Once you have done the checks on the stud dog, you are ready to arrange payment. There are no laws or rules on how much a stud dog fee should be.
However, the general rule of thumb is that the stud dog owner will normally charge a fee equivalent to the price of one puppy. Alternatively, the stud dog owner may negotiate with the bitch owner to take a puppy, in which case the stud dog owner will normally take their pick of the litter.
There are, however, no rules on this and so you will see many variations, such as:
If a stud dog is ‘unproven’, i.e. he has not yet fathered a litter and so not proved himself yet, then you will generally see the fee has been discounted and sometimes halved. Once the stud dog is proven, then the fee will as normal.
You may see some fees that seem slightly higher. In these cases, the stud dog might be a champion dog, have champions in his bloodline or be known to have fathered some good puppies. For example, if the stud dog has been a winner at Crufts, then you can expect his stud dog fee to be at least double the usual puppy price. However, you will normally be able to recoup that cost if you are selling the puppies as potential show dogs.
If you would like the stud dog owner to take a puppy instead of a fee, then you can ask this. It is possible to negotiate for the stud dog owner to take the second pick of the litter instead of the first pick, thus leaving you the pick of the litter first if you wished to keep one for yourself.
Whatever terms you agree with the stud dog owner, be sure to get them in writing. Be sure to agree the method of payment up front as well.