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Loss leader quote for report leading to work?

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    Loss leader quote for report leading to work?

    Hi all
    I have been asked to spend 3-5 days on site with a new client to examine some current SW and develop a spec. and quote for a piece of work to enhance this SW. The following piece of work is likely to be fairly small - say 15 days worth - yet may lead to other things.

    I'm wondering about how much to charge for this initial on-site work. I'm thinking of offering them a 'cut price' rate for this, as a sort of introduction. The risk of them not wanting the followup work done is low, I think. I haven't done this sort of thing before and wondered about other options.

    Any thoughts welcome.

    Thanks
    j^n

    #2
    I have done this in the past.

    I have charged £200/day for the consultation and specification work, with the client knowing that the dev work would be £400/day and a support contract would be extra again and would cost a % of the final price p.a.

    It's a good way to work well outside IR35 and to get a reliable source of adhoc work going forward.

    However, the risk and stress involved is a lot more that a cushy bum on seat contract!

    Comment


      #3
      Thanks, that's useful. A cushy bum on seat contract is not necessarily of that much interest to me anyway ...

      Cheers
      Jon

      Comment


        #4
        Important thing to note is that both parties must be aware of/agree to the support/dev price difference before you take the job.

        Sounds obvious but still...
        "I can put any old tat in my sig, put quotes around it and attribute to someone of whom I've heard, to make it sound true."
        - Voltaire/Benjamin Franklin/Anne Frank...

        Comment


          #5
          Aye Cojak.

          Make it clear (or at least hint) that subsequent projects may not have the discounted price.

          Comment


            #6
            Originally posted by DimPrawn
            Aye Cojak.

            Make it clear (or at least hint) that subsequent projects may not have the discounted price.
            It's actually going to be a fixed price contract in this instance. But I will certainly indicate where the numbers come from, and I will have a few days on-site in which to let them know the score. Thanks for your thoughts.

            j^n

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