Tell HN: I will build you a working MVP for $2,345
prototypefor2345.com
prototypefor2345.com
1. Cash poor wantrapreneurs who expect the world but can't pay for it.
2. Entrepreneurs with realistic expectations who are able and willing to pay a fair rate for labor. The founder of Groove is a good example[1].
The person interested in a 3 week engagement that costs $2,345 is more likely to fall into the first group.
You want to do everything you can to avoid the first group, even if you're starting out and trying to build a portfolio. These clients are far less likely to collaborate with you effectively and far more likely to be unprofitable to serve. Additionally, because they don't have the capital reasonably required to execute on their ideas, you'll probably never build long-term relationships, which are very desirable for solos.
In terms of targeting the latter group, which would enable you to charge a lot more, you're far more likely to be successful if you can demonstrate that you have some product development chops. A lot of entrepreneurs need help translating their knowledge and ideas into functional requirements; many of them are not going to come to you with ready-to-implement wireframes, user stories, specifications, etc. These entrepreneurs need a partner who is capable of being involved in the tasks that come before implementation.
"We'll agree beforehand on a list of features" has a lot of complexity hidden inside; if a client shows up with an idea "be the next Google" and hands you a list "1. SEARCH TEH INTERNETZ", what will you do?
My response was something like "If I could write a search engine as good as Google in my spare time, I'd be living a lifestyle somewhat more luxurious than the one I actually have."
If you charge 10K+ like others are suggesting, then you are competing with 10000 devs ready to do that work. If you charge 1K, you will lose money and target the extreme low ballers, and no amount of free marketing can make it sustainable. Your number of ~2.5K is a perfect balance.
But set a few hard-rules before you agree on a project:
- wireframes, mockups with annotations to avoid scope-creep
- design will be bootstrap quality (otherwise design is never-ending)
- is designed for demo purposes, it will break if 10,000 ppl access it.
Remember your clients are "idea mongers" who want to validate an idea, but dont have the chops to do it themselves. So your clients will not be businesses or startups - but plain old business folks with ideas. Stick with it. If the demand is great, then outsource it or franchise it, but control quality by keeping it within your strengths (py + web.py)
since you missed "1" here is a way to include it:1 for $2345 :)
Great idea! Good Luck!
You can bake in the idea of a cash/equity split if the freelancer was interested as well.
The idea would be to limit projects based on time, scope, or budget from the get-go and stick to the MVP market niche.
Edit: Thinking about this idea more and reading more comments on this thread gave me another idea. Many people have commented that it might be a good idea to have your app fully wire-framed and thought out first. Need help with this specific stage before getting into the development of the MVP? Just another channel on the marketplace.
Idea Consulting -> Wire-frames -> MVP Development -> Design
All of course are optional and you could obviously swap Development and Design.
Chris, if you are reading this, please share your experience with us.
If I recall correctly, he got more projects than he had time to work on and people didn't care that it was written in Clojure and not Python or Ruby.
At that point in time 5k was reasonable. The price would go up quite a bit if I were doing it now though. But I doubt I'd do it again - the work didn't end up being as exciting as I thought it would be.
What I would consider doing in the future is the "idea consulting" I discovered most people ended up needing. I have a knack for pulling things apart and putting them back together in interesting ways :)
customer #1: $2000
customer #2: $2100
customer #3: $2200
And so on until customers stop signing up. Then you start over.
You should ask for 1/4 up-front, before you write any code.
I've never had anyone walk away from a project after asking for 50% upfront at projects this scale.
As somebody who has been burned badly by somebody who didn't pay up after work was delivered I can tell you do not ever work before getting some fee up-front (preferably the entire amount). If the person can't afford to pay you before you start, you probably don't want them as a customer.
Conversely, those who are ready, willing, and able to pay are the best and most lucrative customers to have (and you can charge a lot more than $2300 for your services).
For ongoing projects that you bill hourly instead of fixed cost, try to do retainer instead of invoicing and then getting paid a month later model.
Cash flow is THE single most important thing in this business. Try to get paid as early as possible, and delaying paying others as much as possible (while still paying them reasonably soon, of course - just try to negotiate better terms upfront, i.e. get paid Net/15 and pay others Net/30).
