I recently reconnected with an old buddy, and feeling unfulfilled at my current job, I'm taking a consulting gig my friend is offering in my off time, and potentially moving to full time freelancing.

He just notified me of a potential client wanting to pay in the $7000 range. It's a small local e-commerce client with a few stores in various areas and an internet store as well.

Now, I don't feel confident enough to pitch anything close to increasing sales via our services, I have never dealt with something like this before. However I do pride myself on my frontend design ability. I only want to do an over haul of the website and make it responsive and do a rebranding of their online presence.

I've never dealt with a project this big, and my friend and I aren't formally registered as a business. Where do I start with something like this?

I was planning to sit down with my partner, register our business, draft up a contract, and pitch that to our potential client. Is this the right way to go? What sort of payment system do I go with?

Thanks.