [Address] ("Designer")
Client: [Client Legal Name], with address at [Address] ("Client")
Collectively referred to as the "Parties."
1. PROJECT DESCRIPTION
1.1 The Designer shall provide interior design services for the following property and spaces:
(a) Property Address: [Address];
(b) Spaces Included: [living room, dining room, master bedroom, kitchen, office, commercial lobby, etc. — list all spaces];
(c) Project Objectives: [modernize the interior, create a cohesive residential aesthetic, design a functional commercial workspace, etc.].
1.2 Spaces and areas not listed above are excluded from this Agreement and may be added by written amendment at additional cost.
2. SCOPE OF SERVICES
2.1 The Designer shall provide the following services, organized by project phase:
Phase 1 — Programming and Consultation
(a) Initial on-site meeting to assess the space, discuss the Client's vision, lifestyle needs, and aesthetic preferences;
(b) Documentation of existing conditions including measurements, photography, and assessment of existing furnishings to be retained or replaced;
(c) Establishment of the project budget range and timeline.
Phase 2 — Concept Development
(a) Development of [2-3] design concepts including mood boards, color palettes, and preliminary layout options;
(b) Presentation of concepts to the Client for review and selection.
Phase 3 — Schematic Design
(a) Development of the selected concept into a detailed space plan with furniture layouts;
(b) Preliminary material, finish, and fixture selections;
(c) Presentation for Client approval.
Phase 4 — Design Development
(a) Detailed specification of all materials, finishes, furnishings, fixtures, lighting, window treatments, and accessories;
(b) Custom millwork or built-in design (if applicable);
(c) Detailed cost estimates for all specified products and materials;
(d) Presentation of final selections for Client approval.
Phase 5 — Procurement
(a) Ordering of all approved furnishings, materials, and fixtures from vendors and manufacturers;
(b) Management of vendor communications, order confirmations, and delivery coordination;
(c) Tracking of all orders through delivery and receipt;
(d) Inspection of received items for quality and accuracy.
Phase 6 — Installation and Styling
(a) Coordination of delivery and installation schedules;
(b) On-site oversight during key installation days;
(c) Final styling, accessorizing, and arrangement of all elements;
(d) Project walkthrough with the Client.
2.2 Services not listed above are excluded and may be added by written amendment.
3. CLIENT APPROVALS
3.1 The Client shall review and provide written approval at the following milestones before the Designer proceeds to the next phase:
(a) Concept selection (end of Phase 2);
(b) Space plan and preliminary selections (end of Phase 3);
(c) Final material and furnishing selections and cost estimates (end of Phase 4);
(d) Procurement authorization (beginning of Phase 5).
3.2 The Client shall provide feedback or approval within [10] business days of each presentation. Delays in Client approval shall extend the project timeline proportionally.
3.3 Once the Client approves a phase, changes that require reworking approved elements shall be treated as revisions subject to Section 8.
4. COMPENSATION
4.1 The Designer shall be compensated as follows:
Option A — Flat Design Fee:
Design services fee: $[Amount] covering all phases described in Section 2. Product procurement is billed separately under Section 5.
Option B — Hourly Rate:
Design services billed at $[Rate] per hour. Estimated total hours: [Number]. Monthly invoices with time tracking provided.
Option C — Percentage of Project Cost:
Design fee equal to [percentage]% of the total project cost (design services, products, and installation combined). Estimated total project cost: $[Amount].
Option D — Cost-Plus:
Products and materials purchased at net (trade) price plus a [percentage]% markup. Design consultation services billed at $[Rate] per hour.
4.2 [Select applicable option and delete others, or use a hybrid as agreed.]
5. PRODUCT PROCUREMENT AND PURCHASING
5.1 Products, furnishings, materials, and fixtures shall be purchased through the Designer at [trade price plus [percentage]% markup / retail price less [percentage]% / other pricing structure].
5.2 The Client shall pay a deposit of [50]% of the product cost at the time each order is placed. The remaining balance is due upon delivery.
5.3 Product deposits paid to vendors are generally non-refundable. The Client acknowledges this risk and authorizes the Designer to place orders only after receiving Client approval under Section 3.
5.4 The Designer shall provide itemized proposals showing the cost of each item before placing orders. The Client must approve proposals in writing.
5.5 Lead times for custom and imported items may range from [4] to [16] weeks. The Designer shall communicate expected lead times but is not responsible for manufacturer or shipping delays beyond the Designer's control.
5.6 The Client is responsible for all product costs, shipping fees, and applicable taxes.
6. BUDGET
6.1 The estimated total project budget is:
(a) Design fees: $[Amount];
(b) Product and material purchases: $[Amount];
(c) Contractor and installation costs (if applicable): $[Amount];
(d) Contingency ([10]%): $[Amount];
(e) Total estimated budget: $[Amount].
