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recently I was asked the question what are the pros and cons of delivering a fixed price contract the questioner was thinking in terms of being a consultant or contractor delivering a project for a client and for me the pros and cons are pretty much as youd expect if you think it through but if you havent had a chance to think it through for yourself then Im going to give you my answers in this video the first thing to say about a fixed-price contract is its all about risk things will be fine if you do three things firstly you have to price your contract accurately which is by no means trivial second have to apply a sound contingency to your pricing and to your schedule and include an appropriate profit margin so that when you deliver to budget to schedule you make the right level of profit and third you need to deliver to schedule to budgets and to specification if you do all three of those then you will retain your contingency youll make your plan profit and all will be well wi