Comments on: Pricing: Hourly or Fixed?

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By: Ronald

Ronald — Mon, 30 Nov 2009 05:49:23 +0000

HourDoc is tool for Time Tracking. http://www.HourDoc.com is right treatment for time and labor management processes has to be an easy-to-administer and affordable solution for Freelancers, supervisors, employees and HR and payroll managers. They offer free application to companies less than 50 employees.

By: Tony Chester

Tony Chester — Fri, 19 Dec 2008 03:19:46 +0000

Wow, you explained our entire billing growth cycle. We just migrated over to the hybrid model a few months ago after going through exactly what you’ve described (except for the over billing part of course). Great stuff, I’m passing your post around.

By: Gareth

Gareth — Tue, 09 Dec 2008 13:42:48 +0000

We recently switched to fixed rate pricing, including a 30 day warranty. Clients love this.

However, as clients also love scope creeping, it’s been very important to clearly state exactly what the end deliverables will be, and that anything outside the scope of that work will be charged extra, either at an hourly rate or as an additional contract.

The warranty is also clearly stated as anything directly related to the work completed. You get very used to saying “We’d love to do that, but be aware it’s out of scope…”

Fixed pricing works very well with Agile development methodologies as these break a project up into 2 week “sprints” which can easily be estimated, budgeted for and expanded by just adding another 2 week sprint to the end of the dev cycle to add new features.

It’s also easier to mix and match the different billing techniques of your subcontractors when billing at a fixed price.

By: Matt

Matt — Fri, 21 Nov 2008 18:43:23 +0000

fixed price is more easy to set up, but it’s not necessary the best solution. For example as a freelancer I ask 250 Euros for a flash website like that : http://www.customizingwebsite.com/

By: jyoseph

jyoseph — Thu, 20 Nov 2008 02:06:12 +0000

Hybrid. Fixed price with a real tight scope. When something gets out of scope reevaluate and renegotiate. Takes more time to clearly define what services will be performed but well worth it.

By: Pontus

Pontus — Sun, 16 Nov 2008 18:23:42 +0000

Thanks for a great article. I’m trying to get in the business, so this was a helpful read. Thanks once again!

By: Web Design

Web Design — Fri, 14 Nov 2008 10:34:47 +0000

I have few guys working for me on mix solution. I think freelance sites like Elance & oDesk do's the trick for us. Japan Website