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Small Business Owners - Advice needed

Discussion in 'BBS Hangout' started by Sonny, Sep 12, 2003.

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  1. Sonny

    Sonny Member

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    With as many problems as people have with their computers on this BBS it got me thinking...

    Do you guys think a Computer Support/PC Tech type company would work? Ya know, call in and get tech support or have someone come out and work on your system. You could also build computers, setup home networks, etc. I know there are companies doing this, I just haven't seen any for residential users.

    I think cost would be the main issue for people. I was thinking of a set trip fee or call in fee that would cover the first hour. Then charge an hourly fee afterwards? Or maybe some type of yearly maintenance contracts?

    Feasable or is there really no need?

    Also as Business Owners, would you think it worth the hassle to run your own company, is it really that bad? Anything has to be better than working for the man forever. ;)

    Thanks in advance.
     
  2. Rockets2K

    Rockets2K Clutch Crew

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    I dont know the answers to your business owning questions.
    There is still a need for people to get real tech support, if you could keep the fees affordable..I dont see why not.

    and if ya need a hardware/networking guy to go into it with ya, give me a yell.
    My wife is a whiz with business accounting/scheduling-type stuff.
    She runs the small business I work for..It's a shame we dont own it..;)
     
  3. Rocket River

    Rocket River Member

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    Definately a nice thought

    As the previous poster said
    COST is the biggie. You have to sell consumers
    on the idea of paying for something [THEY maybe getting for
    free for a year or what ever]

    Would this be 24/7?

    Basically you have HELPDESK and the Out going Techs
    [why send a tech out if it can be done over the phone]

    I think their are some companies like this out there
    [gateway use to outsource work to SOMEONE when the
    users were too squeemish to go into the box]
    But I don't know of any in Houston [dunno where u at]

    Rocket River
     
  4. Jeff

    Jeff Clutch Crew

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    As for this particular business, this business model has been explored. I know there are companies that do it and you can be successful at it. The service industry, especially when it involves real convenience services like yours, is always ripe for new business.

    I remember reading a story about a company that sent out their computer guys to people who needed service. They got to be well-known for doing on-the-fly diagnostic repair for celebrities. For example, if a rock band's road manager was in Akron, Ohio at midnight and his laptop just crapped out, he could call them and they'd send someone over in the middle of the night. I can't remember their name but I know they did well.

    As for business, itself, I am very happy as a business co-owner. I find it to be incredibly satisfying. It is definitely tough work - long hours, etc - and it can be financially challenging at first, but the rewards, IMO, are well worth it.

    Good luck!
     
  5. bnb

    bnb Member

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    See if you can hook up with a computer seller and system installer. That's how we came to know our last tech guy. The computer vendor subcontracted him to set up our system, and then we continued with him directly afterwards.

    You potential pitfalls:

    Service -- when the system goes down -- its always an emergency!! Getting back in a day or two doesn't cut it. You have to be available right away -- which, if you have several clients, can be tough.

    Pricing -- always an issue. Especially if you're doing residential stuff because your 'on site' time will only be a fraction of your day. Your set trip fee is essential.

    There's certainly a need for that service -- good luck.
     
  6. The Voice of Reason

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    DO NOT MAKE YOUR SERVICE "AFFORDABLE"

    this is the worst thing you can do.
    if there are people with money anywhere near you cater to them.

    id your prices scare someone away, you dont want them as clients. People who are concerned about price most often are the hardest to get paid from. I own an estate care company in the hamptons. We cater to the rich. the rich pay. and they pay alot. could I charge less, and have more clients? sure, but do i want those clients arguing about pennies? HELL NO.
    never under price yourself. the wealthy have no idea what affordable is. I opened a guys pool for 1000 cash this season. he didnt flinch, and just opened his wallet. what is 50-100/hour for computer work when your house cost 2.5 million?

    also set this up as a sole propriotorship. a DBA if you will. do as much as you can for cash. always get paid first, or get CC info before starting work. always make sure materials are paid for before ordering. try it as an after work part time gig. let it develop naturally. you will have less stress that way. if you count on the company to support you off the bat you will be forced to do things that will not be good for the company or for you. accounting wise and business operation wise.
    dont hire anyone. not untill you have 3 months pay already set aside for them.
    and choose your clients, dont let them choosing you mean they own you. you can always say no. especially if you want to be happy.

    understand your overhead. and understand that overhead is dangerous.
    power, phone, insurance,gas, car insurance, travel time, taxes, sales tax, licences?, accounting(either your time, or paid time to a bookeeper/accountant)
    there are so many things.
    when you have employees, everything in multiplied.

    have fun with it
     
  7. Sonny

    Sonny Member

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    I would try to start this business on my own, to feel out the need for my area. The initial hours would be after 5pm and on the weekends to work around my regular job. If things worked out then I'd consider full time. I'd do phone support around the clock though.

    As far as catering to rich folks and not worrying so much about the price, luckily I am right in the middle of the Woodlands and Kingwood on the north side of Houston, they ain't po' folks. ;)

    Thanks for all your advice guys.

    R2K - if I expand, you'll be the first dude I call. :D

    VOR - Great advice, thanks.


    Can any of you recommend a good way to advertise? Besides the BBS? j/k :p I've thought of hanging signs or the phone book...
     
