Did you know more and more SMBs are using service contracts to grow their business while ensuring a healthier bottom line?
For starters, service contracts can create greater cash flow. Since service contracts are generally paid on a monthly basis, you’re infusing your company with guaranteed business.
Additionally, service contracts can:
- Increase your company’s value
- Strengthen client relationships
- Keep your employees busy, especially during slower times
Let’s start at the beginning. A service contract is an agreement to provide a specific level of service and support in exchange for a fixed fee. Instead of guessing when a customer is going to call for service or new parts and sending an invoice after each separate occurrence, you can anticipate how many hours you will dedicate to a customer and how much revenue that will generate over a set period of time.
Contracts also allow your dispatcher and field technicians to prioritize service tickets and make it easy to track the profitability and ROI of each contract. The goal, of course, is to generate a consistent profit while providing your customers with the same great service they’ve come to expect at a standard rate.
The good news is that you don’t need to hire a lawyer to set up a service contract.
In fact, you can do it yourself fairly easily. In our free e-book, “How to Set Up Contracts in 5 Easy Steps,” we walk you through everything you need to do:
Step 1: Gather Six Months’ Worth of Data
Step 2: Set the Priority Level
Step 3: ….
Download our free e-book now to learn the other three steps.