Been doing contingency-only work for Ameren Missouri customers here in Springfield for five years. Considering offering fixed fee options for clients who prefer predictable costs. What's been your experience with fixed vs contingency pricing models? Any pros and cons to share?
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Fixed fee vs contingency - which do you prefer?
Elmer, I do both depending on the client. Fixed fee works well for annual maintenance audits where I'm just checking for billing accuracy. Contingency is better for comprehensive historical reviews where potential savings are unknown. AEP Texas customers seem to prefer fixed fees for budget planning.
Vivian, that makes sense. I'm thinking about offering fixed fee for routine monthly reviews and keeping contingency for historical audits. What do you typically charge for fixed fee work - hourly rate or flat monthly retainer?