Thank you X Katja for the insight. Truly a great help. Guess it will take a while before we get really correct figures here; Software development isnt really a known profession but i think in the next 2 years it will be the next major goldmine!
Cheers Chris. ----- Original Message ----- From: "Katja Bergman" <[EMAIL PROTECTED]> To: <[email protected]> Sent: Thursday, July 14, 2005 9:31 PM Subject: [delphi-en] Re: [OUT OF TOPIC] Costing > Hi Chris, > > Starting a programming project first means you have to find a > customer and talk with them about their needs. Some customers will > pay you for this but in general these kinds of negotiations are done > free of charge, unless they are taking a long while. > When the customer has made their wishes clear, you have to check > internally to see if you and your team can do it with the resources > that are available for you. And generate a list of things you will > need in addition to what you already have. > You then return to the customer and start discussing more seriously > about how to continue. In general, you will charge them about one or > two days of work but in return will provide them a well-documented > overview of what you can create and what you will need to do this > project. You will also have to estimate the amount of time you will > need to do this project. > Remember to generate clear, but non-technical documentation for your > customer. Preferably, print it by using a color printer and also > print a nice hardcover and send it to the client nicely bound. > Multiple copies would even be more appreciated. This is an expensive > step, of course, since you're probably have more than two days work > on this documentation. It might even take you a week to get it all > nicely done, but the better-looking this documentation is, the more > likely the customer will accept it when you tell him it will take a > long time to develop this project. > About the estimated time... Try to estimate how much time your > project will take and double (!) this time when you first mention it > to the customer. Then go down by 25% in the final estimation, so you > have some time available in case you encounter some unexpected > delays. (For example, your system might crash, someone might get > sick, whatever...) By including this additional delay time you don't > have to tell the client that things are going to be delayed because > <fill in excuse>. > Keep in mind that you will charge the customer for all the hours that > it did take you to finish. Say you planned 100 hours but told the > client it would take you up to 150 days. For whatever reason, you > manage to do it in 90 days... Your client will then be happy if you > tell him you'll only charge him for 90 days or he has an additional > 60 free days if he pays you the full amount for some additional > enhancements. > Many clients will then be quite happy to ask for more enhancements or > ask for more features. It gets them "addicted" to you, because if you > manage to finish things within the agreed time, they get some > additional "free" time for the next projects, which has some positive > effects on their budgets. > Don't charge them for 150 days and do 60 days of nothing if it only > took you 90 days! They will go somewhere else if they discover this! > > Now, prices will vary from $25 per hour for a simple developer doing > simple things to $250 per hour for a well-experienced developer who > can produce at high speeds. But asking $250 per hour will often let > you end up with clients laughing at you in the face while they start > calling for a more serious developer... > Yet at times you can get away with this if the customer is familiar > with you, when he knows you're real good and when you basically just > don't have time for him because you're working for someone else at > that moment. Then this amount could be used to compensate for > delaying the other project, ot just allows you to hire someone else > to help you with it all. > > Also, the amount you can ask also depends on the average wages of the > people around you. I've done some freelance work as a student and > earned $100 per hour with it. Had to pay taxes and some other > expenses so in the end I ended up with $5000 for about 100 hours of > freelance work. Used that money to buy some new clothes and a newer > version of Delphi. (Delphi 2005 to be precise.) And the rest is in a > savings account to support my studies. > I got that job because I was helping out another freelance developer. > He was busy on some project but the company really needed something > to be done, and done fast. He charged them the double amount and then > hired me. I did the work, he then checked it first and then gave it > to the customer.And the customer was real happy. > Oh, the customer was aware that he was "outcourcing" it. They just > relied on him knowing a very experienced person who could do it. :) > > With kind regards, > X Katja Bergman. > > --- In [email protected], "Chris @ IT" <[EMAIL PROTECTED]> wrote: > > Hi All, > > > > This might be a bit out of topic but i think its a crutial for the > survuval > > of us all (programmers) > > > > How do you cost a programming project? Is it per hour? i take it a > > professional programmer can cost his work at about $25 an hour or > close then > > use a utility like coderush to calculate the number of total > programming > > hours; Is it by system features and challenges? Programming isnt > really a > > scalar measurable thing so ive always had this problem when a > client comes > > to me and asks "how much will it cost?", especially when you cannot > factor > > in things like popularity, marketing etc; Just a client who wants > something > > specific. > > > > ANY help would be GREATLY appreciated... > > > > Thanks, > > > > Chris. > > > > > ----------------------------------------------------- > Home page: http://groups.yahoo.com/group/delphi-en/ > To unsubscribe: [EMAIL PROTECTED] > Yahoo! Groups Links > > > > > > > ----------------------------------------------------- Home page: http://groups.yahoo.com/group/delphi-en/ To unsubscribe: [EMAIL PROTECTED] Yahoo! Groups Links <*> To visit your group on the web, go to: http://groups.yahoo.com/group/delphi-en/ <*> To unsubscribe from this group, send an email to: [EMAIL PROTECTED] <*> Your use of Yahoo! Groups is subject to: http://docs.yahoo.com/info/terms/

