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Post Info TOPIC: Business on a handshake?


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We are an LLC for protection reasons.

When I sold cars we wrote down a price on a blank sheet of paper, drew a line next to it and put an X on the line and asked the customer to sign at that price. That piece of paper wasn't a contract, but it did give the customer mental ownership.

When you're doing 3-4 roofs a week a hand shake is fine. When you're doing 3-4 or more a day you will need to protect yourself. Also when you get that busy that means you're gonna have more competition for them to shop your price.

And just because a seatbelt won't save your life every time, doesn't mean you shouldn't wear it.

Sorry for the jumbled response, I'm in the truck driving to Orlando.

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Post pics when you get back with the new rig!

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I have been stiffed once in 8 years of business for $145. regular customer, quick gutter cleaning. Deal honestly with your customers and they will deal honestly with you.

In florida, a verbal agreement is binding. If you give them the proposal and they agree to the work, they dont have to sign it for you to collect on it.

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I've always done things on a handshake and always will. If a customer wants to stiff you their going to do it regardless of a piece of paper. The point is if you screw it up its your name and you better fix it regardless! Or figure you won't be in business long anyway. The power of negative buzz seems to travel much farther than good news you can count on that. Just my thoughts. Oh and Ted I'm kind of proud of my hillbilly side too, seems to work pretty well in these backwoods until you upset one of em', and believe me here they don't sue you they just take you out back behind the woodshed and stomp ya!

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'Ted I'm kind of proud of my hillbilly side too, seems to work pretty well in these backwoods until you upset one of em', and believe me here they don't sue you they just take you out back behind the woodshed and stomp ya!'

Spoken like a true Highlander, 'born and bred'  biggrin

All together now -   sing.gif I was born on a mountain and raised like a bear, a.....(Sensored ashamed) sing.gif

Jokin' aside. Maybe it is a Southern hospitality thing.


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kse1221 wrote:

i hear you guys talking about getting your customers to sign a contract..  and i have heard one reason is that it is easy to clean a roof but hard to sell.. and if you get a customer to agree to clean there roof with no contract, you give them a chance to shop around and get a better price.. there is always going to be someone cheaper.. 

my question is, do you really want to work for these people who are looking for a bargain roof cleaning? 

even if you get them to sign a contract, they have 3 days to back out..  so why have them sign it?...  why pressure them in to a sale they don't want?  why cant you just inform them that you can clean their roof and if they agree, just do it on a handshake? 

if your doing a quality job then why is there a need for a contract?? 

is there anyone doing business on a handshake? 

this is just a question..  as a home owner i don't like people showing up and knocking on my door and pressuring me in to buying something i don't want..  and then making me sign a contract.. even though i have three days to cancel.. 

i would rather have someone show up at my door and tell me i have a dirty roof and that they can help me if i want it.  home owners know if they have a dirty roof..  hell i had a really dirty roof at my last home..  i moved before i even knew that it could be cleaned..  i wish someone would have informed me back then.. my new home doesn't need it yet..



This residential thing no agreements might be ok. I would never do a commercial Job without a signed agreement detailing what is expected of us. People love taking advantage, this also provides them with assurance.

Here's another one for ya, your salesmen takes a hand shake. your done with the job and the people inform you that your not finished. They honestly misunderstood your salesmen. They said he would wash a bunch of other stuff and they are not paying till your completed.

Its just easier to have a Signature for the work, by no means pressure anyone that might have buyers remorse.

Its just my opionion, I hate residential and dont have patients for this LOW-baller night mare.

I love High profit Commercial Jobs working at 100's per hour over and over again and again.

 



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Ron Musgraves wrote:

 

kse1221 wrote:

i hear you guys talking about getting your customers to sign a contract..  and i have heard one reason is that it is easy to clean a roof but hard to sell.. and if you get a customer to agree to clean there roof with no contract, you give them a chance to shop around and get a better price.. there is always going to be someone cheaper.. 

my question is, do you really want to work for these people who are looking for a bargain roof cleaning? 

even if you get them to sign a contract, they have 3 days to back out..  so why have them sign it?...  why pressure them in to a sale they don't want?  why cant you just inform them that you can clean their roof and if they agree, just do it on a handshake? 

if your doing a quality job then why is there a need for a contract?? 

is there anyone doing business on a handshake? 

this is just a question..  as a home owner i don't like people showing up and knocking on my door and pressuring me in to buying something i don't want..  and then making me sign a contract.. even though i have three days to cancel.. 

i would rather have someone show up at my door and tell me i have a dirty roof and that they can help me if i want it.  home owners know if they have a dirty roof..  hell i had a really dirty roof at my last home..  i moved before i even knew that it could be cleaned..  i wish someone would have informed me back then.. my new home doesn't need it yet..



