Why a Long-Term Consulting Retainer Can Be a Red Flag for Startups

The Problem with a Locked-In Retainer: A Cautionary Tale


Your TL;DR: Some firms require a long-term retainer, $6K/month for a year or more, before even submitting your first proposal. We charge flat, transparent fees per submission, so you stay in control of your time and budget.

Not all startup consulting models are designed with founders in mind. Some are designed to lock them in.

In our competitive research, we encountered firms that mandate 12-month retainer contracts at $6,000 per month, adding up to $72,000 before you’ve even submitted your first proposal. When we asked what would happen if a client wanted to cancel early, here’s the actual response we received:

“Simply put, is to devise a long-term multi-submission granting strategy (approach multiple funding agencies, different award mechanisms, hit multiple deadlines and allow for resubmission based on feedback when necessary)… Allowing for termination at any time means fewer applications and, consequently, fewer chances for awards. This affects our ability to rely on award fees to the same degree.”

Let’s break that down: They’re tying your hands and budget for an entire year. And the reason? They rely on success fees and need to protect their own cash flow. We think that’s the wrong way to do business with startups.

You Deserve Flexibility and Financial Clarity

Early-stage founders already carry enough uncertainty. Adding a 12-month, five-figure contract for grant writing, without a guarantee of what will be delivered (as no grant writer can promise reviewers will award a proposal), doesn’t just stretch your budget. It limits your ability to pivot, to shift strategies, and to work with partners who are truly aligned with your needs.

In contrast, we charge flat fees per proposal. You know exactly what you’re getting and exactly what it will cost. No retainer. No long-term commitments. No surprises. That way, you stay in full control of your spend, and your strategy.

“Multi-Submission” Doesn’t Require Multi-Month Retainer Lock-In

We fully support a multi-submission strategy, and we’ve helped countless clients develop tiered pipelines of proposals across agencies. But that kind of long-range planning should empower you, not trap you.

You should never feel pressured to commit to a dozen applications just to justify a firm’s pricing structure. Strategic grant planning is a service, not a justification for locking clients into six-figure arrangements.

A Better Model for Growing Companies

One of our early-stage clients came to us after nearly signing a $72K annual retainer elsewhere. By switching to our per-submission model, they not only saved over $50K but also secured two grant awards within their first four months, without ever feeling locked in.

We believe in meeting startups where they are, with pricing models that reflect real deliverables, not theoretical strategies. Founders shouldn’t have to gamble tens of thousands of dollars upfront just to explore non-dilutive funding.

If a consulting firm tells you that flexibility is incompatible with quality or success, it’s worth asking who benefits most from that arrangement, because chances are, it isn’t you.


Ready To Take the Next Step?

We assist our clients in locating, applying for, and evaluating the outcomes of non-dilutive grant funding. We believe non-dilutive funding is a crucial tool for mitigating investment risks, and we are dedicated to guiding our clients through the entire process—from identifying the most suitable opportunities to submitting and managing grant applications.