Contractor Success Map With Randal Dehart | Contractor Bookkeeping And Accounting Services

Why Sell Service Agreements? It goes to the heart of the question of the difference between a customer and a client. Service agreement holders are more likely to be clients that add more value to your construction company because they represent the most loyal segment of your customer base. Every service agreement customer represents a future work. In the meantime, service agreement customers are a source of cash flow and are predetermined to call you instead of your competition when repairs are necessary. Non-service agreement customers are more likely to be customers and fickle. They may call your contracting company for future work or they may decide to shop the competition and use the information they find to negotiate for a lower price. In some cases they may not even remember you or your construction company name. In addition, your replacement sale close ratio is normally higher with service agreement clients and your overall pricing and related service care level can be much higher resulting in even mor