Pricing Models
Our pricing model basically differs for each project undertaken; depending on your requirement. However, the general basis of pricing is common and is as follows.
For your convenience, we offer 3 different types of pricing options:
Fixed Price
Time and Material (T&M)
Full Time Equivalent (FTE)/Rate Card
Fixed Price
The typical Features of this model are:
Fixed Price
Fixed Scope
Familiar requirement (we've done projects like this before) or clear requirement (typically detailed analysis & application design already completed)
Will involve Project Management, User Interface Design, Devolvement, Quality Testing, Will NOT involve Project Analysis
Parangat Solutions keeps the IP (Intellectual property) of the product, but share full rights to use the software. However, if the application is fully designed when it reaches us, then we give the IP rights to the client.
Typically asked for by clients with less project requirement clarity and offered by us only when we have high clarity on the requirement
Advantages to the Client:
Low perceived risk (but actually high risk, since he will have to live with our design)
Budget predictability
Time and Material
The typical Features of this model are:
Single Standard rate – X$/hr – irrespective of resource used
Follows typical SDLC timelines (10 -15% -- Analysis, 10 - 15% -- PM, 10 - 15% -- UI, 40% -- Coding, 10% - 15% -- Testing)
Ideal for Small jobs/Tasks based approach
Client involvement is more
Client keeps IP
Less expensive than fixed
Advantages to the Client:
More control over implementation
Good when evolving requirements
High flexibility
Analysis is involved
Less expensive than fixed
IP ownership
Full Time Equivalent/Rate Card
The typical Features of this model are:
We give a monthly rate card for different skill sets such as Analysis, PM, UI, Programming, testing, and Database specialist.
Highly flexible – can follow any development life cycle
Individual service components can be offered e.g. Analysis, Programming etc.
Dedicated team – Knowledge management
Lowest cost
Client has a competent Project / IT manager on his side
Client involvement is high
Advantages to the Client:
Least cost option
Dedicated team
Budget predictability
IP ownership
High flexibility
High control
Can start with any level of expertise on the application