The process of estimating time in our business is broken. At most, we typically have a document of basic requirements, alongside a few calls with the client to go over questions about a project. In turn, we are expected to provide a budget/timeline and stick to it for what can easily be 3-6 months or more.

For many projects this is enough, but for larger or more custom work, estimates in many ways are just a shot in the dark. The process is often inaccurate and risky. It's like remodeling a house. The project often takes longer and costs more than you originally planned. Since we're committed to meeting both the timeline and budget, there are times when an inaccurate estimate can present a bit of a pickle.

An incorrect estimate isn't good for anyone. Overestimating isn't in the client's best interest and can keep you from getting the project, but underestimating almost ensures that the project will not promise to be your best work and it can be very frustrating for both sides. Ick.

Recently we have begun suggesting a paid "exploratory" period (needs a cool name). We spend all the time necessary to define a clear project scope, write out written requirements and estimate the time needed to complete the project. An accurate quote can easily take at least a few days when done properly, and it is only fair to be compensated for that kind of time.

Since the client pays for the time, they own the work that we do to define the scope and create written requirements. That way, getting bids from other companies should not only be easier, but all the bids should be more realistic.

Another benefit of paid exploratory periods is being able to partner with a client/company before diving in head first. It is very important for both sides to get to know each other, and get a good feel for what it's like to communicate together. If it does not work out, you can look elsewhere without being empty handed.

We don't do this on many projects, but it is extremely helpful for some. Here is a list of questions I consider when deciding whether the project needs further exploration:

1. How well do I know the client? How quickly do they typically communicate and get things done? Do they trust our expertise or value the same things we do in a quality website?
2. How long will the project take?
3. Have I done this before? How much of the work is new for us or custom?
4. With what we know about the project now, is it enough to provide a very accurate quote or do we need more information?

I'm definitely most comfortable with this approach right now, but it took nearly 4 years to figure it out. I believe it is perfectly reasonable to ask for compensation if it will take a significant amount of time to provide an accurate bid on a project. If you can master the art of pricing and estimates in web development, you are on your way to building a very successful business.

For additional thoughts and ideas on estimating time as a web designer/developer, our friends at Smashing Magazine published a very informative article about it.