In order to follow the fixed price model in the best way possible, the following should be true: The project has a clear and transparent scope, and the client (as well as the contractor) knows exactly what they are responsible for, and know each other’s abilities, competency level, and efficiency.
These conditions make it a win-win situation for the client and the contractor. The client thus feels confident about the contractor, while the contractor knows exactly what to do.
The fixed price model works well for small, clear projects. It can be suitable for larger projects as well, provided the client can split the project into simple, clear and informative milestones. However, there are many factors that can render fixed pricing suboptimal, and repercussions can be felt both in the eventual price and the speed of project development.
If you are looking for an organized development team – drop us a line and tell us about your project so that we can put your idea into practice.