Cost Analysis

Managing a reliable and reputable heating and air conditioning business requires organization, experienced management and a sizable capital investment. When your repair charge is more than you expected, please remember that the quality of his service depends on a number of factors.

How are services charges determined?

  • The technician’s knowledge and skill.
  • The support staff who train, schedule, route and supply him—customer service, training specialists, warehouse and parts personnel, managers and administrators.
  • His company’s sizable investment in shop and warehouse facilities, trucks, equipment, tools, replacement parts and continuous training schools.

If you see a company offering prices that are significantly lower than the competition, be sure to ask yourself the following:

  • “What are they leaving out?”
  • “Will they be in business long enough to honor my warranty?”

When the professional service technician knocks on your door, many costs have already been incurred just to get him there!

These costs typically cover:

  • An efficient customer service office to get the service technician to your job as quickly as possible.
  • Customized office dispatch system and other office machines to efficiently route and dispatch technicians and accurately track customer history and inventory.
  • A fully stocked warehouse.
  • Vehicle costs: maintenance, insurance, fully stocked for the most common repairs, and timely replacement.

In addition to the previous costs, there are other items to consider such as:

  • Warehouse, shop and office rent.
  • Business expenses: legal counsel, advertising, accounting service, etc.
  • Office supplies and postage.
  • Licenses: State and Local.
  • Insurance: Fire, theft, property, liability, worker’s compensation, etc.
  • Employee background checks (criminal, driving, etc.), drug testing, etc.
  • After hours answering service with “live” people to answer the phone.
  • Warranty service work.