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You are selling enterprise. Repeat this to yourself a few times, it changes all the rules (luckily somewhat to your favour). Tips: 1. Charge high, particularl
by ErrantX 16y ago
You are selling enterprise. Repeat this to yourself a few times, it changes all the rules (luckily somewhat to your favour).
Tips:
1. Charge high, particularly as they have come to you, and definitely if you are the only one in your space. A 30,000 person company does not often balk at spending $10,000's on software, particularly if it is for the entire employee base
2. Make sure whoever has contacted you is authorised to accept a figure. Often managers will get a sub-ordinate to co-ordinate with you to get a quote and details - at which point it flakes around the management level for a couple of weeks (while you are distracted from other important work trying to chase it). Cut through the red tape before you quote a price and make that to someone who can immediately say "yep, here's a signature".
3. Write a contract, make it very clear. Make sure you are not tied into upgrades or maintenance without a fee. Make sure your liability is covered in that contract.
4. Sell them hosting (if they want it) completely separately; separate price, separate contract. Don't tie the two service provisions together.
5. If you sell them support make it VERY clear how much support they get and at what cost. Make hourly limits per month, for example, and charge extortionately for extra hours. (this is important; we had a client once that we had a vague contract with and I ended up losing money for weeks trying to sort out an issue for them when I had other work to do).
In terms of cost... given your prediction for the work required I would quote somewhere in the region of $40,000. Possibly a little less if they will agree to tie into a hosting & support contract. Consider charging and extra flat fee for the code itself.
- sw007 16y agoI should probably add at this point that it is a university. Reason I didn't make that clear was I didn't know whether I should but have since checked and think I am fine to mention that. It's a university with 30-40 thousand students who they hope will use the service. Thanks for all the comments - really appreciate it.
- ErrantX 16y agoFor computer software, especially for the whole campus, Universities usually have a decent budget, so that works to your advantage too.
- jayzee 16y agoThis changes everything. I have been trying to sell enterprise to universities. They are slow, bureaucratic, cash strapped, risk averse, willing to take time with making a decision since they do not face competitive marketplace pressures (at least when it comes to software) etc.