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#9669 - 05/08/02 07:44 PM Lighting Contracts
JMichael Offline
Member

Registered: 03/10/02
Posts: 60
Loc: Norwich, NY, USA
Just pondering some prices for myself and was wondering what others charged for lighting contracts for residential units. I mean what do you include in the contract? Just check light bulbs?

James

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#9670 - 05/09/02 08:07 PM Re: Lighting Contracts
The Watt Doctor Offline
Member

Registered: 12/23/01
Posts: 443
Loc: Mont Belvieu, TX
If you are refering to maintenance applications, I would try to consider what is needed. Are there fixtures that need to be replaced from time to time?
J, if I were you, I would determine the scope of work myself, and set the terms under which you will enter into contract. The variables are many, but some examples would be show up times, minimum charges, overtime rates, etc., etc.
Before any of the above takes place you need to determine how much work this contract is going to provide your company for the duration of the contract. Then, you need to determine how much it will cost your firm to perform said work (when I say cost, I mean every penny associated with the work in question). If, J, you can determine how much it all costs, then, my friend, you will be able to easily determine how much to charge (margin) the customer. Remember the Proverb, "A wise man, before he buildeth a tower, he counteth the cost."

Wattological Regards,
Doc
_________________________
The Watt Doctor
Altura Cogen
Channelview, TX

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#9671 - 05/10/02 06:42 AM Re: Lighting Contracts
JMichael Offline
Member

Registered: 03/10/02
Posts: 60
Loc: Norwich, NY, USA
I like that last line..

What I would like to do is offer service/maintenance contracts to the residental customers. Even if it is a semi or annual check up of there electrical system.

Let me explain it another way.. How many times have you gone to a job and found something potentialy dangerous. You know what is wrong but the average homeowner does not know.

Take my last service upgrade for instance. The service wires going to the meter were so dry rotted there were exposed stands against the house. Now imagine a nice rainy day and someone was to put there hand on the wet wall that the service wires ran against. ZAP!

When I showed the homeowner what I had found he did not know it was that bad or he would of had it done a long time ago. See he just did not know how bad it really was. That is what I want to prevent.

I bet we all know of at least 10 houses off the top of our heads that have been burnt down due to electrical faults. Not saying that it is caused by faulty installations. But lets face it over time things get worn, broken, or just damaged from years of wear and tear. By offering the customer a service contract, we are able to locate potential dangers before they become a tragady. I mean what does it really take for us to go and check out a house for potential dangers? Then if there is something wrong, we can show them, and explain what is wrong. And being they have a service contract. (Depending on what you charge.) You can offer the repairs at a discount or even include it with the contract. Ie. a broken duplex recep. or broken toggle switch.

I have a lot of respect for what I do as I am sure most everyone else here does as well. But the thought of seeing a house burn down makes me wonder if it was caused by electrical purposes. If so, could it of easily of been prevented by a mere checkup.

Gotta run..

James

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#9672 - 05/10/02 07:12 PM Re: Lighting Contracts
Electric Eagle Offline
Member

Registered: 04/20/02
Posts: 928
Loc: Alpharetta, GA
I don't offer anything like this at this time, but I have considered it. One thing that stops me from doing it is the potential liability. What if you get a contract to check and repair all problems and you miss something big that causes a fire or injury? Even if it was hidden, you could have potential liabilty just because you were suposed to find and correct the problems. I'm not saying you shouldn't do it, I'm just saying you should let an attorney draw up your contracts. Good Luck.

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#9673 - 05/11/02 12:49 AM Re: Lighting Contracts
JMichael Offline
Member

Registered: 03/10/02
Posts: 60
Loc: Norwich, NY, USA
Well that would go with out saying.. Especially, here on Long Island We are unfortunatly surrounded by sue happy people.. But I considered that as well.. The best I could come up with is any visable hazards and or dangers will be addressed by this method. Needless to say I am not about to pull every outlet and switch in the residence. And like you said, "Who knows whats behind the walls." It will be more directed twards to visable hazards. Service, amp tests, breaker trip tests, gfi testing. Basic standard testing and checking. I considered the liability issue to the point where I did a complete check up on a family members house. (Just to see how long it would take me.) Using expensive testers, wire tracer, etc. etc. It would be far to costly for the homeowner to afford testing of that nature. I had figured complete testing would cost the homeowner about $1,500. - $2,000. a year for annual checkups. Most homeowners would not go for that. They would live with the risk. So I did some checking around talked to some family members, neighboors, friends, and even in chat rooms to see what they would be willing / expected to pay for a annual checkup. about 70% of them say 300-500. and 20% was pretty much undecided and about 10% thought it should be free, being I will do the repairs. Needless to say this is not a scientific (Sp!) way or testing for it. But it gave me an idea of what homeowners are willing to do and not to do. I have not broken it down to the final details yet, but I am looking at probably a $99.00 - $199.00 annual service contract. Included will be 1 visual inspection and 2 requested visual inspections each year. The 2 requested will be used for when the homeonwers do there own wiring and the wife wants a qualified electrician to check to make sure it is safe. Plus any repairs will be done at a discount. Probably something along the lines of a 10-15% discount. But as you probably already know the money is not made in the service contracts, it is made in the repairs. I am also considering including a free 6 month service contracts with all work done as well. Just to keep my foot in the door so to speak.

James

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