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Johanna
07-08-2004, 10:38 AM
I am running a small web development business and am getting increasingly busier. My problem is that I don't have a uniform proposal template and keep under pricing my jobs and ending up having to eat some of my time. I am wondering if anyone has proposals that I could view or billing best practices?

Thanks,
Johanna

BeerMan
07-21-2004, 12:23 AM
Normally I wouldn't recommend this...but:

If your losing money on jobs, its because you are not quoting your time well enough.

When you meet with your client (you will probably meet 2-3 times before you actully give them a concrete quote) get as much info as possible on what they are after... get examples of sites, get everything possible out of them, and ask them what thier budget is. Then in your own time research thier industry for an hour or 2 no longer (competitors sites etc). Then work out your hours to build the site with all this info you have.. times that by your hourly rate.. see if your on target with thier budget... tack on some profit if possible... and bobs your uncle.

Then just itemise your efforts in your proposal, outline everything that will need to be done. Then give the proposal to the client at a meeting...DONT POST IT... meet them and go over it. If they understand it better, they will pay your price.. and you wont lose out.

I can't give you a proposal to use, but they are not hard to write (simple ones anyway). Just include every possible adjustment, so you dont lose money.

Johanna
07-21-2004, 09:38 AM
Thanks. That is helpful.

Hurstool
07-30-2004, 10:14 AM
If you know that you have been underquoting the time for your jobs, you should probably just double the time in your original estimate. That way you are covered for most problems that arise or tweaks asked for by the customer.

Don't consider it padding your time either: from experience you know that you will probably end up putting the "extra" time into the job, and so are justified in quoting that time to begin with.

Good luck, I find quoting to be the hardest part of the job!

Reli4nt
08-12-2004, 07:19 PM
Your underpricing may have something to do with why you are getting so busy. Expect that if you raise your price your business will trim down. Also, you need to set a good clear and thorough contract in the beginning, then add a clause whereby any additional work that arises during the time of the original contract will then require a "change order." This will either bring you the extra money for the extra time you work or spare you the extra work all together.

Good luck.