Need help with my business idea...

[lightingbird]

I am trying to get off the ground but I need some insight and help.

I am trying to start a in home computer business. I have started it already but I need some help so here is the gust of it.

My personal business offer in home tech support for families and small businesses. What we do is travel to the home or business of a customer and try to fix there computer problems. Nothing as far as electrical repair. All this cost only $25 for home customers. I haven't come up with a price for businesses. At the maximum of a two hour visit, I do not charge for mileage or the trip cost.

My problem is I usually have gotten customers who feel that once I help them, they are supposed to get constant service for that one fee.

My biggest problem is advertising since have a fear of getting overwhelmed. I guess its crazy but non the less its a fear that I have.

I'm thinking of getting a contract/agreement made so when I service a customers PC so Ill have some sort of protection. But I just don't want to make the visit uncomfortable.

I need help in all kinds of ways. Please help me.

Any ideas, opinions, or advise will be greatly appreciated.

[DiTryin]

I had to laugh at this:

"My biggest problem is advertising since have a fear of getting overwhelmed."

Unless you offer free service on one day only -- it ain't gonna happen. The marketing gurus say it takes up to 7 times for people to see your name before they'll call. Be more afraid of the phone not ringing at all.

$25 a visit and not charging for mileage seems a little low. Most contractors won't go to a house for less than $75.

Do you have a minimum visit charge? (Example: 2 hours)

Are you available around the clock and on weekends? My buddy does HVAC and he charges crazy money for night and weekend calls -- which he loves! And people will pay it to get it fixed.

What did you mean by this:

"At the maximum of a two hour visit, I do not charge for mileage or the trip cost. "?

You will stay past 2 hours if necessary, right?

Do you have bond insurance? It's only around $100 a year and covers 1 to 10 employees up to $10K. If you're going inside people's homes -- get it. It would be so easy for them to say, "The computer guy stole the necklace" or whatever. Plus people like to see "Insured and Bonded" on advertising materials from companies that enter their homes.

I think it's safe to say you haven't come up with a marketing plan. Do that. You know what they say -- Fail to plan, plan to fail. All new businesses need to spend 80% to 100% of their time marketing just to get their business of the ground. Get your name everywhere local folks will see it. Also, list your business at www.yellowpages.com, www.anywho.com, www.whitepages.com, and any other site someone would use to search for a computer repair guy. You are going to have to market your business EVERY day so come up with lots of different ways to do that, especially the ways that don't cost a dime like press releases -- getting in the newspaper is the BEST thing you can do.

Gather glowing testimonials from people you've helped. Use them -- they sell your services!

What other services do you offer? With computers getting so cheap, they're almost disposable. Do you install home networking? (That's what I need )

Lots of in-home service providers make customers sign an agreement before they begin work -- don't worry about making anyone feel uncomfortable. You are being professional AND covering your backside. In the agreement state exactly what you are working on, what is covered, any warranty you offer, etc. I had an auto mechanic tell me people blame him because a tail light went out the day after he changed their water pump. People will blame you for anything, so plan ahead and write your agreement accordingly -- and add to it when someone throws you a new curveball.

Hmmm... you might also look into getting liability insurance -- just in case. AND since you're using your personal car (I'm guessing) for business, if you have a logo (Check out http://www.WebDecal.com -- I am not an affiliate!) on your car and get in an accident, you can bet you're going to get sued BIG time and your car insurance might balk because you were using your car for business. Ask your insurance agent if you need a new policy or to add a rider to your exisiting policy ... just in case.

Good luck!

Diane

Do your marketing materials get attention AND sell?
writing - proofreading - editing - ghostwriting
http://www.BouncePublishing.com

[lightingbird]

Thanks for the information.

I have did a lot of research on my target customer and the current competition. There isn't much competition except those that charge $89 a hour or more. I am just trying to provide a fair charge to perform a service that is in demand. Yes I do also provide home networking. I would like to ask some more questions of you if possible.

1. Can you recommend a good bonding company?

2. Yes, we would stay past two hours. The mileage won't be a consideration because our location will have a limited but broad service area. Anything outside of that area will incur some sort of extra charge.

3. My hours would be Monday - Sunday 7am to 6pm. I want to do later but I'm not sure which days yet.

Lastly, I know that since I am working out of my apartment that I don't actually need a business license. Should I get one anyway?


Thanks again for any help. So far you have open me up to broader thoughts on getting this done.

[orion_joel]

I am sorry to make this so short, i hope i can get back and add a little more detail later, but i would seriously consider changing that $25 fee to a $25 houlry rate. At Least, This could cut some peoples perception that the $25 includes stuff after the fact. Also everything Diane said is great advice, even i am taking something away from it... Thanks Diane

[will7]

A local, small, computer repair company near me charges £40 per HOUR - plus mileage costs on top of that. Now, to convert Pounds Sterling to Dollars, to get an estimate, you just double right? So that's...$80 p/hour.

Also, this was a special offer, their standard rate was £60 ($120)p/hour. They are still in business, and I see their vans around all the time. I think you should increase your prices - and also, they are a new company.

Well, just thought I'd tell you.

[EDMS]

Remember, if you are too cheap, people will think of YOU that way.. Be competitive, not rediculous

[amoore]

I would also look at the 25 dollar thing, but I'm not saying for sure change it. One thing that I think a lot of "tech" people don't focus on is what the market will pay. For example you could be a good designer in a small midwest town in your mind your skill are worth 100 dollars a hour so that is what you charge. In a major city they would be but how many businesses/people in this small town can afford 100 dollars a hour?

I think at times tech focused people think more as employees and not as business people. I mean they look at what they should be paid for their skills in their mind. (I won't get into how how I think the price of computer related skills has/will go down as more people major in computer etc). What they should look at is what will the market where i am at AND the people in my circle of contacts pay.

If everyone in your town is asking 100 dollars a hour for computer services then you have 2 options:

1. You can market yourself as the best. (focus on I'm the best because blah blah) and charge a little more then others and sell your service.

2. You can market yourself as the cheapest and price yourself just below everyone else.

Just some random thought at 1am on sat night.lol

Alan
________
Cumshot Amateur

[lightingbird]

Amoore thats exactly my point of view on my business plan. So many people are in the computer business and charge so high to service them.

I have just noticed in all trends of business there is always a underdog that still does good. Even though they are in fact, are the underdog. Its my goal to be that.

[sonu1_here]

I remember single liner from an eminent economist.It says, 'people don't buy cheap...they buy the best they can afford.'Selling cheap is not the best idea.Please remember you are in the business to make money or there is no purpose of your being in it(business).Focus on quality and not selling cheap...let market decide price.I have seen businesses hurting themselves and eventually collapsing due to severely competing on price...selling cheap is the worst idea.

[amoore]

You don't market yourself as cheap your marketing yourself as professional repair at a affordable price. And you are right he has to market himself at the price his market (the people he will come in contact with can afford) and that may only be 25 dollars a hour it maybe 100 we don't know. But if he sets the price at 100 a hour and his market can only afford and is willing to pay 50 then he won't make any money. The question then would become do you want to set the price at 50 and make money or do you want to set the price at 100 and make no money?

You do have to factor in cost and such when you set the price and can't just set it cheap without making sure you are making a profit.

Alan
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SugarBaby