Michael Madigan wrote:
> I don't sell yearly support, but I've purchased it and have had clients
purchase it.
>
> The companies made the hourly rate so high that only about 5 hours of
support pays the whole year.
>
> So that's what I would do.  If the yearly maintenance is $1200, make the
billable rate $240.00.
>
> Of course maintenance also implies global bug fixes, so if Customer A
finds an obscure bug, customer B would also have it fixed.  You can't
get that by the hour.

Last year I sold a 1-yr support contract to this old client for $1188
($99/month) and later in the year he said "well, since we haven't used
any support hours, can we ask for you to enlarge these fields and change
these screen layouts?"  I agreed to do that, as I wanted them to feel
that there was a value of sort to the contract, and not just an
"insurance" kind of feeling where you paid me but got nothing new.

-- 
Mike Babcock, MCP
MB Software Solutions, LLC
President, Chief Software Architect
http://mbsoftwaresolutions.com
http://fabmate.com
twitter:  mbabcock16




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