What would you do if competitor was using workers on disability to build business?

[tankman1989]

Ok, I'm in the middle of a very strange situation with a local competitor. He is offering rates that are 1/4 that of regular shops yet he seems to be growing very nicely. Looking at his inventory things just don't add up unless he just came into a LARGE amount of $$ and this guy is also not quite what 99% of us would consider professional, meaning ratty tee-****, crummy jeans, nasty bikers pony-tail and a mouth you wouldn't want your kids to be around, AND he freely and openly disparages competition. His one cert is A+, from god only knows when. I'd say he is upper 30's early 40's.

But here is the big thing. There is a woman there that always seems to be on drugs or something, she is always dressed in dirty/grungy clothing, has a foul look on her face, doesn't answer questions politely and doesn't seem to know much about anything in the shop, yet she is there to man the shop when the owner is out on the job (which seems like 80% of the time).

I've been to a lot of computer shops and this one is fairly nice as far as inventory but as soon as I started talking to the people it was like (get me out!!). The owner CONSTANTLY interrupts when the customer is telling him what the issue is with the computer, I have never heard a customer finish a sentence.

Now for the worst part and this is just a gut feeling that I got the first time I went to his first shop. I don't mean to be negative but this could explain how he is doing so well with charging $20/hr. I have a suspicion that the woman who tends to the shop may be on disability or at least unemployment. This feeling snapped into my head the first time I talked to her and it was such a nagging feeling and wouldn't go away. It's like it was telling me that I had figured the truth out and now what was I going to do about it. I will say that I am not alone in these feelings as neighbors to the store have said that something isn't right in "there"....

So, if she is on disability is she allowed to work at a place like that? I would think if she were on unemployment she wouldn't be allowed. If what I suspect is true then they have an income from the state while she is there making money for the business which is a TOTALLY unfair advantage and might explain why he can charge $20.

So, what do you think of this situation? This is really a pisser for me as it makes my rates look outrageous, but then I go to my car shop and they are charging $100/hr so go figure.

 

[Knightsman]

in all honesty, dont get involved.

If he isnt actually hurting your business, you open yourself to retaliation from these people. In the long run, it might not be worth it. If he is as bad as you say he is, he will fail. Get gets a lot of business probably from the cheaper customers. But we all know, that $$$ only lasts so long.

 

[NETWizz]

I say get a hover-round, wheelchair, and a Segway. Don't forget some Cains, a walker, and crutches. Put an american flag out and proudly put something like "veteran owned and operated" in a prominent location.

Driving a scooter, using a wheelchair, or Segway is totally legal even if not disabled. Just don't tell people you are disabled. Overtly being dishonest is fraudulent, but you can imply anything you want. An American flag will attract plenty of patriotic Americans though you may not fair well with Latinos - oh well.


.. and of course you are a veteran, which is just a person who has had a long service or experience in a particular organization. It does NOT always mean "military." If anyone asks, just don't talk about it unless you really served.

 

[Magnavex]

Forget

Dont get involved..........................................................

 

[Paul Rodgers]

I say get a hover-round, wheelchair, and a Segway. Don't forget some Cains, a walker, and crutches. Put an american flag out and proudly put something like "veteran owned and operated" in a prominent location.

Driving a scooter, using a wheelchair, or Segway is totally legal even if not disabled. Just don't tell people you are disabled. Overtly being dishonest is fraudulent, but you can imply anything you want. An American flag will attract plenty of patriotic Americans though you may not fair well with Latinos - oh well.


.. and of course you are a veteran, which is just a person who has had a long service or experience in a particular organization. It does NOT always mean "military." If anyone asks, just don't talk about it unless you really served.

Bad idea. Really bad idea. Do not do this.

 

[NETWizz]

I am only kidding.

 

[Paul Rodgers]

I am only kidding.

I hope so. Next time indicate that when you post something like that.

 

[Ccomp5950]

If he is really doing stuff like this, the situation will settle itself.

