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Pricing Support Contracts

         

vincevincevince

5:14 pm on Nov 4, 2005 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



Could anyone give any pointers in how to price a support contract for an extensive scripted / database driven interactive website which we have developed?

I imagine that most contracts include an ongoing fee which covers certain things, and then an additional fee for 'extras'? Is this right?

inbound

6:39 pm on Nov 4, 2005 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



Support contracts are usually a percentage of the license fee for off-the-shelf packages - around 15-20% a year.

For bespoke stuff it's down to what support level you are providing and what is defined as a 'bug' versus 'feature'. The 15-20% rule for packaged stuff just does not fit a bespoke environment as you have one user who has to pay to cover all future support time. Try a monthly retainer or a bank of hours system. Either way don't be afraid to ask for a fair amount whatever that turns out to be.