Fee structures

5.24  There is a variety of fee structures that may be used for PPP advice. Often advisers will accept payment for services on different terms for different phases of the work. NHS bodies may ask for alternative bids which are based on different rates, e.g. an hourly rate or a reduced rate to reflect the inclusion of a success fee. With the exception of advice on the feasibility stage of a project, procurers should consider at least some success fee element. This is because, in a straight fee basis arrangement, there is no explicit incentive to close the deal. Fee structures might also be agreed on the basis of:

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