Fixed Price/Fixed Time
This model works well for small projects with clear specifications, but does not work as well for big projects or for projects with flexible specifications. The advantage to the client is that they know up front their cost of development. The disadvantage is that they cannot make major changes to the specifications during the project.
Mixed
Often big projects can be divided into a sequence of small steps. There maybe a specifications writing step that is done fixed price and a later step that is done time & materials. We will find a model that is flexible enough to satisfy a particular client's needs!
Time & Materials
This model works well for any kind of project. The majority of our projects are done this way. Sometime a client wants a dedicated team that works exclusively for them, often on a long-term basis. The advantage to this is clear; the developers maintain knowledge of the customer’s system and domain. Since the development process is controlled fully by the client, there is no need to make a new agreement when there is a new project or task.
