Upload & Sell: On
1. As mentioned... nonrefundable deposit, you determine the amount based on time/hourly rate etc.
2. Yes.. they will be tired but you can also let them know you do not photograph newborns after 10-12 days as they loose the fetal bend which makes it difficult to get all the cute poses you see around. So, if they do not want to be in the shots, at least have the baby photographed and you can then schedule them for the 3,6,9,12 month etc with mom and/or dad in the photos at the initial session.
Just some thoughts.