My first house call as a business...

[itmike]

I did my first house call as of today from a being in business perspective. I've done some odd jobs in the past for cheap and just to be a help mainly. Though doing this professionally I realize I have a lot to learn on the business side. This past Sunday a guy came to my full-time job to purchase anti-virus software. He explained to me his problem, he had a Trojan that basically blocked all .exe files being ran. I told him the software that he had would not be able to help him as he was already infected. Then he asked me what would, well I of course offered my services. Told him I would come by for $50 before my shift at work and clean his system and get him protected. So I go over there and start to get work on the system he had told me about. As I am running the cleaner for the particular Trojan. He pops a question about his laptop because ever since two weeks ago he said it started shutting down on it's own.

So I booted it up, as soon as it got to the welcome screen a dialogue about his registry popped up and powered down almost immediately, so I restarted the computer and was focused on the screen to get the dialogue. It said it had recovered the error and replaced the registry with a back up. So it got to windows this time powered down. It had been asking for the chkdsk the whole time finally let it run, powered down. So I popped in a bootable live Linux distro, I have with a hard drive scanner. It rebooted during the middle of it's start up. So I felt the bottom of the laptop and for the time it had been running the corner was extremely warm. Well to just get to the point the guy had let his granddaughter play on the computer and set the laptop on a piece of paper towel and was blocking the intake fan and it finally ran the chkdsk successfully and ran for 2 hours solid downloading files, checking e-mails, and surfing. So I fixed his computer, and basically told him to keep his desk clean. He was a happy customer, and at this point I'm thinking heck yea, this is cool.

Then he is like so how much do I owe you. I told him $50, and it goes downhill. He's like everything you used, you downloaded for free (yes legal freeware) and I could have done it myself. I asked him why he didn't do it his self. He said fine, and told me that his wife was supposed to be back by now. He's like well I'll bring it to you at your job tonight. I told him to give me 10 at least right now because I got to get to work and ran my gas out to like nothing. He gave that to me and said he would bring the rest later. I said ok sounds good and left. This was at 3:30ish, so at 8:30 I called to see if he forgot. Apparently his wife was still "out". He said I'll bring it to you tomorrow. I don't have to work tomorrow or the next day, so we scheduled the payment for Friday. I'm hoping his wife gets back before Friday.

So I got a few questions in some areas. If a customer approaches you for a particular problem and you go to their house how do you keep them on line. Like if that laptop problem wouldn't have been so simple that could have been some valuable time lost. I know in the past when I did these jobs for kicks and pretty much gas money, I'd be looking at anything from their car radio to the clock on their microwave while their computer does whatever. How do you do payments with residential customers? Because I have a feeling that I just screwed on my first call.

Though I did learn some things. I learned not to judge the book by the cover. When I pulled up to his house I will say I was rather impressed. Then I walked in the computer room (that he called the war room) and seen the dual 28" HDTV as monitors with the stock ticker software just a ticking away on the second screen and the terabyte worth of drives in his system and quad core processor. I was like oh well at least I don't have to worry about him trying to skip out on the bill. Okay that is pretty much the only thing I learned but I think it is very valuable lesson nonetheless.

I was really hoping this guy was going to be a good client. He's in a nice neighborhood (was thinking if he started talking about me to his neighbors), he was interested in me building him a Linux box, so he could play with it. Was also interested in getting a third monitor for his PC. I was thinking oh this is good repeat business. So anyways if this guy does end up paying me. Should I take anymore work from him? Should I tell him I need payments upfront? I'm worried I'll get more bad business from him. Should I treat people that he refers to me with the payment upfront policy as well. Or should I just stay away from anything that has to do with this guy. I hate to be a whiner but this is really confusing, disappointing and discouraging.

P.S. I promise I won't make a book about every house call I have in the future.

 

[vdub12]

Well first off I am not sure what techs in your area charge but I personally think you where to cheap.

