Build a house...If i like it I will pay...Client..

I have recently been in touch with a client that needs a new logo for their brand.

One of the discussions was that they willl only be paying the designer that produces a logo that they choose as they hadn't budgeted for a logo in the first place as a friends who's a graphic designer was meant to do it but has other commitments.........

I have replied saying that I don't start any projects untill it is secured by some kind of deposit etc due the amount of time that has to be spent on research, ideas, sketches, development and so on.

I then get a final reply saying :

"Sorry ill only be paying a designer for the finished product as we have no guarantee you'll produce the look were aiming for. Plus we've already got designers that have agreed to work under these terms, so there's no need to pay another designer prior to finalised work."

Im not going to name the brand/person due to their privacy, But you get the idea.

I thought it would be interesting to see your views and how you deal with these clients.

In my opinion these are the clients that you shouldn't get involved with. There no trust, commitment or enjoyment with out these you can't produce work that best suits the client.
It goes without saying that this is not an acceptable way for a properly set-up designer to engage with a prospective client: with no agreement, no guarantee and no budget, they're basically asking for a favour, in return for which they may or may not pay a gratuity at a rate set to reflect their idea of the value of the work (and the fact that they didn't plan for a logo in the first place suggests that this will be low). Sadly, they'll probably get what they want in the end so no argument about the inequality of the deal or the fact that the designers they have lined up are, by virtue of them being ready, willing and available to work on this basis, are probably not at the professional end of the spectrum is likely to change their view that it's a good way to go about things.

So, to return to the question: How would I deal with them? I wouldn't, and neither should anyone else until they change their approach.
As per the above. Do you really want a client who is commencing a business relationship on this basis.

In other circumstances I would have added to what the OP said with something around - we'll adapt the solution until signed off / you're happy with it - regardless of how many versions (in practice three versions is our record from agreement of prefered style).

Sorry to say but - clients who are disputing payment terms at the start are very often problem payers later on (the exception is where a valid purchase order is supplied / D&B or similar search completed).
Well any other designer who agrees to those T & C's must be desperate and if so why are they desperate? Can you imagine saying to a builder do my kitchen and if I like it I might pay you :)
Stay away from clients like this, that's my best advice.
I'll sometimes do a favour for a friend or family member, but even then, most of them respect what I do is my job and I receive payment in some form or other, big presents and the like haha :)
Just tell them you don't do credit and don't work on spec because you don't need to.

People like this only see a logo as a final product, not something that's created for them through a professional, bespoke service. As Dave said, they'll get what they want in the end from someone or somewhere, so best to just keep away and move onto something else.
Yeah agreed.

They will probably get what they want which is something that looks cool to them but will it have any thought put into it, any research etc.. especially being a new brand, and if they want the brand to be strong, something that they can keep building on and last then working with a designer is a must.

If the client isn't worth it, then their brand isn't worth it either.