6.2 The Designer shall use commercially reasonable efforts to work within the approved budget. If project decisions or Client requests would exceed the budget, the Designer shall notify the Client before proceeding.
6.3 The Designer is not a guarantor of vendor prices, which may fluctuate.
7. PAYMENT SCHEDULE
7.1 Payments shall be structured as follows:
(a) Retainer of $[Amount] due upon execution of this Agreement;
(b) Phase 2 completion: $[Amount];
(c) Phase 4 completion (design development approval): $[Amount];
(d) Product procurement deposits: as specified in Section 5.2;
(e) Final payment: $[Amount] due upon completion of installation and styling.
7.2 The Designer shall not proceed past the current phase until the corresponding payment is received.
7.3 Payments are due within [15] business days of invoicing.
7.4 Late payments shall accrue interest at [1.5]% per month and may result in project suspension.
8. DESIGN REVISIONS
8.1 The design fee includes:
(a) Phase 2: Up to [3] concept options;
(b) Phase 3: [1] round of space plan revisions;
(c) Phase 4: [1] round of material selection revisions.
8.2 Additional revision rounds shall be billed at $[Rate] per hour.
8.3 Changes to previously approved design elements that require rework of completed phases shall be treated as additional revisions and billed accordingly.
9. CONTRACTOR COORDINATION
9.1 The Designer's role with respect to contractors and tradespeople is [advisory / project management / limited review]:
(a) Advisory: The Designer provides design direction and reviews contractor proposals but does not manage the contractor relationship directly. The Client contracts with and pays contractors independently.
(b) Project Management: The Designer manages contractor selection, scheduling, and on-site supervision. [Additional fees may apply: $[Rate] per hour for on-site supervision.]
(c) Limited Review: The Designer reviews key installation milestones to ensure alignment with design specifications.
9.2 The Designer is not a licensed contractor and does not warrant or guarantee contractor work. The Client maintains a direct contractual relationship with all contractors.
10. INTELLECTUAL PROPERTY
10.1 The Designer retains ownership of all design concepts, drawings, renderings, specifications, and documentation ("Design Documents") created under this Agreement.
10.2 Upon full payment, the Client is granted a license to use the Design Documents for the implementation of the Project at the specified property.
10.3 The Client shall not reproduce, distribute, or use the Design Documents for other properties or projects without the Designer's prior written consent.
10.4 The Designer may use photographs and descriptions of the completed project in their portfolio, website, publications, and marketing materials.
11. CONFIDENTIALITY
11.1 The Designer shall maintain the confidentiality of the Client's personal information, property details, financial information, and any private matters observed during the project.
11.2 The Client shall not disclose the Designer's proprietary vendor relationships, trade pricing, or business methodologies.
11.3 This obligation survives termination for [2] years.
12. LIABILITY LIMITATION
12.1 The Designer's total liability under this Agreement shall not exceed the total design fees paid by the Client (excluding product costs).
12.2 The Designer shall not be liable for product defects, manufacturer errors, shipping damage, or contractor workmanship issues, though the Designer shall assist the Client in resolving such issues with vendors and contractors.
12.3 Neither Party shall be liable for indirect, consequential, or incidental damages.
13. INDEMNIFICATION
13.1 The Client shall indemnify the Designer against claims arising from the Client's property conditions, contractor work, or use of the space.
13.2 The Designer shall indemnify the Client against claims arising from the Designer's negligence or willful misconduct in performing the Services.
14. TERMINATION
14.1 Either Party may terminate this Agreement for convenience by providing [30] days' written notice.
14.2 Either Party may terminate immediately if the other Party materially breaches this Agreement and fails to cure within [15] days of written notice.
14.3 Upon termination: (a) the Client shall pay for all design services rendered and approved through the termination date; (b) the Client shall honor all product purchase commitments already placed with vendors; (c) the Designer shall deliver all Design Documents for work completed to date; (d) non-refundable vendor deposits remain the Client's responsibility.
15. FORCE MAJEURE
15.1 Neither Party shall be liable for delays caused by circumstances beyond their reasonable control, including natural disasters, pandemics, supply chain disruptions, or government orders.
15.2 The affected Party shall notify the other promptly and the Parties shall adjust the timeline accordingly.
16. GOVERNING LAW AND DISPUTE RESOLUTION
16.1 This Agreement shall be governed by the laws of the State of [State].
16.2 Disputes shall first be submitted to mediation. If unresolved within [30] days, disputes shall be resolved by binding arbitration in [City, State].
