Home: Message List - Website design - do I pay by the hour or lump sum?

Re: Website design - do I pay by the hour or lump sum?

davidicus — Tue, 10 Mar 2009 21:01:15 GMT

one size doesn't fit all. if you want that level of simplicity, find a lump sum designer or firm. i offer lump sum quoting if they're comfortable with that, but my clients almost always opt for hourly pricing.

here's why: having to estimate the amount of work a site will require--especially if i'm not familiar with a client and their process--means i have to be covered in case of eventualities. simply put, i overestimate somewhat. so does your designer. wouldn't you? mind you, a blanket price is certainly easier on my end as well.

when i work hourly, i work to an estimate. my clients know i'll warn them if feature creep or alterations will take us over, and i let them know when we're within a few percent of the estimate so they can wind down. meanwhile, to be able to do that, i track my time closely. my bill comes with every fifteen minutes detailed. i stay focused, knowing the clock is ticking. my clients are smart; they'd know if i wasn't honest, but i'm busy, my rate is fair, and the project is usually on a strict deadline.

i often come in under my estimate, because my clients had their act together and the project ran efficiently. they understand they have an effect; they're woven into the process and are always in the loop. i've rarely gone over the estimate, and when i have, it's been with clients' full blessing.

lump sum can get you more work than you actually pay for with large development firms. estimating is more complicated, and account reps can be focused on undercutting competition, even to the detriment of the bottom line. they don't work hourly, (though the staff often does), and they pad their estimates with as much as they can get away with.

P.S.: i don't really recommend asking for references. nobody wants their best clients antagonized by calls and questions, and it's not like you'll ever get the name and number of someone who has anything negative to say. look for testimonials to help put your worries to rest.

Re: Website design - do I pay by the hour or lump sum?

Iwrite — Thu, 25 Dec 2008 21:21:13 GMT

To ask a web designer to assist with anything other than building a website means that the client should be willing to PAY for those additional services, and since everyone wants something for nothing, I doubt that will happen.

Bigger is not always better, especially in advertising and PR. The best work is often done by smaller agencies. Clients should be looking at the quality of the work not the name or the size of the firm.

Re: Website design - do I pay by the hour or lump sum?

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Re: Website design - do I pay by the hour or lump sum?

danalex — Wed, 24 Dec 2008 05:08:51 GMT

it's americanempireonline.com/empire

Re: Website design - do I pay by the hour or lump sum?

danalex — Wed, 24 Dec 2008 04:21:16 GMT

Hi Tiffany,

www.americanempire.com/empire is one of our project.
The cost of this project is $900 with us, including domain and hosting for 1 year.
The maintenance and technical support is 1 year.
We presented 3 best templates to clients for them to choose from.
The payment method is 50% downpayment and 50% if the clients requirement is complete.

You may contact me by availing our services through email - theresa@danalexgraphics.com

Thanks.

Tess C.
Danalex Graphic Arts
www.danalexgraphics.com
702 - 475 9248

Re: Website design - do I pay by the hour or lump sum?

blitzlocal — Fri, 07 Nov 2008 04:45:19 GMT

I agree with Mike.

Lump sum (fixed fee) limits your risk of cost overruns, but also requires that you are ultra specific on scope (what you require built).
By the hour reduces risk to the agency, since they can cover their cost with a reasonable mark-up-- but you risk the project going over a target budget.

Dennis
Analyst, BlitzLocal.com
small business web lead generation

Re: Website design - do I pay by the hour or lump sum?

blitzlocal — Fri, 07 Nov 2008 04:42:37 GMT

score81-- what a great post!
I was going to respond, but saw how excellent your questions and list of items are.
Don't forget, however, that once you build a site, you need to get traffic to it.
Buying clicks from Google ist one of the easiest methods to do this effectively.

Dennis
analyst, blitzlocal.com
small business advertising

Re: Website design - do I pay by the hour or lump sum?

leolazarus — Mon, 03 Nov 2008 12:17:23 GMT

hi,

We do everything from a static web site that is a true representation of your business(sort of an ebusiness card) to a fully functioning entity that encapsulates all of your business needs. If you would like a reasonable rate and a website that could be finished in as little as 2 days feel free to contact us for more info. What we like to do is first have you send us and idea of the kind of site(business) you are aiming for, include some things like color preferences, number of pages you desire, and if you would like to see any specific type of functionality-(shopping carts, blogs, chats etc...)

Re: Website design - do I pay by the hour or lump sum?

Mongoose — Mon, 03 Nov 2008 09:01:43 GMT

Being a programmer, I know that things may get delayed, so Hourly may be a bad idea especially if someone decides to flex their freedoms and take their precious time. A lump sum always works best for out-of-house projects in my experiences, maybe a little up front to give them incentive to finish (but only after they produce a prototype or anything to show they're skillful!)

Re: Website design - do I pay by the hour or lump sum?

intechspecial — Mon, 03 Nov 2008 01:11:30 GMT

Even if you do pay one lump sum, you will be paying by the hour. Companies that charge a flat rate estimate the amount of time it will take to complete a project and then add a few hours on for good measure.