Re: Work for "future revenues"

by "Jeff Pearson" <sales(at)webalchemy.on.ca>

 Date:  Sat, 18 Nov 2000 19:07:54 -0500
 To:  <hwg-business(at)hwg.org>
 References:  0 home
  todo: View Thread, Original
I have been in this situation a couple of times. I am truly annoyed when it
happens and these people think we as developers have nothing better to do
than  invest hours upon hours and hope that they have a sound business plan
together. Most don't. They are new to the internet, and have heard the
stories of how millions were made....and they think they have it figured out
too.

If they are truly serious and believe they have a great plan then attracting
investors to properly fund the project (including paying developers at least
something reasonable) shouldn't be a monumental task (though its certainly
not as easy to find money now as it was 2-3 years ago).

>Another poster suggested negotiating -- accept discounted consulting fee
>up front with smaller percentage of eventual revenues. Have your clients
>found this situation acceptable?

I think this is the most fair way to transact this sort of relationship. If
you are a believer in the project then you do get some share of the rewards
but to be realistic, you should get something for your time and troubles. "A
Big Futures" doesn't put food on your table. A good contract will play a key
role here to protect your time investment and interests.

I guess the bottom line is if you fancy yourself the gambling sort. High
gains equal high risk. No contract is bullet proof but makes you sleep
easier at night.

Just my 2 cents.

Jeff P.

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