Cheap prices attract cheap customers. Think about it like this, you provide a valuable service and that comes at a price. The lowest I charge fixing a computer on site is a 1 hour minimum which is $65. Honestly my prices are very low but my average is normally 2 hours. There have been rare times that I charge a diagnostic fee for fixing a computer but thats normally for a customer that has already done business with me. My diagnostic fee is $35 and its only if its a really quick fix.

Honestly you don't want customers that baulk over a $50 bill. I have customers that write me checks for $130 to $195 all the time and are happy to do so, and call me back.

The fact is if you want gas money then it doesn't matter but if you want to run a business you need to make money. You need customers that understand that and know that you need to make a living. I live and run my business by the saying "do something you love and you will never work again" However, at the same time I am doing this to make a living. If I wanted to make minimum wage then I would work at Taco Bell.

 

[Bryce W]

How do you do payments with residential customers? Because I have a feeling that I just screwed on my first call.

There is a high possibility you aren't going to get paid, not without a signed work order or some other sort of information that says you did the work. With residential clients, always get the money as cash before you leave and only accept checks from good residential clients you have worked for before. As for businesses, you'll probably be hard pressed to get cash so you'll have to accept a check.

When people say "Why should I pay when you only pressed a couple of buttons?" or something similar. Tell them that they are paying you to know which buttons to press. They are paying for your years/time of education to learn this stuff. If they are being nasty you can go as far as saying "I didnt just look at it and pressed a few buttons. I actually looked at it, referenced it to something i knew in the past, I have practiced for hours while unpaid with this particular issue, so I have seen it before and know that X fixes it etc... However, for an observer, it looks like I just pressed a few buttons which I can understand".

10 at least right now because I got to get too work and ran my gas out to like nothing

Its good to get a little bit wherever you can in case he ends up not paying any more beyond that. However, you being out of gas is your problem, not his. If a plumber said this to me it'll probably annoy me. Its not particularly professional. Having said that, I wouldn't have screwed him like you got screwed so it would have been a non issue.

If he doesn't pay by friday, give him a call and tell him you are in the area and are coming by to pick up the payment.

Though I did learn some things. I learned not too judge the book by the cover.

You know, I have done work for some of the most wealthy people in my city. I have been inside houses that are absolutely mind blowing.
Having said that, the most money I have lost to a client was also the richest client I have ever worked for. Unfortunately it was really early on my in techie career so I didn't have a signed work order. Otherwise I would have taken them to small claims.

If you dont end up getting paid, even after offering to pick it up, chalk it up to a good learning experience.

 

[MrUnknown]

One thing to add, you need paperwork. Do you have any proof that he owes you this money?

Customers sometimes have an issue with stuff they percieve as easy. It may take you only 15 minutes to fix something, but that's only because you know how to fix it. They have no idea how to and that's why they called you in the first place. I once had a client of mine ask me if the fix for his computer was "simple," all it needed was a chkdsk and I got my minimum one hour of pay for a computer I took off-site. I told him that the actual fix was simple, but figuring out what was causing the problem is not something everyone would know or even know how to investigate, which is true. Sure that took me only 5 minutes to investigate, but it's because I seen it before.

But I will second raising your prices. Don't feel like you are ripping off your clients. They pay GeekSquad and the like a lot more for much worse service.

I used to do on-site work, but I try to limit it now to things that have to actually be done on-site. Like wireless network setup (sidenote: I have no idea how they apparently do this over th phone). Otherwise I offer free pickup and return in my service area. This limits people who can't fix their computer from arguing with me that they can and how I am a ripoff. They can't see what I do, or what I use or how long it takes me to do it. I do explain to them exactly what was wrong and what I did to fix it on the workorder. I also explain (and have them sign) that payment is due in full when I return the computer or I will not return it.

Sometimes, like you noticed, rich clients can be cheap. I worked on one guy's computer that worked as a director of IT for a large company's branch in my area I won't mention. He couldn't repair his PC because a corporate environment's solution is to just replace it but he didnt want to. It was a beautiful Windows XP machine with 512MB of RAM. This guy probably earns $150k/yr and lives in a $500k+ home but has a 8 year old computer with 2 teenage kids.

