A Model B contract is a common freelance agreement. It's a fixed-price contract for a defined project scope.
What is Model B contract?
A Model B contract is a fixed-price agreement for a specific project. You agree to deliver a defined scope of work for a single, predetermined fee. It's different from hourly or retainer-based contracts. The price is set before work begins.
Why is this important?
This contract type is crucial for managing project-based work. It provides clear budget expectations for the client and predictable income for you. Understanding it helps you scope projects accurately and avoid scope creep, protecting your time and profit.
How does it work?
You and the client agree on a detailed project description, deliverables, timeline, and total price. You receive payment, often in milestones, upon completing defined phases of the work. The contract ends when you deliver the final agreed-upon output.
Pros and cons
The main pros are predictable income and efficiency rewards. If you work faster, you earn more per hour. The cons include risk from poor scoping; if the project takes longer than estimated, your effective hourly rate drops. Scope changes require formal amendments.
Conclusion
The Model B contract is a foundational tool for project-based freelancing. It works best when the project scope is very clear from the start. Always define deliverables and revision limits precisely to ensure a fair and profitable engagement.
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