After years of watching clients get burned by the hourly billing model, we decided to do things differently. Here's why fixed pricing changes everything.
If you've ever hired a software development agency, you know the feeling: the project starts with optimism, a reasonable estimate, and promises of "we'll keep you updated." Six months later, you're staring at an invoice three times the original quote, wondering how "a few small changes" turned into a budget disaster.
We've been on both sides of this equation. And after years of watching clients get burned by the hourly billing model, we decided to do things differently.
The Problem with Hourly Billing
Hourly billing sounds fair on the surface. You pay for the time spent, and the agency has an incentive to work efficiently, right? Wrong. Here's what actually happens:
Misaligned incentives. When an agency bills by the hour, they make more money when projects take longer. There's no financial motivation to find elegant, efficient solutions. In fact, complexity is rewarded.
Scope creep becomes a profit center. "While we're in there, we noticed a few things that should be addressed..." Sound familiar? Each of those "discoveries" adds hours to your bill.
The estimate game. Agencies know you'll compare quotes, so they lowball the initial estimate to win the project. Then reality hits. "We couldn't have anticipated this complexity" becomes the refrain.
You're paying for learning curves. That junior developer who's billing at $150/hour while learning a framework you assumed they already knew? You're funding their education.
How Fixed Pricing Changes Everything
When we quote a fixed price, we're putting skin in the game. If we underestimate, that's our problem. If we find complexity we didn't anticipate, we absorb it. The price we quote is the price you pay.
This changes our behavior in important ways:
We ask better questions upfront. We can't afford to start coding and "figure it out as we go." We dig deep into requirements before committing to a number.
We choose efficient solutions. Complex doesn't mean better. When we're accountable for the outcome, we pick approaches that work, not approaches that look impressive.
We scope honestly. There's no incentive to hide complexity or underestimate. If something will take longer, we tell you before you commit.
We finish what we start. Endless projects with moving goalposts? Not possible when we've committed to a deliverable.
"But What If Requirements Change?"
For minor adjustments within the spirit of the original scope, we absorb them. We're not going to nickel-and-dime you for tweaking button colors or rewording copy.
For significant additions—new features, new integrations, expanded functionality—we have a conversation. We'll tell you the cost of the addition, and you decide whether it's worth it. No surprises, no "we're already in too deep" pressure.
The key difference: with hourly billing, changes happen and you find out the cost after the fact. With fixed pricing, you know the cost before you decide.
The Right Fit
If you have a project with clear goals, and you want to know exactly what it will cost before you commit, we should talk.
Ready to get a real quote for your project? Contact us or try our project estimator to see what your landing page might cost.
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EverEdge Team