This residential thing no agreements might be ok. I would never do a commercial Job without a signed agreement detailing what is expected of us. People love taking advantage, this also provides them with assurance.

Here's another one for ya, your salesmen takes a hand shake. your done with the job and the people inform you that your not finished. They honestly misunderstood your salesmen. They said he would wash a bunch of other stuff and they are not paying till your completed.

Its just easier to have a Signature for the work, by no means pressure anyone that might have buyers remorse.

Its just my opionion, I hate residential and dont have patients for this LOW-baller night mare.

I love High profit Commercial Jobs working at 100's per hour over and over again and again.

 

 



Ron - FWIW, I'm with you 100% on a contract for commercial.  All we've focused on so far is residential, so that's where my prior thoughts and comments were coming from. 

I was under the perhaps wrongful impression that commercial was lower profit and therefore had to be high volume?

I don't want to hijack this very active post.  I should start a new post on this topic and hopefully get your guidance along the way.  

 



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I plan to implement a very simple service agreement shortly. It's purpose will be to simply keep both sides honest. And, yes, I believe it will make homeowner's feel obligated to not price shop once they've signed it. But that's really not a concern of mine. If they want to price shop, I deserve it because I didn't do my job.

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  I take my cue from the customer.  If they want to sign a contract I have them do it.  I always try to write proposals just so I don't forget the price.  Just don't always have them sign it.

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I have a contract but rarely use it. I ask most of the homeowners if they want the estimates on paper, 99% say no don't need it, then I shake their hand and I know I have the job. Never been stiffed. I do leave an invoice, in a self adressed stamped envelope, in their door after the job is done. They send a check later. Some I have worked with pay partial payments each month.

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With all jobs you should have a contract... Ours are ready to go, just did not use them. On the back we put a lot of terms and conditions to protect both parties.



-- Edited by Bob Jr on Monday 1st of November 2010 06:57:05 AM

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Very professional "Agreement" there Bob, +1

What software do you use it with? Are they pre printed, or does it all come off the printer?

-- Edited by OSM-Jo on Monday 1st of November 2010 07:22:51 AM

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Bob

Would you care to share the verbage of the Terms & Conditions? I couldn't read the small print.

Charles

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Bob Jr wrote:


I will be the first to admit how important a contract is and after being in business for many years our contract is on legal paper front and back full. However we did a lot of work this year and never signed a single contract and we collected from every job... (((Knock on wood))) 

In the time it takes to sell & sign someone up you could of sprayed a roof.

If you end up in court you could be 100% correct and still loose what's the point, more wasted time and money. Is it worth the $395.00 you charged? Just send Vinny to collect!

Sell and sign up took you 2 hours + gas ? What is a 1/2 day in court worth these days? 

I say shoot a lot of pictures and give them 100% ...collect ....move on! If you damage something fix it.

Now if you KILLED the whole yard you might want to call your Insurance Company and schedule a deposition or you could get some green spray paint. wink

I have 2 Company's one Incorporated and the other LLC. and I do not knock on doors!

Good Luck with whatever you decide to do!



so did you kill the grass that is getting painted in those pics

 



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Jo

Originally laid it out using Quick Books then had them printed as a 2 part carbon copy with nebs.


Charles

I edited it to make it smaller because the first one I posted you could read. wink

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so did you kill the grass that is getting painted in those pics

-----------------------------------------------

Kevin,
No way the only thing we kill is Mold-Moss-Algae and Lichen... you would have to be a real bad shot, which reminds me...

Chris fell off a roof one time with the ball valve open and did some major over spraying but the King of spray still did not kill anything.

http://roof-cleaning-institute.activeboard.com/forum.spark?aBID=123190&p=3&topicID=38788476


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We do pretty much all residential work on a handshake. I have never had a problem collecting after delivering what was promised to the customer.

On the other hand I do 14 Walmarts here in North Florida Area and if you didn't have a contract with them they would run all over you with extra little jobs. The contract lays out exactly what is expected of us from the time we hit the site.

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PA Roof Cleaning Pros wrote:

To anyone that thinks they don't need a contract I recommend taking one whole day and spending it sitting in a small claims court listening to cases. I can respect the days of old when a handshake was a contract, but those days are long gone. Customers expect to sign something (except maybe in the mountains or some backwoods rural area). Contracts spell out expectations and are a put-your-money-where-your-mouth-is assurance.




 +1 Ken. You got me learning over in TGS.



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well I have been cleaning roofs and gutters for about six months now and have done no contracts. Then I got audited by Labor and industries, well checked up on, (Long story) I found out that in the state of Washington you have to have a contract on all jobs big small, doesn't matter. The auditor told me that and I said RU RO I now use a generic contract but the season is almost done for me. In the spring I will Have some new ones made up just for my company.

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