Most firms pick one by default and never see how it shapes negotiation, pricing, revenue, and margin
What fixed fee and time & materials really decide for your firm
Most firms pick between fixed-fee and time-and-materials early and never revisit the choice, assuming it only affects invoicing. In practice, the model shapes what counts as a negotiation, how risk gets priced, when revenue is actually earned, and how margin holds up between the estimate and the final invoice.
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