End of a project and less time spent than quoted, so now what?

[CrazyFig]

Howzit,

I have reached the end of a project and its taken me quicker than anticipated to finish it. I quoted X hrs and it came to RY amount based on my hourly rate. Im thinking I should just tell them I have finished sooner than the time I said it was going to take, therefore the amount they need to pay has been reduced.

What do you guys do in situations like these? Sure...I could just keep quiet...but that just doesn't feel right

[Fudzy]

Have they paid you in full already? If not just invoice them for the time you've taken. Pretty sure you're honesty and prompt finalisation will go a lot further than the extra money.

[bullzeye.za]

Agreed, this will almost guarantee return business.

[CrazyFig]

Nope, havent received any cash yet. Ja recon Im gonna stick to my original thoughts on this...bill them for time I have actually worked Feels right, and the business relationship will go a long way more than a couple extra grand...

[icyrus]

Why did it take you less time?

If you bill them for less hours without an explanation as to why they will doubt any estimate you give them going forward.

The most important thing is to know why your estimate was off and how to get a better approximation next time, and explain that clearly to the client when presenting your reduced invoice.

[mcryan]

Agreed, this will almost guarantee return business.

+1. if you come in quicker and cheaper than quoted they'll know you're efficient and would rather use you again than finding someone new for future work.

[Markd]

so, what exactly do you mean by done? If you hand over the product to them are they going to try it out and come back to you with issues/minor changes etc. and if so how will you address those in terms of your time?

As someone else said you have to be able to explain why you have used less time than you quoted. Have you done a half assed job? Most likely not, but they might wonder.

If it were me, i would realise that your client has already commited to the spend. So rather than say "dont give me all the money you were going to give me because i estimated badly" perhaps offer them a choice to get more value out of your work. So:

I have finished early because x went faster/was less complicated/whatever than i expected so now I can:

a) Invoice you for my time, and save you some money
b) Utilise the remaining hours to provide you with added functionality

Something along the lines of b) sounds good to me, because everyone is a winner. Your client gets more than they were expecting, and you get more money. Win win. option a means they win. You lose an element of your pipeline

[JStrike]

Howzit,

I have reached the end of a project and its taken me quicker than anticipated to finish it. I quoted X hrs and it came to RY amount based on my hourly rate. Im thinking I should just tell them I have finished sooner than the time I said it was going to take, therefore the amount they need to pay has been reduced.

What do you guys do in situations like these? Sure...I could just keep quiet...but that just doesn't feel right

Bill them for the actual hours. Anything else is theft

[CrazyFig]

Yep...done done. Came in lower because of a misunderstanding/break in communication...so I quoted on what I thought was needed only to discover recently I didnt actually need to do another part I was going to (was out of scope-gotta love scope creep).

Should have probed more...but ja, its all good. Everyone is happy...thats all that matters

[creeper]

I have another suggestion. Tell them that you have worked less, but if they want, they can pay you the full amount and you will keep the money for when they need you again for a future project. Explain that you will still quote them for the next job and if it exceeds the amount still on "credit" with you, they only have to pay the difference.

This will allow you to:

1. Have them hooked as they might as well use you again next time (repeat work)
2. Take them money, have it invested somewhere and gain interest (depending on the amount)
3. Further your relationship with the team as it gives you a good excuse to visit / phone them for more work.

[shogun]

I have another suggestion. Tell them that you have worked less, but if they want, they can pay you the full amount and you will keep the money for when they need you again for a future project. Explain that you will still quote them for the next job and if it exceeds the amount still on "credit" with you, they only have to pay the difference.

This will allow you to:

1. Have them hooked as they might as well use you again next time (repeat work)
2. Take them money, have it invested somewhere and gain interest (depending on the amount)
3. Further your relationship with the team as it gives you a good excuse to visit / phone them for more work.

This is possibly the worst advice I have read in a long time. You don't run a company do you?

OP, good call.

[creeper]

This is possibly the worst advice I have read in a long time. You don't run a company do you?

OP, good call.

Hehe. Our opinions may differ, but I've seen it work successfully. The chances of it working is slim that they will buy into the idea.

PS. Yes, I have a business and the most difficult thing is to get money from your clients. So, if you have the potential of getting a "container", hell, way not.

[stoymigo]

Howzit,

I have reached the end of a project and its taken me quicker than anticipated to finish it. I quoted X hrs and it came to RY amount based on my hourly rate. Im thinking I should just tell them I have finished sooner than the time I said it was going to take, therefore the amount they need to pay has been reduced.

What do you guys do in situations like these? Sure...I could just keep quiet...but that just doesn't feel right

What percentage of the quoted time did you complete the project in?

[JStrike]

Hehe. Our opinions may differ, but I've seen it work successfully. The chances of it working is slim that they will buy into the idea.

PS. Yes, I have a business and the most difficult thing is to get money from your clients. So, if you have the potential of getting a "container", hell, way not.

"Container"??? You mean "retainer".

[Markd]

This is possibly the worst advice I have read in a long time. You don't run a company do you?

OP, good call.

And you run what? A small shop? Or something bigger? You seem to have an incredibly simplex view on business, no offence.

What he has stated is actually a common practise in business, and larger enterprise. Services are always being scrutinised and refuted and its common for a company to allow for credit on the "next" project. Noone is saying that this has to be accepted by the client or customer, but its a pretty easy compromise to make when there are good relationships between provider/client. R10 earned today is worth more than R10 earned next week.