We present 3 pricing models for our Software Solutions.

Our pricing model may differ for each project undertaken; depending on the requirement. However, the general basis of pricing is common and is as follows:

	Fixed Price
	Time and Material (T&M)
	Full Time Equivalent (FTE)/Rate Card

Fixed Price

The typical Features of this model are:

1. Fixed Price
2. Fixed Scope
3. Familiar requirement (we’ve done projects like this before) or clear requirement (typically detailed analysis & application design already completed)
4. Will involve Project Management, User Interface Design, Devolvement, Quality Testing, Will NOT involve Project Analysis
5. Red401 keeps the 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 of this arrangement are low perceived risk and budget predictability.

Time and Material

The typical Features of this model are:

1. Single Standard rate – X$/hr – irrespective of resource used
2. Follows typical SDLC timelines i.e.
   

   Analysis	10 – 15%
   Project Management	10 – 15%
   User Interface	10 – 15%
   Coding	40%
   Testing	10 – 15%

3. Ideal for Small jobs/Tasks based approach
4. Client involvement is more
5. Client keeps IP
6. Less expensive then fixed

Advantages of this arrangement are that you have more control over implementation and it is highly flexible. This arrangement is advisable when evolving requirements. In addition, our business analysis team will be involved but it will turn out to be less expensive than actually fixed.

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, Project Management, User Interface, Programming, testing, and Database specialist.

1. Highly flexible – can follow any development life cycle
2. Individual service components can be offered e.g. Analysis, Programming etc.
3. Dedicated team – Knowledge management
4. Lowest cost
5. Client has a competent Project / IT manager on his side
6. Client involvement is high

This is a least cost option hence you'll have budget predictability and IP ownership. The dedicated team working for you is highly flexible i.e. they can start with any level of expertise on the application. This places a high amount of control in your hands.