Retainers are intended to secure payment for work being performed. In today's economy, it's crucial to collect payment, and to make sure payment is being collected. Companies more often than not, fall into becoming a bank loaning money out to their clients. While the economy is tough, clients aren't paying their vendors on time, and taking months to pay back their creditors. Thus, leaving that creditor to carry their debt, essentially paying interest on their client's debt. Retainers and prepayments will help solve the problem of "loaning" out your money to clients. If you get full or at least half of the contract amount up front, you start off with a better relationship with your client and vice versa. You don't have to worry about your client not paying, or not having the funds after the project is complete, because you would have been paid up front. Or if it's an on going project, monthly payments will ensure that you're getting some money up front so in the long run, you don't have to worry about trying to collect the money as the economy takes more turns.

Retainers are always a good idea to collect on any project you are working on. Retainers benefit the client and the vendor: the client knows the actual cost of the project, and they know it can't go over that amount; the vendor gets the money up front so they don't have to worry about tracking down payment when the project is complete. Since the economy isn't doing well, this is the time where the collection of retainers should be a priority. You never know if a company is going to diminish these days. If this happens, you most likely will not get paid for the services you performed. With the collection of retainers your company secures the payment, and can work on completing the job within the scope of the retainer.