17. GENERAL PROVISIONS
17.1 This Agreement constitutes the entire agreement between the Parties.
17.2 Amendments require written agreement by both Parties.
17.3 Unenforceable provisions do not affect the remainder.
17.4 Assignment requires prior written consent.
17.5 Notices shall be in writing to the addresses stated above.
IN WITNESS WHEREOF, the Parties execute this Agreement as of the Effective Date.
DESIGNER:
Signature: ___________________________
Name: [Designer Name]
Firm: [Firm Name]
Date: ___________________________
CLIENT:
Signature: ___________________________
Name: [Client Name]
Date: ___________________________
- Flat fee per room
- $2,000 – $12,000+
- Hourly
- $100 – $300
- Procurement markup
- Disclosed cost-plus or retail
- Custom orders
- Non-returnable, non-refundable
What your interior design contract should cover
Scope by room and phase
Rooms/areas in scope, the deliverables per phase (concept boards, space plans, finish schedules, furnishing specifications, procurement, installation), and what's excluded: architecture, structural work, and contractor management beyond stated coordination.
Fee structure
Flat per-room or per-project fees, hourly ($100–$300) with estimates per phase, or percentage of total project cost (10–30%) — with the percentage's base defined (furnishings only, or construction too). Hybrids are common: flat design fee plus procurement margins, both disclosed.
The procurement model, disclosed
How buying works: the designer purchases through trade accounts (typically 20–40% off retail) and the client pays retail, cost-plus a stated percentage (15–35%), or net cost with a higher design fee. Any model works; the undisclosed one doesn't. The clause states which, in numbers.
Furnishings budget, separate
The furnishings/FF&E budget as its own number with client approval per item or per room, deposits collected before ordering (typically 100% for custom, 50–75% for stocked), and budget tracking shared at stated intervals.
Revisions per phase
Two rounds per phase (concept, design development) with consolidated feedback, additional rounds hourly, and the phase-gate rule: approval of concept locks direction — re-conceiving in design development is new work, not revision three.
Custom and special orders
Custom upholstery, casegoods, and cut-to-order window treatments are non-returnable and non-refundable once ordered — stated at proposal, restated at the deposit. Lead times quoted as vendor estimates (8–20 weeks is normal; the contract doesn't warrant a mill's calendar).
Contractor boundaries
The designer designs, specifies, and coordinates; contractors and tradespeople contract directly with the client and own their work's quality, permits, and warranties. The designer's site visits are observation for design intent, not construction supervision — the line that keeps design insurance design-priced.
Installation day
The reveal logistics: receiving and warehousing fees (5–10% of furnishings is common for white-glove receiving), installation crew terms, the client off-site convention if the designer stages a reveal, and damage/punch documentation at install.
Client responsibilities
Decisions by the schedule's dates (the 14-week sofa orders when approved, not when remembered), access for measures and installs, one decision-making voice per household (the contract can't fix a marriage's aesthetics, but it can require consolidated approvals), and prompt deposit payments — orders place on cleared funds.
Photography and portfolio
The designer photographs completed work for portfolio and publication, with the client's privacy terms (no address, no names) and a stated embargo if the project may be submitted to publications — shelter magazines require exclusivity windows.
Typical interior design terms (U.S., 2026)
| Item | Typical range | Notes |
|---|---|---|
| Flat fee per room | $2,000 – $12,000+ | Scope and market |
| Hourly rate | $100 – $300 | Principal vs staff rates |
| Percentage model | 10 – 30% of project | Base defined in contract |
| Trade discount | 20 – 40% off retail | Designer's accounts |
| Cost-plus markup | 15 – 35% | Disclosed in contract |
| Custom lead times | 8 – 20 weeks | Vendor estimates |
| Receiving/warehousing | 5 – 10% of furnishings | White-glove install |
Fee models vary by market and firm. The procurement-disclosure clause is the document's trust center — any margin model works when stated, none works hidden.
How interior design contracts work in practice
The full-service room design
Concept to installed reveal: the classic engagement. The arc the contract paces: concept boards (round one of revisions lives here — direction is cheap to change now), design development with the finish and furnishing specifications, client approval and deposits, the procurement window (where the designer's real labor is invisible — tracking 40 SKUs across 12 vendors and 16 weeks), receiving and inspection at the warehouse, and install day. The clauses that earn their keep: the phase gate (the client who approves the concept then pivots styles in week ten triggers new-work billing, not a free restart) and the lead-time honesty — the room finishes when the slowest custom piece arrives.