I am really sorry to hear that your first on-site visit has turned into such a bad experience. Please keep us updated on what is happening.

 

[itmike]

Thanks for all the tips guys and insight. I see what your saying Bryce but at that point I wanted to do something to get something. And now realize the importance of paperwork. Tbh, I am somewhat too trusting of a person. I guess I expect people just too hold up their end of the bargain. Though back on topic, do you guys have any suggestions about the keeping customers on the initial problem? I just have a feeling this is going too become an issue, due too past experiences.

 

[MrUnknown]

Though back on topic, do you guys have any suggestions about the keeping customers on the initial problem? I just have a feeling this is going too become an issue, due too past experiences.

* "I don't have enough time to do that today, we would have to schedule another appointment." - Hints at another charge.
* "The amount I quoted you before only covers the virus removal" - Makes it obvious you won't look at it for free.

You can also charge by the hour. Many people on here follow a cost structure of per-hour on-site and fixed prices for stuff done off-site.

 

[cmonova]

I think maybe when you originally offered up your services you should of said something like "I run a business and could come by and take care of it for you" and then hand him a business card. Then when you arrive have an actual workorder and fill it out accordingly.

But, the whole "give me 10 at least right now becuase I got to get too work and ran my gas out to like nothing" comment....To me if you don't have enough gas money to go from here to there and to do a job then don't offer your services. Not being a hard a** but that's just common sense. To me your comment seems rather unprofessional.

You need to present yourself in a professional manner making it know that you have a legitmate business. I do not see how this "becomes as issue" in the future if you do it the right way.

 

[Fixedathome.com]

I think maybe when you originally offered up your services you should of said something like "I run a business and could come by and take care of it for you" and then hand him a business card. Then when you arrive have an actual workorder and fill it out accordingly.

But, the whole "give me 10 at least right now becuase I got to get too work and ran my gas out to like nothing" comment....To me if you don't have enough gas money to go from here to there and to do a job then don't offer your services. Not being a hard a** but that's just common sense. To me your comment seems rather unprofessional.

You need to present yourself in a professional manner making it know that you have a legitmate business. I do not see how this "becomes as issue" in the future if you do it the right way.

Have to agree with this. If you act like you are doing the job for a bit of extra spending money then the customer will just try to take advantage of you and get as much as he can for as little as possible where as if you go in with a professional business like attitude with work order in hand then he will take you more seriously.

 

[SThompson86]

You have gotten some great advice, and I would just like to second that you should always have some sort of documentation when dealing with any customer.

I also want to second raising your prices, for house calls I charge $50 an hour which is great for my area. But the bigger point as stated by VDUB is that higher prices weed out those bargain shopper clients, and believe me you do not want those because they usually turn out to be nut cases who blame everything post your work on their computer on you, and want you to fix it for free like some kind of warranty work.

 

[kagman]

I have to agree with people here in that you need to change your rates. Look at it this way when you call a plummer to fix your pipes or the electrician to fix your wiring they charge a lot of money. A fee just to go over to your place, labor fees, etc etc. Even when you get your car fixed you have to pay a lot of money just for the labor alone. If these guys are not afraid to charge then we should not be.

 

[Xander]

If you're wondering what to charge for an on-site, call around and find out what the average shop charges per hour for in-shop work. Make that amount your absolute minimum for on-site. I do primarily on-site (as the name suggests) and the average shop rate is $45-50. I raised my prices just above that after one of Bryce's articles about having improved your skils and doing a job in less time and making less money at it. (e.g. What used to be two hours of income is now one).

"You just pushed a few buttons?!"
"Yup. A few years of doing this and you'll know which buttons to push when, too!"

