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ELISA-Entwicklung GmbH & Co. KG
The laboratory for professional assay development

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Risk and Costs

Antibody production, protein purification and test development are associated with some risk. Timely success cannot be guaranteed and complete failure or delays have to be considered. To avoid increasing costs as the result of failure or delays, appropriate agreements with clients will be made before the project is commenced. Different agreements are possible and will be specified in conjunction with individually adapted pricing modules.

Two extreme examples are described below.

Module 1. The client carries the entire risk
All materials, costs and labour for the project will be calculated before the project starts. The client agrees to the pay all costs even if the development fails or if additional costs are accrued due to additional work. This is a low-cost module if the project is successfully completed within a short timeframe.

Module 2. We carry the entire risk
The client pays only if the work succeeds and if the specified goals are achieved. In case of failure the customer pays nothing. Depending on the potential risk of the project, the cost estimate for this approach is about two- to three-times as high as the low-cost module.

 
General considerations
A range of similar variants of this pricing structure can be negotiated with the client. For example, if both parties agree to "an unlimited time period" arrangement, we can work more economically in comparison to an agreement that has tight time limit. If we exceed a time limit in the development process, price discounts can be negotiated and should be agreed upon in advance.
   
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