Don't get involved, but if you must, just report it to the (Here in Texas it's called...) Texas Workforce Commission.

 

[red12049]

Ok, I'm in the middle of a very strange situation with a local competitor. He is offering rates that are 1/4 that of regular shops yet he seems to be growing very nicely. Looking at his inventory things just don't add up unless he just came into a LARGE amount of $$ and this guy is also not quite what 99% of us would consider professional, meaning ratty tee-****, crummy jeans, nasty bikers pony-tail and a mouth you wouldn't want your kids to be around, AND he freely and openly disparages competition. His one cert is A+, from god only knows when. I'd say he is upper 30's early 40's.

But here is the big thing. There is a woman there that always seems to be on drugs or something, she is always dressed in dirty/grungy clothing, has a foul look on her face, doesn't answer questions politely and doesn't seem to know much about anything in the shop, yet she is there to man the shop when the owner is out on the job (which seems like 80% of the time).

I've been to a lot of computer shops and this one is fairly nice as far as inventory but as soon as I started talking to the people it was like (get me out!!). The owner CONSTANTLY interrupts when the customer is telling him what the issue is with the computer, I have never heard a customer finish a sentence.

Now for the worst part and this is just a gut feeling that I got the first time I went to his first shop. I don't mean to be negative but this could explain how he is doing so well with charging $20/hr. I have a suspicion that the woman who tends to the shop may be on disability or at least unemployment. This feeling snapped into my head the first time I talked to her and it was such a nagging feeling and wouldn't go away. It's like it was telling me that I had figured the truth out and now what was I going to do about it. I will say that I am not alone in these feelings as neighbors to the store have said that something isn't right in "there"....

So, if she is on disability is she allowed to work at a place like that? I would think if she were on unemployment she wouldn't be allowed. If what I suspect is true then they have an income from the state while she is there making money for the business which is a TOTALLY unfair advantage and might explain why he can charge $20.

So, what do you think of this situation? This is really a pisser for me as it makes my rates look outrageous, but then I go to my car shop and they are charging $100/hr so go figure.

There are a lot of things I'd like to say about this post, but I'll simply say that everything you talk about is beyond your control. Since that is fact, why don't you put all that energy into what you CAN control, which is you and your business?

BTW, my normal daily attire is blue jeans, sneakers and flannel shirt. Do I meet with your approval? Yes, I own a store.

Additionally, if I took in about $3000.00 per month more (roughly equal to not paying one employee and having unemployment/disability coming in) my other fixed expenses still would not let me lower my rates to $20.00 per hour. You'll have to look elsewhere for the reason for that, and you should have been able to figure that out yourself, at least in an approximate manner.

Rick

 

[colonydata]

Ok, I'm in the middle of a very strange situation with a local competitor. He is offering rates that are 1/4 that of regular shops yet he seems to be growing very nicely. Looking at his inventory things just don't add up unless he just came into a LARGE amount of $$ and this guy is also not quite what 99% of us would consider professional, meaning ratty tee-****, crummy jeans, nasty bikers pony-tail and a mouth you wouldn't want your kids to be around, AND he freely and openly disparages competition. His one cert is A+, from god only knows when. I'd say he is upper 30's early 40's.

But here is the big thing. There is a woman there that always seems to be on drugs or something, she is always dressed in dirty/grungy clothing, has a foul look on her face, doesn't answer questions politely and doesn't seem to know much about anything in the shop, yet she is there to man the shop when the owner is out on the job (which seems like 80% of the time).

I've been to a lot of computer shops and this one is fairly nice as far as inventory but as soon as I started talking to the people it was like (get me out!!). The owner CONSTANTLY interrupts when the customer is telling him what the issue is with the computer, I have never heard a customer finish a sentence.

