Wise move, and deepens the appreciation factor with your client.

Pollyana mentality?  Smile and the whole world will smile?  No, just good
business.

Gil

> -----Original Message-----
> From: profoxtech-boun...@leafe.com [mailto:profoxtech-
> boun...@leafe.com] On Behalf Of MB Software Solutions General Account
> Sent: Monday, April 13, 2009 1:00 PM
> To: profoxt...@leafe.com
> Subject: Re: [NF] Yearly support fees vs. hourly fees
> 
> Michael Madigan wrote:
> > I don't sell yearly support, but I've purchased it and have had
> clients
> purchase it.
> >
> > The companies made the hourly rate so high that only about 5 hours of
> support pays the whole year.
> >
> > So that's what I would do.  If the yearly maintenance is $1200, make
> the
> billable rate $240.00.
> >
> > Of course maintenance also implies global bug fixes, so if Customer A
> finds an obscure bug, customer B would also have it fixed.  You can't
> get that by the hour.
> 
> Last year I sold a 1-yr support contract to this old client for $1188
> ($99/month) and later in the year he said "well, since we haven't used
> any support hours, can we ask for you to enlarge these fields and
> change
> these screen layouts?"  I agreed to do that, as I wanted them to feel
> that there was a value of sort to the contract, and not just an
> "insurance" kind of feeling where you paid me but got nothing new.
> 
> --
> Mike Babcock, MCP
> MB Software Solutions, LLC
> President, Chief Software Architect
> http://mbsoftwaresolutions.com
> http://fabmate.com
> twitter:  mbabcock16
> 
> 
> 
> 
[excessive quoting removed by server]

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