Announcement

Collapse
No announcement yet.

Revit Consulting fees

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Revit Consulting fees

    Need some basic info on consulting fees if anybody has info they are willing to share. I am currently unemployed and strongly considering going the consultant route and am looking for any info I can gather on what hourly rate to charge. I have 20 years experience in the commerical design industry with 4 years Revit Architecture experience (I am a Certified Professional) and I also have Navisworks experience. I have already implemented BIM and Revit at 2 companies with great success the last 4 years but going out on my own I am a bit uncertain as to what the hourly rate would be for a freelancer........I was thinking $45-$50 for individual software training and $75-$85 an hour for implementation and project consulting services.

    Any advice would be greatly appreciated!

    #2
    Our local reseller bills around $200 an hour for template & consulting services.
    Revit for newbies - A starting point for RFO


    chad
    BEER: Better, Efficient, Elegant, Repeatable.

    Comment


      #3
      $45-50 is less than what we bill for interns at our architecture firm...

      I HIGHLY advise coming up with a business plan and REALLY go over the numbers to find out how much you'd need to just break even. A considerable amount of your time is going to be spent unpaid, marketing, training yourself on new features, travel, etc... You'll have to pay for your own healthcare, software licenses, hardware, etc... Then think about how many hours you think you could bill per week, realistically. Between travel and marketing, you're not gonna hit 40 hours of billable time per week unless you're working more than 40 hours. Depending on how successful you are, you could be billing anywhere from 0 to 40 hours a week. Working out your pay rate will be much easier after you go over the other numbers first.

      Comment


        #4
        need4mospd has some good advice but as a self employed sole proprietor I can tell you that when starting out "going over the numbers" sounds like a great idea but what are you going to "go over"? You have no background as a self employed person, and since you are asking here about what to charge I assume that you haven't yourself used consulting services in the past that do what you want to do. When I started out in 1990 I decided that I had to charge enough to have a monthly 40% cushion to cover overhead, all those things mentioned by need4mospd and other things, like state and federal income taxes, property taxes, car insurance, and as you'll find, there are more upcoming out of pocket costs that your hourly rate will have to cover. It took me probably two years to balance my hourly rate with my income requirements and what my customers expected to pay for my services. It's a fine line, if you charge to little you may get more work but you'll starve to death. If you charge to much you'll not have any work and you'll starve to death. Personally, if you came to me with a rate for your services under $200 per hour I'd wonder what was wrong with you, you must not have any experience, etc. Start high, you'll need it, and you can adjust as you go along.

        good luck to you!
        I'm retired, if you don't like it, go around!

        Comment


          #5
          Like the two of the above posters say (and I believe that they are saying the same thing) you have to calculate backwards:
          1. First calculate how much you NEED, based upon your expenses (everything you need to spend on to keep yourself going). 2. Then calculate how much you WANT based upon #1+PROFIT. 3. Now work back to how may hours/week // days/week // weeks/month you have. 4. Now you know how much you HAVE to earn per month // week // day to achieve what you want.
          If as need4mospd says, you have to drop your price to be competitive, then you do work faster / more efficiently to be able to keep up with #4 above, or hire staff at a cost lower than your price and factor it into #1.
          It certainly changes one's attitude to work. From an artist/architect [A/A] to a businessman. Sets a goal, to focus, to dump unprofitable work [unless it is seriously assessed in terms of future earning potential, etc.] and it's always easier to work to a target. All management is done this way.
          It also allows you to assess performance. And this method allows one to make the hard realistic decisions that I you can't as an A/A.
          And in the words of Dave Jones [above]: Good Luck to You !
          Last edited by kamranmirza; December 18, 2012, 08:14 AM. Reason: Made more objective
          Kamran Mirza
          Chartered Architect RIBA, ARB, PCATP

          Comment


            #6
            Thanks for the responses!
            My niche so to speak is to target smaller companies who want to move to BIM and Revit but can't justify a BIM Managers yearly salary. I would like to pick up a handful of clients to start, help them implement the software, get their training started and get everything in place so they can begin a pilot project. From there I hope to offer a BIM Manager on call type of service where they can purchase blocks of time weekly for me to come in and access their progress and streamline their workflow in a mentoring fashion. Basically things a BIM Manager would do at a small firm.

            I talked to a professional CPA and consultant and he gave me a chart that figures out utilization and overhead versus yearly salary expectations. He basically told me to base it off of what a company would pay me to do this job to start with. With a 70k salary, 50% utilization rate and 40% overhead it came out to about $70 an hour. Of course he explained the tax implementations and said I could figure on about 8% to cover my tax cost so I figured in an additional $5 an hour. No small company around me is going to pay $200 an hour for a consultant to do what I am looking to do. Maybe a large firm would but somebody has to look after the little guys which is who I plan to target.