Now for the worst part and this is just a gut feeling that I got the first time I went to his first shop. I don't mean to be negative but this could explain how he is doing so well with charging $20/hr. I have a suspicion that the woman who tends to the shop may be on disability or at least unemployment. This feeling snapped into my head the first time I talked to her and it was such a nagging feeling and wouldn't go away. It's like it was telling me that I had figured the truth out and now what was I going to do about it. I will say that I am not alone in these feelings as neighbors to the store have said that something isn't right in "there"....

So, if she is on disability is she allowed to work at a place like that? I would think if she were on unemployment she wouldn't be allowed. If what I suspect is true then they have an income from the state while she is there making money for the business which is a TOTALLY unfair advantage and might explain why he can charge $20.

So, what do you think of this situation? This is really a pisser for me as it makes my rates look outrageous, but then I go to my car shop and they are charging $100/hr so go figure.

in Georgia you can make up to x amount per week with out affecting your unemployment.you do have to report those wages though. i assume that its probably the same thing with disability.

 

[tankman1989]

There are a lot of things I'd like to say about this post, but I'll simply say that everything you talk about is beyond your control. Since that is fact, why don't you put all that energy into what you CAN control, which is you and your business?

BTW, my normal daily attire is blue jeans, sneakers and flannel shirt. Do I meet with your approval? Yes, I own a store.

Additionally, if I took in about $3000.00 per month more (roughly equal to not paying one employee and having unemployment/disability coming in) my other fixed expenses still would not let me lower my rates to $20.00 per hour. You'll have to look elsewhere for the reason for that, and you should have been able to figure that out yourself, at least in an approximate manner.

Rick

In your own store that is fine, but I'm guessing that your flannel shirt doesn't have 5-6 holes on the front and sleeves along with food stains and it just looks like it gives off an aura of smell. As always, people pick and take things personally when there is no reason to. Obviously I thought there was something "odd/different" about this place and being that it is my closest competitor I wanted some opinions.

Now I'm trying to figure out what you mean in the last paragraph about how he charges $20/hr. What would you surmise that he is doing? Fudging the time he works on it or what? Additionals "under the table" income of some kind? What do you think?

 

[red12049]

In your own store that is fine, but I'm guessing that your flannel shirt doesn't have 5-6 holes on the front and sleeves along with food stains and it just looks like it gives off an aura of smell. As always, people pick and take things personally when there is no reason to. Obviously I thought there was something "odd/different" about this place and being that it is my closest competitor I wanted some opinions.

Now I'm trying to figure out what you mean in the last paragraph about how he charges $20/hr. What would you surmise that he is doing? Fudging the time he works on it or what? Additionals "under the table" income of some kind? What do you think?

I have no idea how or what he's doing, and I'm guessing you have none either, other than hearsay. Have you seen any of his invoices to his customers?

And, to be honest, IT DOESN'T MATTER! Either you'll both be successful, only one of you will be, or none of you will be. Run YOUR business the way you choose, and allow him to do the same. Every minute spent worrying about HIM is a minute away from YOU. Given that he is apparently more successful than you at the moment, can you afford that investment of time and emotion in HIS business? If you must, observe him and try to find out why he appears to be doing well.

Rick

 

[Xander]

I am only kidding.

I hope so. Next time indicate that when you post something like that.

Seemed painfully obvious to me that he was kidding.

He's got a valid point about "Veteran Owned". It is the same kind of idea, though. Given that most people in the military never see combat, to aggrandize one's self in order to cash in on it is kind of pathetic.

"This business is Veteran Owned!"
"But you were a supply clerk in Sheboygan. You were a high school dropout and had no other job potential."
"Yeah, but I might have been sent somewhere. I'M A HERO!"

 

[TimJacobs]

Seemed painfully obvious to me that he was kidding.

He's got a valid point about "Veteran Owned". It is the same kind of idea, though. Given that most people in the military never see combat, to aggrandize one's self in order to cash in on it is kind of pathetic.

"This business is Veteran Owned!"
"But you were a supply clerk in Sheboygan. You were a high school dropout and had no other job potential."
"Yeah, but I might have been sent somewhere. I'M A HERO!"

