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Contract Programming Contract Programming

Many ISVs do consulting work or take on contract jobs. Unfortunately, many developers that enter into contract programming fail to put safeguards in place to insure that the job will proceed smoothly. It is important that expectations be clearly defined and understood by all parties involved. With that in mind, when drafting any such agreement, you should...

Outline The Service

Detail the scope of the programming job. The agreement should include detailed information that defines the expectations of all parties involved in the contract programming job.

Detail The Approval Process

It is important that benchmarks are established and agreed to, so that everyone stays on the same page. It is best to discover differences in expectations early in the process, and planned and documented benchmarks will help everyone know what those expectations are.

Sign-Off Requirements

The person or persons authorized to sign-off on the project or benchmark also needs to be made clear to everyone involved. The decision-makers need to be clearly outlined. If management has the only sign-off authority, that fact should be documented in the agreement.

Milestones

Payment or partial payments can often be based on the approved completion of milestones or benchmarks that are built into the software or programming job. Structuring partial payments based on progress milestones means that the developer is not "on the hook" until the final completion of the project. They can break the project into smaller jobs, and receive partial payment as they complete each segment.

Timelines And Deadlines

The dreaded deadlines often haunt contract programmers, but it is important for people to have an idea regarding how long projects are expected to take. Outline the anticipated amount of time that the various segments of the job (such as programming, Q&A, testing, bug fixes, etc) are expected to take along the way.

Copyrights

Clearly discuss and document who will own the final product or who it will be licensed to. Will the source code be passed along or not? Who owns the rights to sell the software? Essentially, determine who will own the source code and whether any parts of the source code can be re-used in other projects.

Developers can often supplement their income by doing contract programming. This can be a great source of additional revenue when properly structured. Make sure you take the time to detail the plan before your begin.

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