When to prefer the Time based quote?

1. When scope of work is not certain or is likely to change. In a 15 working month project, a mistake in estimation can wipe out your profits. Mistakes in bigger projects can wipe out your existence (though such projects are rare in India).

2. Scope of work is more than 6 working-months. The normal rates in this case may not give a realistic charges. When we charge for an assignment, the marketing and other overheads are added. Such overheads are reduced is we bag a bigger deal. We do not mind passing on the benefit to the client (that's how the market works).

3. When the client is making all the resources (hardware, software etc.) available and the vendor's scope of supply is limited to skillsets only. For example, when the client wants you to send 2 writers to their office for 6 months contract.

4. If your client is billing his/her client on hourly/daily basis. Your invoice and work report will be transferred to the final client with necessary amendments.