I spent 2 months and 10 days in there (The Army) before I got a medical discharge. Does that make me a Vet? I have a DD214.

 

[Martyn]

If it/he/she is as bad as you describe then they shouldn't be doing well. I dont care what the prices are I wouldn't deal with them if it was me. I wouldn't worry about them. As someone here said cheap prices attract cheap customers.

Are you running a shop tm?

Btw If the lady is on disability benefit how do you know she is getting paid, she may be doing this for free to get out of the house.

Leave well alone and promote your business.

 

[K007]

Do not let this s**t get to you, it will poison your heart and in the end it will be you who will suffer the loss.

 

[callthatgirl]

I would not judge a book by the cover on this one and secondly, it's really none of your business how his employees dress, give him time cards, or how they get paid or if they are disabled/unemployed etc. There are about 100 situations that could be going on that you do not know about that are going on. I can understand your concerns, but it's not your business, nor should try to turn him in, let his customers do that if they are that concerned.

I could list all the reasons, but it's not worth it. As for how he looks, I wear t-shirts everyday and soft pants or jeans and my hair is up in a pony tail for the most part and I don't wear make up everyday-- I dress up when I have to. Anyone that sees my 2nd location would think we are a dying business because we have very few foot traffic calls, but little do they know that inside this store that appears empty... we are running a helpdesk with almost 1000 clients in another town. My competition doesn't know this.

As for his rates being so low, there is not much you can do but try to market your services in a more professional manner. Since you said he cuts people off, you can push "Great customer service where we listen to the client!" or "Quality service done right the first time". I'm not sure of your marketing right now, but if you feel you are doing it, push it. "Friendly soft talking techs" is another one we have used before.

Also, not all clients care if repair techs look like corporate nerds and dressed in polo's and khaki's. Most people just want to be treated right.

My FT guy wears rock band tshirts most of the time and it's fine with me, unless he's going offsite.

 

[mkeathley]

I have a smilier competitor wo charges only $20/hr. I chrage $75/hr.
He also smokes in his shop! eww!

But I don;t worry about him too much. I'm doing well. and least time i visite dhim last week he is doing well too. Their is room for both of us. and honestly he is probably gettign customers I don't want anyway. I asked him how he could afford such cheap prices. He said he is retired...lol

 

[Knightsman]

I would not judge a book by the cover on this one and secondly, it's really none of your business how his employees dress, give him time cards, or how they get paid or if they are disabled/unemployed etc. There are about 100 situations that could be going on that you do not know about that are going on. I can understand your concerns, but it's not your business, nor should try to turn him in, let his customers do that if they are that concerned.

I could list all the reasons, but it's not worth it. As for how he looks, I wear t-shirts everyday and soft pants or jeans and my hair is up in a pony tail for the most part and I don't wear make up everyday-- I dress up when I have to. Anyone that sees my 2nd location would think we are a dying business because we have very few foot traffic calls, but little do they know that inside this store that appears empty... we are running a helpdesk with almost 1000 clients in another town. My competition doesn't know this.

As for his rates being so low, there is not much you can do but try to market your services in a more professional manner. Since you said he cuts people off, you can push "Great customer service where we listen to the client!" or "Quality service done right the first time". I'm not sure of your marketing right now, but if you feel you are doing it, push it. "Friendly soft talking techs" is another one we have used before.

Also, not all clients care if repair techs look like corporate nerds and dressed in polo's and khaki's. Most people just want to be treated right.

My FT guy wears rock band tshirts most of the time and it's fine with me, unless he's going offsite.

I do this, I typically wear Jeans, and an untucked polo shirt. Customers have never seemed to mind. This is my job, my company, and my life, and im comfortable wearing what I want. As long as its not offensive we are all good.

I agree with the rock band thing, awesome if at the shop, but going on site, I try not to wear anything that has a design of some sort on it.

 

[Paul Rodgers]

Seemed painfully obvious to me that he was kidding.

Then I guess I'm the only one that didn't get it. Epic fail on my end. Haha.