Flat fee or hourly: choose the rate structure after scope is clear
A flat fee can be easier to approve, but only after the work, revision limits, and cost assumptions are clear enough to price.
Flat-fee pricing works best when the scope is specific. If the work is still uncertain, start from a sustainable hourly rate and convert only after adding a cushion for risk, admin time, and revisions.
Start with the hourly floor
Estimate the minimum hourly rate that covers billable time, business expenses, taxes, and unpaid admin work. That gives the flat fee a practical baseline instead of a guess.
Convert hours into a scoped price
Multiply the expected hours by the rate, then add room for project management, client communication, and normal revision cycles. A flat fee should include the work needed to deliver the promised result.
Use hourly when uncertainty is high
Discovery work, unclear requirements, open-ended support, and client-controlled delays can make a flat fee risky. Consider an hourly phase, a deposit, or a smaller first quote until the scope is better defined.