My company is a custom development shop for a number of projects, some larger and some smaller. Currently we handle all of our client communication through email. So we email a design doc, they mark it up and send it back. Then we roll out a beta version of their product and they email us with any bugs, new features, etc. And so on....
As I am working on implementing a new bug tracking system (it looks like it will be Mantis right now), I got to wondering how we could best allow our customers an interface with our development process that would provide better tracking of feature requests and client submitted bugs as well as communicate our responses back to the client.
If anyone is aware of a a bug tracking system that does this exceptionally well I'd be interested to hear of that. Otherwise I'm just looking for some general guidelines or good business practices that have allowed your companies to interface effectively and efficiently with your clients.
UPDATE: My company uses a LAMPP stack and as we are a small shop with a limited budget we tend to stick to tools that are open-source and free.
Do most people either use Team Foundation Server to handle this or emails back and forth?