Differences Between Hourly and Flat-Fee Design Pricing Structures

differences-between-hourly-and-flat-feeChoosing a designer for a logo or other critical project can be overwhelming and understanding the fees and schedules for before you get started with a graphic design company is important.

As a business owner, you want to connect with talented designers who can capture your vision, but you don’t want to break the bank. Some designers and agencies charge by the hour, while others charge a flat-fee schedule. What are the major differences between these two graphic design fee schedules and how do you know which is right for you?

Hourly Fee Schedules

Some clients shy away from flat-fee billing because they believe that they may end up paying too much for design services. However, it is often hourly fee schedules that actually lead to excessive charges.  Let’s say a designer estimates eight hours of work on a project before revisions. If it ends up taking that designer six hours to complete the work, he may feel compelled to drag his feet and milk the full eight hours in order to receive the full fee. Not all designers engage in this type of practice, but hourly billing sets designers up for this temptation.

Revisions can also add to your bottom line when working with a designer who charges by the hour. The odds that a designer will turn in a project that 100 percent captures your vision on the first try is very slim. Hourly fee schedules allow designers to charge you throughout the revision process, driving up the cost of your project.

Flat-Fee Schedules

On the other hand, with flat-fee service, you know precisely what your final bill will be. Most agencies that charge flat fees include revisions in their total price. That means that you won’t be nickeled and dimed as you and your designers work your way through to the final product.  Always be sure to read the fine print, however, as some agencies will limit the number of revisions you are entitled to. To get the most for your money, choose a firm with a fee structure that does not limit revisions.

Design is a creative process that cannot be forced or hurried along. If you’re unwilling to pay extra for the hours required to tap into that creative process, look for design firms that offer a flat-fee schedule so that you can work with your designers to receive a finished product that matches your needs, your vision, and your budget.

Which is Better From a Client Perspective?

All clients will have their own unique preferences, but a flat-fee graphic design schedule will usually provide clients with the best value while delivering peace of mind. It can be easy to cave in to pressure to choose a design you aren’t 100 percent happy with when working with an hourly fee structure. You don’t want your costs to get out of hand, so it’s often easier to settle than to wait on the perfect project.

Some clients may think they end up paying too much on a flat-fee basis, but professional design agencies have learned how to price their services so that clients receive the best value. While they know that revisions are inevitable, flat-fee pricing shows confidence in their ability to satisfy customers quickly. It is in their best interest as designers to get it right quickly. Clients can also rest assured they will end up with a design that exceeded their expectations.

If your company is looking for professional graphic design on a flat-fee basis, contact The NetMen Corp today for more information on our process and billing structure. Our design teams are experienced professionals who have worked on unique and innovative design projects for companies of all sizes. Most importantly, our designers don’t stop until you are 110% satisfied.

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About The Author:  is CEO of The Netmen Corp.