You always seem to talk about pricing from the seller's point of view. I'm on the other side of the equation. I'm a non-technical manager and will be overseeing an outsourced software development effort (we have no developers on staff).

We're currently talking to two development companies. One is giving us an hourly rate but is unwilling to give us a firm estimate. The other has presented a guaranteed fixed price.

How in the world can I compare the two bids?