Fixed-Price Contracts are ideal for projects with a well-defined scope of requirements or those with set/limited budgets.
How it works:
- Client and Vendor mutually agree on a fixed scope of project deliverables and whether to deliver it in one or multiple payment milestones before initiating the project. (Additional milestones can be added during the contract if needed.)
- Client deposits funds in their wallet as per the agreed milestone (Non-US clients can hold payments in their wallet for a maximum of 60 days. U.S. clients can hold the payments in their wallet for a maximum of 20 months.)
- The Vendor submits the deliverables to the Client for approval. Client review the Vendor deliverables before approving to release the payments in the wallet.
- When a Vendor submits the deliverables for payments, the Client has up to 7 days to either accept the work or request changes.
- Vendor payments are released in two separate batches each month i.e., the 15th and the 1st
- Payments due between the 1st and 15th of the month (post seven days submission period) are released at the end of each month. Similarly, Payments due between the 15th and end of the month (post seven days submission period) are released on the 15th of each month.
- For projects with multiple milestones, the same process continues.