Well-written maintenance agreements ensure a productive and beneficial service provider/client relationship. Knowing how to write a maintenance contract is essential for ensuring that service providers and clients fully understand their rights. However, most HVAC businesses fail here. So, how to create an agreement without making mistakes?
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Creating Home Maintenance Agreements
To ensure that your service agreements or home maintenance contracts are successful, follow some principles. These will help you, and the customer enjoy a mutually beneficial relationship for a long time.
The right price
Crunching the numbers is a necessary evil for any business owner. You want to make sure service agreements are profitable and not expensive or exaggerated. This can vary based on your market/competitors and your type of HVAC services.
Choose the correct contract terms
The length of time a home service agreement lasts up to the customer. Some people choose 12 months, while others go with monthly maintenance contracts. Choosing the right policy term will help you as an HVAC service provider attract willing and eager customers who are not ready for commitment yet.
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Establish a renewal policy
When it comes to home service agreements, ensure you’ve got an automatic renewal policy communicated to the homeowners. Providing transparency by sending out reminders in advance will help them trust and appreciate the company more, and they are less likely to switch providers.
Do your homework
Extending maintenance agreements can be financially detrimental to your company without comprehensive information about their property and equipment. Make sure to log the serial number of any new equipment installed by the homeowner with a maintenance agreement.
Finally, a service agreement is an investment for your company, so you should examine the working condition of customers’ homes before extending such contracts. Too many visits per contract period and repeat repairs on home tools are too costly to maintain.
Consider setting limits or specifying what services are covered under these agreements so that homeowners know exactly how much they can expect from their HVAC system upgrades down the line.
What Should A Maintenance Agreement Include?
To avoid any conflict at a later stage, the elements of your maintenance agreement must be clear and detailed. Primarily these include:
- Names and other details of both parties involved
- Date and term of the agreement
- Define what will be maintained
- Specific maintenance tasks
- The SOP
- Subcontracting clause
- Compensation T & C
- Breach/ termination
- Force Majeure
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The Benefits of Creating Service Maintenance Agreements
With maintenance agreements in place, your business can:
Improve customer satisfaction
Annual maintenance agreements are a great way to ensure your HVAC company never falls behind on the needs of its customers. This means that you have more opportunities for satisfied and impressed homeowners, which will only bring in new business.
Also, many customers are more likely to renew a service contract when technicians show up at their house for maintenance and answer any questions they have. By engaging in person, it’s possible to understand better what matters most about your company—the customer experience.
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Boost revenue
The best businesses know there’s more to business than just the peaks. In the service industry like HVAC and plumbing, where these cycles change with seasons, your slow periods can be temporary. Maintenance contracts are a way to help your company stay afloat during these slow times. You can grow your customer base and provide stability for revenue streams by maintaining preventive services. This happens even when homeowners aren’t calling with an urgent issue like plumbing or heating.
The key to creating an excellent maintenance agreement is knowing your customer’s needs. What are the needs of your customers? How do you know what they need, and how can you ensure that they are met effectively? These questions should be answered before drafting any contract.
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