Linda posted on February 10, 2010 10:22
This is an area where I see a lot of companies getting burned. Many computer support companies quote projects by giving an estimated cost to complete the project, but then also include an hourly rate that is added in for 'unexpected' events' that may arise during the project. Be very careful about signing this type of contract.
A competent computer network support company should have gathered enough information about your current situation, and should be familiar enough with the solution they are suggesting to know how many hours the project will require. They should be able to think through problems that could arise before they make their proposal. Tacking on an hourly rate and a clause that allows them to charge you for extra hours is a safety net for them. If their technician makes a mistake and takes longer than he or she should, or if they overlooked something when they put together the proposal, YOU will end up paying the price.
Before you know it, you are well into the project, the hours are adding up and the bill is far more than you were expecting. A dishonest computer support company might even give you a proposal with an impossibly low figure expecting to exceed it. That's why you should never make your decision based solely on the price you have been quoted.
Instead, asked for a fixed price quote or even a 'not to exceed' proposal. If you can get a proposal that says the labor will not exceed a certain dollar amount, you may be billed less if the project goes smoothly. And if it doesn't, you will not be penalized.
Of course, if the computer support company is quoting you fixed fee or not to exceed, they may also lay out exactly what your responsibilities will be for the project in terms of making any necessary resources available and providing access to your equipment and office. Be sure that you understand what will be required of you and that you are not responsible for any delays or difficulties.