Sounds like a good deal on *your* end but he could be a terrible developer, the game could just not be what you want, or you could lose money because it's not profitable. Why are you using elance for game development anyways? Why not be a part of the process? Get a team of free monkeys from gamedev.net to make you a prototype at least. There's a sub-forum for posting projects and hiring developers. You'll at least know if your idea makes anyone excited before you dish out 4k.