/ Time & Material model
The time and material business model is perfect choice for short or middle term projects, where the total effort cannot be estimated in advance or the scope of work can be changed during the project implementation.
It is also ideal for clients that need research work or to extend an already operational team. The time and material may be used as a transition step to establishing a dedicated team for long term projects.
The Time & Material advantages
This is an effort based model with costs is being calculated using the following formula:
Total Project Cost($) = Allocated Resource * Rate(hourly/weekly/monthly)