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Flat rate pricing is when the price the customer pays is based on the job, not the time it takes, or the materials used.  The amount is the average cost for a repair. 

Flat rate for our customers:

Our customers love flat rate because they know exactly how much the bill will be before work is started.  If the job takes a little longer to complete, there are no surprises.  If some repairs can wait, our customers can plan for those repairs or enhancements with all the facts they need.  In my 20+ years in the electrical business, I have heard every complaint from customers and service electricians.  If the school calls and your electrician's child is sick, do you expect him to not answer?  Are you willing to pay him $30.00 to talk on the phone?  Are you willing to pay for him to use the restroom?  To run for parts?  To eat lunch?  To sit in his truck and write up your bill?  Generally, the time it takes for the repair or upgrade is also significantly reduced.  Why?  Portions of the work can be Pre-Fabricated the day before the service is performed at the shop in preparation for the call.  T and M shops can't do that and get paid for it.

 

Flat rate for our electricians:

As an electrician gets better at his job, more knowledgeable, and faster, it is the norm for him or her to be pulled off service work and placed on big commercial jobs.  Why?  A really good electrician works too fast to make money owners need to stay profitable.  I myself have had the unhappy experience of being told to "slow down" and "milk the clock some".  If an owner sends a less experienced electrician, he can double the price (and his profit margin) if he is charging by the hour.  When charging time and material, the worst electrician is the most profitable. 

Flat rate fixes this problem.  The best and fastest electricians can compete and continue to improve in their skills.  They can also have the highest integrity!  If the school calls, they can take that phone call without feeling like their cheating the customer, or the customer feeling cheated, or the owner feeling cheated. 

Flat rate is definitely a win, win, win scenario.

 

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