A Cost Plus Program is a pricing structure used in business when one party agrees to provide goods or services at cost, plus an agreed-upon fee for their time and effort. This type of program is often used when long-term arrangements are needed, as it allows for greater transparency when negotiating prices. The agreed-upon fee should cover the costs of obtaining any necessary materials, the overhead associated with providing the service, and the value of the labor performed. It’s an ideal way to ensure that both parties benefit from the transaction by rewarding hard work without sacrificing affordability.