Before starting the project, structure its scope and get a detailed estimation by your development team.
The project cost estimation template is a perfect tool to evaluate IT projects of any complexity. This fully customizable template gives the ability to estimate project activities and prepare a rough timeline at short notice. The solution is helpful for project managers, technical leaders, and developers alike.
Download the free template in Excel format.
The template is ready for immediate use.
Project cost estimation is an integral part of both project and cost management. In a nutshell, it is a process of evaluating the budget necessary for a project's successful completion.
Now, you can see both the projected cost and the project's timeline.
Before starting the project, structure its scope and get a detailed estimation from your development team.
Determine the functional scope and number of hours required for the initial development phase. At this step, you can dedicate features to different phases.
Set required params for such activities as stabilization, project management, etc., on a separate tab. It would help if you calculated it as % of efforts for initial development from the previous step.
Determine hourly rates and the number of employees for each role.
Add one-time activities and their estimation to totals.
Set a start date for the project.
Developing software is a complex process that includes variables such as different methodologies, programming languages, and practices. With all these factors to consider, project estimation gets challenging. So how do you estimate a project correctly? The first step is to avoid the most common mistakes:
When estimating, don’t jump to fast conclusions
Include potential variations in estimates
Use alternative pricing models
Consider possible future changes
Don’t build your development strategy around assumptions
The template includes into the quote not only functional development but all support activities on the project: stabilization, management, quality assurance, design, etc. The scope may be prioritized and split into several phases, and the template will calculate them separately.
Once you have estimated a quote, it's easy to adapt it to future changes in efforts price, activities duration, and planned risks. This way, when doing project planning, you get the essential data at a glance whenever you need it.
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