Over the past few years I have seen banks put contractors out of business because they changed their lending practices or decided that contractor loans were too risky. These contractors were paying their payments on time and were NOT in default. The banks didn’t care. The contractors’ loans were gone and so were the contractors’ businesses.
What if you didn’t have to go to the bank for short term emergency cash needs? What if you didn’t have to go to the bank to borrow money when you needed a new truck or a new computer or some other asset?
You can do this with a thriving maintenance program even if you don’t have any maintenance agreements to begin with. Stay busy in the traditionally slow months of the year and become your own bank.
Blueprints to $1 Million in the Bank
These charts show you how fast your program can grow with $180 agreement plans:
And if you are starting with just 500 agreements, here is the chart:
In 9 years you will have more than $1,000,000 in the bank!
Building Your Maintenance Agreement Program
- Set up a maintenance agreement savings account and start putting $90 from each agreement that you enroll or renew.
- Grow your total maintenance agreements by 100 each year.
- Keep your renewal rates up to at least 80% (most contractors I work with have a 90%+ renewal rate).
Get Started Today
While these three steps may look easy there is quite a bit of work that goes into building and maintaining a thriving service agreement program. If you want guidance implementing this system for your service techs, dispatchers, marketing employees, and the rest of your team, then join my $1,000 in the Bank System: How to Grow a Thriving Maintenance Program.
About the Author
Ruth is a nationally recognized consultant and trainer in the Heating and Air Conditioning Industry. She began training contractors online in 1998 and has successfully started an internet broadcast networks including videocasting, private broadcasting and two company owned channels: http://www.profitabilityrevolution.com/ & http://www.hvacchannel.tv/
Learn more at www.thecouragetobeprofitable.com