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Joined: Jul 2004
Posts: 272
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Car dealerships and target don't send someone out to my home to show me what they have to offer and quote me prices. Auto repair shops don't come out to my home to look at my vehicle to give me a free estimate on the repair costs. I have to take my vehicle to them. Ask them to look at your car for free and then give you a free estimate and see what they say. They charge a fee just to look at your car and thats when you bring it to them.
I had a company come out to look at my big screen tv. They charged a $40 trip charge plus a $40 diagnostic fee. It cost me $80 to have them come out and look at it. Took him 5 min. to determine the problem. The estimate was free. It was the trip charge and diagnostic fee I was paying for. He had to order the part and come back another day to make the repair.
Why should we be any different.
I charge a service fee of $39.50 to come out. If I were charging for the estimate it would be alot more than $39.50
I had a customer call wanting me to come out and inspect the home that they were going to sell and give them a estimate to repair any problems that I found. I informed them that a fee would be charged for the inspection. After inspecting the home I presented them with the invoice, a list of problems and an estimate for the repairs. They felt that they shouldn't have to pay anything and it should all be part of the free estimate. I spent a little over an hour inspecting their home. I informed them that the estimate was free it was the inspection that they were being billed for.
If a customer would like to bring their home out to me I will gladly wave the $39.50 fee.
[This message has been edited by A-Line (edited 08-02-2005).]
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Joined: Aug 2005
Posts: 11
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Yep, I pay!
If they would come to my house, at my convenience, I'd be happy to pay! I love new cars but hate driving around looking to buy one. Sign me up today!
Zaney
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Joined: Dec 2004
Posts: 1,064
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LOL,
Abit off track but you see my point about the Price shoppers statement.
LOL, bring their house to me.
One other point for the Resi guys.
Did you know some of us commercial guys can spend days loking at prints, (retail stores, fast food restaurants ect.)then submit quotes and wouldn't even dare charge the GC for time spent doing it. Even better than this are the Really big EC who do schools and Federal buildings. They do all this for free and still have to pay hundreds of dollars in fees, just to submit their quotes.
Dnk......
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Joined: Jul 2004
Posts: 272
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Yes I know. Thats why I don't do that type of work.
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Joined: Aug 2005
Posts: 11
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Ditto,
Why have alot of EC company's started service and repair departments?
Because thats where the money is....
Zaney
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Joined: May 2005
Posts: 706
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The receivables are better in residential service, but commercial jobs are good for repeating full days.
Dave
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Joined: Sep 2005
Posts: 13
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I think the important part is not if Flat or T&M but the return on investment.Flatrate sure will allow you to charge 5 to 6 times more.T&M will allow you to charge more hours
Whatever works friends.In business since 28 years and have tried both by now
It's the RoI that makes the gravy.Nothing else.
[This message has been edited by teraohm1 (edited 09-12-2005).]
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Joined: Jul 2002
Posts: 717
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quote "I even bet someone could make a business out of giving estimates. If the roofers charged $150 for an estimate, then bid the job so high no-one would take you seriously. That would be about $150hr for no work involved, except taking a ladder off the truck. Pretty good money for nothing.
I would like to thank the author of this incredible idea. Why didn't I think of this myself? I am going to take out a gigantic yellow page and just drive around charging for overpriced estimates. No more permits, no more inspections, no more general contractors, no more deadbeats, no more .......
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Joined: May 2005
Posts: 706
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Do I detect a little sarcasm?
Dave
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Joined: May 2005
Posts: 706
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A. A client that calls to have the work done, trusts that I'll be fair & pays within 30 days.
B. A client that needs to know the price for their budget, but the job is mine if they can afford it. Or, someone that is referred by another client.
C. A client who calls around to "keep me honest".
D. People that don't really care about my membership in BBB, IAEI, Chamber of Commerce, Satisfaction Guarantee, etc. Low price is the winner & they go through the phone book starting at AAA or A-1. Aren't they surprised when the low-price winner doesn't return their calls on warranty work?
Loyalty works both ways. After doing good business with a client for a decade, I'll jump to fix their electrical problems. Better clients like it that way.
I don't use the cheapest accountant, mechanic, lawyer, etc. because I don't want the problems associated with cheap businesses. I can appreciate that they are charging what they need to... to stay in business so they'll still be around the next time I need them.
Dave
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Posts: 5,445
Joined: January 2005
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