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Web Site Design Buyer's Guide - Understanding Contracts
Published: 04/19/2011
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Understanding Web Design Contracts
Depending on the company and the scope of your web development project, there may be a few different ways your project gets started.
For the most straightforward projects, you’ll be choosing a standard web site package – a specific number of pages, standard layouts, and (potentially) a simple e-commerce system. In those cases, there isn’t much back and forth on pricing: you either accept the company’s price or you don’t. These projects usually include fixed costs for additional pages or interactive features. You should always sign a contract specifying completion dates and deliverables.
For medium-complexity projects, the design firm will usually provide an estimate based on an initial interview. They’ll list the expected amount of hours required for design, image production, development, testing, and maintenance, along with the cost per hour for each task. You’ll be billed for the actual amount of web development work, so make sure there is a clause in the contract that requires the vendor to notify you before they begin additional work should the price exceed the estimate by a certain amount. If you don’t approve, they won’t be able to bill you for large cost overruns.
For the most involved projects, there is typically an extra step involved. After you and the vendor agree to the initial estimate, they will work with you to create a much more detailed requirements document. It will go into the specifics of how the site will work, often including mockups or a prototype. This document is important for larger web projects to make sure that both parties agree on what is being delivered – it helps reduce miscommunication later. You’ll have to pay for the developer’s time to create this document – up to 20% of the total estimate – but it’s well worth it for large web development projects.
No matter how your project is structured, there are several key points you should make sure are written into the contract:
Itemized cost breakdowns for different employees or services. Estimated costs, and notification requirements of overruns.
Deadlines for reviews and delivery, along with consequences of missing deadlines.
Note that this will apply to you, too – if you don’t deliver feedback in a timely manner, you may delay their final delivery. Hosting details, if applicable: guaranteed site availability and response time.
Maintenance agreements, if applicable.
Detailed responsibilities for design, content, development, testing, and signoff.