Also, never EVER work without a contract. For every project, have client sign MSA and SOW. I bought mine from here: http://msabundle.com/ and modified per my needs.
Also it serves as a negative filter, weeding out cheap or incompetent clients. Like any other business, finding good customers is vital to your flourishing.
Sometimes you have to be firm on it, but trust me, beats the hell out of trying to collect 10-15k in outstanding invoices when your mortgage is due.
This is like the one venue for most people CAN build out their ideas.
I could go on, but I don't want to discourage you. You should try it, just be careful not to lose money. Also, if you're in the western world, make it $10,000 or $20,000, that's a more realistic number :)
There are a lot of unknowns, the only known is that it costs 5$, that's all some people need to know.
just curious, but what kind of business model did you end up going with?
I wasn't able to find a way to present what we were doing as a product, and kept going with a traditional model of getting project specs, doing discovery on requirements and budget and then putting together a quote.
interesting. I think that's the basic business model my boss has. it seems to be working now, but i'm always curious as to what other models are out there
It did get me thinking though - really good luck.
$2,345 / (40 * 3) = $19.5416666667/hr
I guess if you're just starting, that's decent money, but I don't think I could run with the same idea myself. I'd probably need to add a 1 to the front of your number.
You're right though, I am just starting off, and already feel a bit guilty asking for anything north of $5k.
- avoid the arseholes: at 1cent to 50bucks any idiot will spring for the idea and make your life miserable. At 2345, you should be out if their price.
- to fund your own tenure. We work at 19 bucks an hour because the employer just needs our body at a certain location. Not our brain or our lifelong learning. But you need to use those things. Fund them.
Plus (again if US) you'll pay more taxes if self-employed.
If you lived near me, I'd seriously consider hiring you. And you'd get to play in python with lasers and robots (sometimes). And have a guaranteed revenue stream.
P.S. I checked out your essay about the first person view. I think you should watch this video from the BBC. It describes how this first person view that you describe is not actually making the decisions for your body, an MRI machine can predict what decision you will 6-7 seconds before you become conscious of making a particular decision. This doesn't necessarily answer your question, but the video shifts the question from why am I making decisions to why does brain make me think I'm making decisions.
Question for the more experienced people here: if I changed it to "$2,345 per week, and it'll take 1-3 weeks" instead of "$2,345 for up to 3 weeks," would I lose anyone I shouldn't be losing?
A better idea is to go with $12345 for 4 weeks.
Reduce scope or draw boundaries, but dont bump up the magic number :)
Why web.py over flask or django?
I did consider Flask, which is much more similar to web.py, but eventually chose web.py because I was a fan of Aaron Swartz' work at the time.
Good means to advertize your site on HN, though. ;-)
Having done "MVP" work before, I wouldn't undervalue your work like this for to long or you'll be facing burnout quickly.
In either case, I guess it would turn off half the visitors if I just changed the price right now.
Also charging more for successive jobs wasn't a joke. You're being pretty transparent about your pricing; you could keep going and post how much each project cost and what the thing was that you built for that. Might make a more lasting marketing ploy.
Also, having a starting price in the 10k+ range will help weed out bad apple customers. Trust us when we say that you want fewer high quality customers than a lot of pain-in-the-neck customers. Finally, charge 1/4th upfront like another poster said so you don't get screwed.
If I were to have one suggestion it would be for his site to spell out some parameters about what a prototype is so there are no later arguments.
Yes. if you're living near the poverty line "by choice", having money isn't a problem you're trying to avoid, it's spending it. The two aren't related.
If your goal here is to build customers, portfolio and reputation, do as others have suggested - feature a rolling price. It'll get you want you want, and set you in a better light.
Wish you the best with this new venture.
EDIT: Working now
Thats probably lower than a cleaning man is selling his time for.
Oh well, I guess you get what you pay for. No offense, but seriously.
Busy consultants and developers rarely have the time to work on their own site.
[0] http://en.wikipedia.org/wiki/Shoemaking#In_popular_culture