            Comment


              #7
              Originally posted by sethridge View Post
              Thanks for the responses!
              My niche so to speak is to target smaller companies who want to move to BIM and Revit but can't justify a BIM Managers yearly salary. I would like to pick up a handful of clients to start, help them implement the software, get their training started and get everything in place so they can begin a pilot project. From there I hope to offer a BIM Manager on call type of service where they can purchase blocks of time weekly for me to come in and access their progress and streamline their workflow in a mentoring fashion. Basically things a BIM Manager would do at a small firm.

              I talked to a professional CPA and consultant and he gave me a chart that figures out utilization and overhead versus yearly salary expectations. He basically told me to base it off of what a company would pay me to do this job to start with. With a 70k salary, 50% utilization rate and 40% overhead it came out to about $70 an hour. Of course he explained the tax implementations and said I could figure on about 8% to cover my tax cost so I figured in an additional $5 an hour. No small company around me is going to pay $200 an hour for a consultant to do what I am looking to do. Maybe a large firm would but somebody has to look after the little guys which is who I plan to target.
              I'm a one person firm and I have no problem paying a consultant $200.00+ and hour when necessary but when I do that I know whom I'm dealing with and what that consultant's value is to my firm in return. So, a firm doesn't have to be big to pay appropriately for valuable services. Be valuable to your customers, provide a service that they cannot get (for whatever reason) anywhere else, be there anytime they need you, and then IMO, YOU can charge $200.00 per hour.

              And, I'm wondering about your 8% tax overhead figure. Assuming that you are in the USA, like it or not, taxes are going up for everyone in 2013 and I think that small businesses are going to be particularly hard hit. Even if you only charge $70 per hour and only work 30 hours a week, with a two week vacation each year you still make $100k plus. I can guarantee you that if you are in the USA and make $100k plus that an 8% tax burden estimate is to low.

              again, good luck to you!
              I'm retired, if you don't like it, go around!

              Comment


                #8
                Sethridge; another piece of advice: With the implimentation thing you have to think long and hard about it; I would decide NOT to charge at a /hr rate, but a LUMP SUM instead. Why is that ? Well because, you will transfer / deliver 95% of your technical know-how / experience (if you are as good as you need to be) within the first few hours ! It is quite difficult [and also ethically challenging] to drip-feed knowledge because of /hr billing (unless you have agreed a minimum # of hrs in advance). With the lump sum method, the scope of work / deliverables have to be defined clearly, and you can revert to a /hr rate for support and maintenance, etc.
                Last edited by kamranmirza; December 24, 2012, 12:48 PM.
                Kamran Mirza
                Chartered Architect RIBA, ARB, PCATP

                Comment


                  #9
                  Originally posted by kamranmirza View Post
                  Sethridge; another piece of advice: With the implimentation thing you have to think long and hard about it; I would decide NOT to charge at a /hr rate, but a LUMP SUM instead. Why is that ? Well because, you will transfer / deliver 95% of your technical know-how / experience (if you are as good as you need to be) within the first few hours ! It is quite difficult [and also ethically challenging] to drip-feed knowledge because of /hr billing (unless you have agreed a minimum # of hrs in advance). With the lump sum method, the scope of work / deliverables have to be defined clearly, and you can revert to a /hr rate for support and maintenance, etc.
                  Good advice. My thinking is to work out the details of exactly what they want, work up a lump sum or set number of hours and then offer my services as a BIM Manager on call where they can purchase time blocks on a weekly basis to manage their progress, workflows and projects, etc.....perhaps they need a little more time at the start of a new project.

                  Comment


                    #10
                    Cellophane's right on the money for US Dollar amount. Best thing I do is provide a hard quote instead of a ever growing bill of labor hours. I have a side business (totally legit, got my EIN# and err'thing) and attached is a proposal I worked up about a year ago. Use this as a guide for yourself.

                    This quote was generated with me using AutoCAD MEP as the program of choice, and I did a rate of $90/hr which is a discount of $120/hr. Now that I'm much more competent with Revit, my normal would be probably about $180/hr as a starting point, then I'd adjust that amount as needed. But truly what matters is the end payment, so I'll fudge dollars or time to reach the ultimate financial goal. Estimating voodoo at its best.

                    Anyways, hope this proposal can give you some ideas to help you out. And good luck with the consulting -- it brings in plenty of extra cash for my wife and I so I love it. Although sometimes it can drain you mentally and physically.

                    Attached Files
                    Tannar Z. Frampton ™
                    Frampton & Associates, Inc.

                    Comment

                    Related Topics

                    Collapse

                    Working...
                    X