Project based pricing or Fixed Bid
Project based pricing model is also referred to as Fixed Bid or Fixed Price. The typical features of this model are:
- Fixed Scope
- Fixed Price
This option is asked by clients or suggested by us in the following scenarios:
- Familiar Requirements: The client or FDSC have done similar projects.
- Clear Requirements: Scope and specifications for the projects have a high level of clarity.
- Requirements and Design Documented: Requirement analysis and application design have already been completed.
Pros
- Low perceived risk but actually high risk because the changes cannot be brought about without a cost being incurred during the course of the project.
- Predictable Budget
Cons
- Low flexibility
- Highest price
Engagement Model