  8. MoBalls

    MoBalls Member

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    There are many people that already doing this. But if you establish a clientel that recognize your great skills, you can get plenty of business by word of mouth. Along with your advertising ideas. I sometimes do this for extra cash....for golfing, play money, etc. Good Luck. Think Positive!
     
  9. MoBalls

    MoBalls Member

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    My wife and I are owners of a business also....Im her techie there....but her customers are always asking if I do work on the side. Plenty of cash out there for you man.
     
    #9 MoBalls, Sep 12, 2003
    Last edited: Sep 12, 2003
  10. bnb

    bnb Member

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    Word of mouth. Referals. Network like crazy. You've got limited hours to sell. Fielding calls from some chump who saw your sign on the highway is a waste of your time -- unless you're really short of work.

    If you're good, and offer good service, you should have no problems getting lots of work.
     
  11. LegendZ3

    LegendZ3 Member

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    Is a great idea, you can target some small business. Sign long term contract with them, do their computer maintenances all year around. And trust me, there is a lot small business owners out there trying to find a company that can setup their network, update their computer, install a cheap firewall, etc.
     
  12. drapg

    drapg Member

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    I've got some friends in Austin who implemented this EXACT idea a few years ago.

    Sadly, they've had very few customers.

    They recently added a BBS to their website, in an effort to drum up more business.

    This is an idea I've pondered over the past year as well.
     
  13. Jeff

    Jeff Clutch Crew

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    I would HIGHLY recommend the Guerrilla Marketing/Guerrilla Advertising series of books by Jay Conrad Levinson. These are the best books on marketing small business I've ever read and I know of many, MANY people who recommend them highly.

    Levinson offers a tremendous number of great, low-cost ideas of how to drum up business.

    By the way, avoid the Yellow Pages unless you really feel like it is a worthwhile investment. There are far more effective ways to use your advertising/marketing dollar.
     
  14. Jeff

    Jeff Clutch Crew

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    Just one additional note...

    I have worked in small business - either as an owner or employee - for more than 15 years. The one thing that I have learned, more than anything else, is that just about any reasonable business model can succeed if you work your ass off for it.

    About 90 percent of your success in whatever business you undertake is based on the work you do. I mean, Matress Mac was just some guy with little money setting up tents on the side of the road and driving back and forth to Dallas 3 or 4 times a week when he started. All he had was his common sense and his dogged determination in one of the most difficult retail industries around - home furnishings.

    He made a success of himself through his hard work and determination. What he did is something anyone can do.
     
  15. B-Bob

    B-Bob "94-year-old self-described dreamer"
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    Sonny, what Jeff is trying to say is that you should dress up as a big computer and advertise on late-night cable TV.
     
  16. Jeff

    Jeff Clutch Crew

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    Oooooooh, and that's a fact...JACK!

    oops, wrong nutcase. :D
     
  17. B-Bob

    B-Bob "94-year-old self-described dreamer"
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    [​IMG]
    "Sonny's Tech Troops really will... SAVE! YOU! UPTIIIIIIME!"
     
  18. Sonny

    Sonny Member

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    Awesome!

    Thanks again guys. Jeff you are like some super computer or something, ya know everything! :D


    Now I just have to get up some nerve and start my business!
     
  19. DaDakota

    DaDakota Balance wins
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    It is exactly what we do. I only have 21 people, and don't need a full time IT guy as I know a fair amount and so do many others in the company.

    However, I get a guy out at around $50 an hour 2 times a year to do a checkup.

    DD
     
  20. Ottomaton

    Ottomaton Member
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    Background:

    I work for a company that started as a used hardware reseller, then moved on to new hardware and home service, and finally dropped the hardware and (for the most part) home service because the model had become financially unpalatable on the hardware side & the customers were better in the corporate environment. My total time working for this company has been 6+ years.

    That having been said, here's my opinion:

    Everybody that I know that has any type of legitimate skill that starts working at servicing home users eventually either evolves into servicing businesses, or is so limited technically that they can't evolve. Home users in general will pay 1/2 of what a successfull business owner will and the frequency of business among home users is spotty at best -- you won't have much to do for 3 weeks, and suddently 'blaster' will have 200 people calling you for service.

    Furthermore, home users tend to be less inclined to preform any type of preventative service or maintance type service. When they break down to call you, they have passed a desperation point and would only like you to push them back behind that point, even if the job isn't done right. I believe that we were charging $65/hr when we were doing home users, and are able to charge $125/hr + $35 trip charge on the low end in a corporate environment. Keep in mind that for decent techs, you'll be paying $30+/hr after you account for benefits. This doesn't include drive time between clients, and general tech 'goof off' time (which probably excedes what you think it would be by a long shot). Estimate that for an 8 hour day you will (best case) have 4.5 hours of billable time.

    Finally, all of the irrational customer complaints that I've heard have come from home users. For instance, people's hard drive will get bad sectors two months after you were out and will blame you, or they'll call you out to fix their printer and get a virus a week later and try and claim it was your fault. These are hastles that are not there in a corporate environment for whatever reason.

    In otherwords, the people in this segment tend to be the bottom-feeders of the computer support segment. They generally either move on to greener pastures, give up, or deal with the hastles because they can't do any better.
     

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