chightech — 2013-05-12T18:58:00-04:00 — #1
Hello everyone, I have a potential client, he doesn't want monthly or one time quote, he ask me to quote him Yearly on his project. The website is a travel information website, No special features yet, for the 1st version of website, it's going to custom webdesign, text pages and picture galleries. But the hardest thing to figure out is the on going website changes, that's something I wont know.
How should I quote on him based on the yearly quote, any one has any experience in this?
thanks a lot
mikl — 2013-05-13T09:55:58-04:00 — #2
Well, the first thing to ask is what exactly he means by a "yearly quote".
Does it mean he wants to pay a fixed amount per year? Or he only wants a quote for one year's work? Or wants a quote for on-going work with a yearly review? Or he wants to pay for each year in advance? Or what?
If he wants a quote for a fixed price, then that will only work if the entire scope of the work can be defined in advance. That's rarely the case. But that's got nothing to do with whether he wants to pay yearly or monthly or whatever.
If he is happy to pay an hourly rate, but only wants to pay once a year, then does he expect to pay at the end of the year or to pay in advance? If at the end of the year, I would say no. I wouldn't be prepared to wait that long for my money. If he wants to pay in advance, then you must give him your best estimate for the cost of the work during the year, and bill him for that amount, on the basis that you will bill him again if the actual work exceeds the estimate.
But you do need to find out exactly what he wants before you can give him a sensible answer.
chightech — 2013-05-13T11:23:02-04:00 — #3
Thanks a lot for your advice Mikl, great suggestions. Much appreiciated