 

[forbegos]

I used to do on-site work, but I try to limit it now to things that have to actually be done on-site. Like wireless network setup (sidenote: I have no idea how they apparently do this over th phone). Otherwise I offer free pickup and return in my service area. This limits people who can't fix their computer from arguing with me that they can and how I am a ripoff. They can't see what I do, or what I use or how long it takes me to do it. I do explain to them exactly what was wrong and what I did to fix it on the workorder. I also explain (and have them sign) that payment is due in full when I return the computer or I will not return it.

I am thinking the exact same thing. I will not do any services on site for that reason and for the other one: I just cannot work with peeking eyes over my shoulders!..

Forbegos

 

[Redtech1]

i agree with most people, but reading your post makes me wonder why you personally did the work?

It sounds like you work somewhere that sells antivirus software (which you mention in your OP). Unless that is a big box store like walmart/cosco/k-mart w/e that doesn't have a tech depart it could be i guess "OK" that you offered your outsid business to them.

I would just want to caution you about picking up clients while you are on the clock at your FT job. I know WalMart (friends/self have worked there) that will fire you on the spot for offering services like that even though you are not directly competing with the business (though WalMart is planning on rolling out a geek squad style service).

 

[forbegos]

WalMart moving into the field poses a great challenge for us I think. Scares me.

Forbegos

 

[NeutronTech]

WalMart moving into the field poses a great challenge for us I think. Scares me.

Forbegos

Yup me too. They will be cheap and everyone will just go there and get their computers fixed while they shop

 

[MrUnknown]

Yup me too. They will be cheap and everyone will just go there and get their computers fixed while they shop

And then bring it to us when they screw it up.

I am currently not worried, it depends on how quickly they get a bad rep. I do recall thinking to myself that renting a spot in WalMart would be an awesome way to get customers but I didn't want to associate myself with "the cheapest prices for everything"

 

[itmike]

I really couldn't see them having any better rep than geeksquad. These big box stores can't offer the customer the personal support they truly want.

 

[mraikes]

...I am somewhat too trusting of a person. I guess I expect people just too hold up their end of the bargain. Though back on topic, do you guys have any suggestions about the keeping customers on the initial problem? I just have a feeling this is going too become an issue, due too past experiences.

First of all a generic comment - Every once in a while, someone is going to try to avoid paying you. It might be a story about the wife not being home, or stopping payment on a check, disputing a credit card charge, or (like another recent thread) failing to pay an invoice. It's going to happen.

Sure you can choose to threaten, cajole, file small claims, and throw a lot of time/emotion/energy/money after the problem. But will you feel any better?

Those here who advise filing in small claims court, hiring a lawyer, etc. for less than $100 are more interested in making some kind of point, then I am.

Unless you're going to lose a significant amount of money, chalk it up to experience and move on. It'll reduce your stress level and save you some wrinkles.

However, if this happens more than occasionally, you might need to rethink where you live. Or perhaps how you are presenting yourself. In the last 18 months I've had exactly one customer fail to pay (business customer, small invoice). I didn't lose sleep over it, and I didn't change any of my business practices. And I'm still willing to work for them again if they call me (I'll be very nice about requiring payment in advance).

Use some of the ideas presented thus far (a work order, additional charges for additional work, etc). But don't start treating all your customers like potential criminals. Continue to be the trusting person you are. Accept checks. Accept cash. Accept credit cards. Invoice business customers. And be prepared to "eat one" every once in a while.

You can choose to worry & lose sleep over this and get all paranoid, or you can get on with your life. I'm here to tell you, the experience you just had is NOT the norm. You are on a path to meet many wonderful people who need your help and are happy to pay you for your assistance.

 

[forbegos]

I really couldn't see them having any better rep than geeksquad. These big box stores can't offer the customer the personal support they truly want.

That is also true. In the end the personalized support is what we have that makes the difference. It is our personal help that we sell.

Forbegos

 

[Redtech1]

I am still more curious about him picking up the job while on the clock @ his full time place of employment after advising (rather wisely probably) not to buy a piece of software because it may not remove or even help the customer.