The markup conversation
The client Googles the fabric and finds it cheaper: the moment the procurement clause was written for. The disclosed model answers it before it's asked — the contract stated that furnishings bill at retail (or cost-plus 25%), the designer's trade discount funds the procurement labor (ordering, tracking, claims, receiving, install), and the client agreed to the model with numbers visible. The contrast case is the industry's reputation problem: undisclosed margins discovered mid-project converting a design relationship into an audit. Designers should also state the e-design alternative honestly: clients who want to purchase themselves can buy a spec list at a higher design fee — both models are legitimate; mixing them mid-project isn't.
The renovation collaboration
Design meets construction: a kitchen gut where the designer specifies and the GC builds. The boundary clauses do the structural work: the designer's drawings communicate design intent (the GC and its licensed trades own code compliance and means-and-methods), site visits are observational with reports, and the RFI lane routes contractor questions through a defined process rather than jobsite improvisation. Payment timing protects the design schedule too — design fees track design phases, not construction's weather delays. The classic failure this prevents: the designer drifting into de facto construction management, doing a contractor's coordination job on a designer's fee and a designer's insurance.
Mistakes that weaken a interior design contract
Hidden procurement margins
The undisclosed markup discovered via a Google search costs more trust than it ever earned in margin. State the model — retail, cost-plus-X, or net-plus-fee — in numbers, at signing.
Merging the fee and the furnishings budget
'$30k for the room' means different things to everyone at the table. The design fee and the FF&E budget are separate numbers with separate approval mechanics — the contract keeps them that way.
Ordering custom before cleared deposits
A custom sofa is the client's at the moment the mill cuts fabric — refundable to no one. 100% deposits on custom orders, collected before ordering, stated twice.
Becoming the unlicensed GC
Coordinating trades, directing means and methods, and supervising construction is contracting — with licensing and liability the design fee never priced. Designers design; the boundary clause is professional self-defense.
Unlimited concept revisions
Taste is infinite; the fee isn't. Two rounds per phase with a decision-maker named, then hourly — and concept approval as a true gate, because re-conceiving in week ten is a new project wearing the old one's budget.
How to use this template
- 01
Download the interior design contract template in Word or PDF.
- 02
Define scope by room and phase, with exclusions stated.
- 03
Choose the fee model and disclose the procurement markup in numbers.
- 04
Separate the furnishings budget with approval and deposit mechanics.
- 05
Set revision rounds per phase and the concept-approval gate.
- 06
Add contractor boundaries, install terms, and photography rights, then sign.
Skip this template if…
- Architectural or structural work — licensed architects and engineers carry that scope under their own agreements.
- Home staging for sale — short-term furniture rental and styling runs on a staging agreement with inventory and term mechanics.
FAQs
How much does an interior designer cost?
Flat fees run $2,000–$12,000+ per room, hourly rates $100–$300, and percentage models 10–30% of project cost — often hybridized with procurement margins. The furnishings budget is separate and typically 3–10× the design fee. The number that matters most is the disclosed procurement model: how furnishings bill against the designer's trade discounts.
How do interior designers make money on furniture?
Through trade accounts at 20–40% off retail: the client pays retail (designer keeps the spread), cost-plus a stated markup (15–35%), or net cost alongside a higher design fee. Every model is legitimate when disclosed in the contract with numbers — the margin funds real procurement labor: ordering, tracking, freight claims, receiving, and installation logistics.
Why are custom furniture orders non-refundable?
Because a sofa upholstered in your fabric to your dimensions has exactly one buyer. Custom upholstery, casegoods, and cut-to-order window treatments are non-returnable from the moment of ordering — which is why contracts collect 100% deposits on custom pieces before placing orders and quote lead times (8–20 weeks) as vendor estimates rather than promises.
Does an interior designer manage the contractor?
No — and the boundary is deliberate: designers specify design intent and observe for conformance, while contractors contract directly with the client and own code compliance, supervision, and warranties. A designer who drifts into directing construction is performing unlicensed contracting on design-rate insurance. Coordination happens through defined site visits and an RFI process.
How many revisions does a design contract include?
Two rounds per phase is standard — concept and design development — with consolidated feedback from one named decision-maker, and additional rounds at hourly rates. The phase gate matters more than the count: concept approval locks direction, and a style pivot in design development is new work, not a third revision.
What happens on installation day?
The logistics the contract pre-arranged: furnishings arrive from receiving/warehousing (white-glove services run 5–10% of furnishings value), the install crew places per the plan, damage and punch items get documented on the spot, and many designers stage a reveal with the client off-site until styling completes. Remaining punch items resolve through vendor claims the designer manages.
Pair it with the interior design invoice template
The contract sets the terms — the invoice collects on them. Free download with the right line items pre-filled.
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