As described elsewhere, every Bond Clarke project is preceded by a Pre Engagement exercise to define the scope of supply and to jointly agree upon a pricing and charging model. During this initial engagement, you may request any combination of the following:
1. League of Scale Estimate
Use a League of Scale Estimate to determine whether a particular job item is likely to fall within acceptable budget and to quickly determine whether or not it is worth investing any further time upon it. A league of scale estimate will simply confirm that a particular task is likely to attract a fee of (say) £500 as opposed to a fee of £5,000 or £50,000.
Bond Clarke will never accept an engagement to deliver services based solely upon a League of Scale Estimate.
2. Time & Materials (T&M) Estimate
A T&M estimate provides you with our best assessment of the total professional services time (and therefore cost) associated with a particular job item, plus any associated external costs such as printing / binding etc.
We will accept an engagement to commence work based upon your acceptance of a time and materials estimate and you will be billed (under whichever of our T&M pay plans you select) for whatever time (and materials) is actually consumed in the delivery of the task. If the task is completed more rapidly than the estimate suggested, then you will be billed less than the estimate. Conversely, if the task takes any longer than estimated, then the bill will be higher.
A T&M estimate is particularly useful to accommodate requirements which are likely to be subject to variation or amendment as things progress.
To protect the client, time and materials work is always supported by regular updates to enable you to keep control of burn rate. Furthermore, strict change control of any project highlights any change of scope which may potentially impact time and/or cost.
3. Fixed Price Quotation
A Fixed Price quotation will, as the name suggests, provide you with a firm price for a given task. This price will not vary, either up or down, irrespective of the actual time or effort that is required to deliver that task. The risk remains entirely with Bond Clarke.
Clearly, a fixed price may only be given against a clear specification or an agreed scope of supply. In certain circumstances an accurate specification is not possible – for example, if a planned due diligence exercise might be expected to uncover unexpected variations at some point in the future. In this case, then a jointly agreed set of assumptions are documented, allowing the price to be fixed against those assumptions.
4. Contingent Estimate
In certain cases we may be able to agree a contingent estimate whereby if a matter becomes abortive, then a reduced fee is payable.