Need some advice on. How to weed out the freeloaders.

frostbyte5014

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Location
Greenwood, SC USA
Hey Guys,

I recently had a potential customer ask me to come and talk with him and his wife to discuss their IT needs for their new furniture store. I spoke with them several time on the phone and had a three hour meeting with them. After our meeting they asked me to get them an estimate on everything they needed. I sent about four hours researching software and POS hardware they needed and building the estimate. This estimate included networking, server, workstations, POS software and hardware. They called me numerous times asking me questions about the estimate. The questions were requiring more information about how I planned to do the job and specific details. I haven't heard from them in a few months so I assumed they decided on another IT company. I got a call from the husband tonight wanting me to come and look at the networking he had done and tell him what he needed to do next. I asked him to please explain in what capacity he needed me at this point. I explained to him that they had asked me to quote the entire job from beginning to end and include training. I needed him to tell me if he now needed me on a consultation basis. I tried my best to explain to him that I could not keep providing free information and that I would have to start charging consulting fees if I was not going to be awarded the job I had quoted. In short, he got ****** off at me and I told him that I was uncomfortable with the communication gap between us and that he needed to seek someone else to help him.

I know that's a lot. I am keeping this as short as possible.

I have been in the IT business for about 17 years and I have been blessed with great customers. Once every several years I will run into someone that I have to refuse to do business with.

I am wondering how I should clarify myself clearer on my estimates? I don't charge for estimates. I am wondering if I should start charging for them and discount it from the work if awarded the job? Should I not provide an itemized estimate so they can't use the information to do the work themselves? Should I have a clause that states the estimate can't be broken up?

How are you guys protecting yourselves from freeloaders?
 
What you did was called providing a consultation and you should of charged for it.

Once you get past the generalities and into the specific you are working as a consultant for them and that is billable.

Tell them that you would be happy to come and consult for them and then provide them with your hourly rate.

If they say no thanks, then walk away. Nothing you can do about the past.
 
We are in the sales/service industry. As someone else who has been doing this for about 20 years....I can say that you will run into the occasional free loader/cheap person/corner cutting person/etc. Everyone does.

Sales is not a 100% closing rate. You will occasionally spend time and effort in your dog 'n pony show for someone...only to have them try to do it themselves...or go find a cheaper person.

That's life..that's sales.

I supposed the only advice I can offer is to try to recognize the signals that someone will end up being one of these cheapos as early as possible. And you can make a statement such as "Look...this project will probably run you about $35,000.00 all said and done...are you still wanting to proceed here?"

As to someone stringing their own wiring...I'd tell them I'd rip all that out and have it re-run by myself or by my wiring guy. I've learned that one a few dozen times over....never to go trust home-run wiring or any wiring not done by a professional. Heck I even give lots of work by professionals the evil eye unless I know and trust the guy that ran it.
 
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