Handy Man this, Handy Man that

by Mantych Electric Inc.

You have a home repair project you need done. You feel it is too small to get a building contractor involved so you go online or look in the yellow pages under Home Improvements. You see a familiar name recognizable from a television ad or mail out you received. They must be a good, reputable and successful company; after all they advertise on TV and/or use direct mail advertising. Their handymen go through a rigorous screening process; are professionals at their trade with at least ten years of experience; fully insured and bonded and their work is fully guaranteed. They do not charge by the hour, they bill by the job so there will be no surprises. Sounds like a great deal, so you call and set an appointment.
About five minutes before the appointed time, a truck pulls up to your house and the person inside seems as if he is reading and straightening papers. One minute before the appointed time he gets out and heads towards your house. Exactly at the appointed time, your door bell rings or there is a knock at the door. You answer the door to invite the ‘handyman’ in. He asks you to wait just a second while he slips his booties on so he would not soil the floors. You then show him what you need done; he makes a few notes, thinks for a minute, fills out a proposal/work order, then asks if he can use your phone to call the office for pricing. He calls the office, asks to speak to a certain person, and gives a description of the work to be done. Then he answers a series of yes or no questions, writes down a price (usually a high, not to exceed, and low, no less than, price). Wraps with a little small talk then hangs up. He then explains the pricing to you, tells you he prepared to start work immediately, you just need to sign on the dotted line. Everything went like clockwork and so efficient. You are impressed so you sign authorizing the work. Mission accomplished – for the ‘Handyman’! Nothing wrong has been done; in fact, you have just been entertained by a well orchestrated and choreographed sales strategy.
Let’s revisit from the beginning.
The ‘Handyman THIS’ or ‘Handyman THAT’ company you contacted is a franchisee of a parent company. A franchise is defined as: the right or license granted to an individual or group to market a company's goods or services in a particular territory also a business granted such a right or license.” They were familiar to you because of massive advertising through all types of media by this parent company. The content of the advertisement is generic enabling it to be used throughout the country. All terms and/or services may not be available in all areas. (Read the small print.) They increase your confidence in their abilities by advertising their handymen go through a rigorous screening process; are professionals and have at least ten years of experience in their trade; fully insured and bonded and their work is fully guaranteed. This is capped off by advertising they do not charge by the hour, they bill by the job so there will be no surprises. Phase I of the sales presentation is successful – They got you to call! But let’s look a little deeper at these professionals. Many franchise companies when advertising for franchisees state - Previous construction experience isn’t required to own an in-demand home repair business. So who performs the actual work? Professionals that have at least ten years of experience in their trade and their work is fully guaranteed. Just because a person has ten plus years of experience in his trade does not mean he is a professional or proficient. The rigorous screening process usually consist the franchisee receiving $50.00 from a prospected subcontractor to pay for the cost of a criminal background check. If their criminal check returns no problems, then they can be covered under the franchisee’s insurance and bond ability. Very little if any probing is done into the person’s actual work experience although the customer is lead to believe differently. Then who supervises the work of these subcontractors if the franchisee does not possess previous construction experience. Good question, huh! Then, who guarantees and verifies the subcontractor’s work is performed correctly if the franchisee has no construction experience? It is another good question for which I have no answer. But you have already signed on the dotted line based on a smoke and mirror presentation.
Five minutes before the appointed time the handyman pulls up in front of your residence. He gets his paper work together as if preparing for your appointment with him. What you don’t know is this handyman has been sitting down the street out of sight or around the corner for fifteen or twenty minutes to insure he will be on time for the appointment. (This will come up again in a moment.) Slipping on the booties is really a good idea but its real purpose is to give the impression your property is going to receive kit glove treatment. A description of work is determined and then comes the phone call. The handyman will ask to use your phone, ever wonder why he did not use the cell phone incased on his belt? The ploy here is to get you to listen in on his phone call. Now comes the ‘magical’ part of the sales strategy. He calls the office, gives a description of work to be done. When he is through he starts answering questions either yes or no. In reality, when he surveyed the work to be done, he formulated how long it would take him to do the work including the time sitting down the road waiting for the appointed time, the time it took to complete the ‘free’ estimate, time it will require to pick up materials (if necessary), time it will take to clean up. Let’s say he figured it would take 2 days or 16 hours to complete the task, when he finishes the description of work to the office he is asked, will it take 1 day. He answers, no. He is then asked, more? His answer, yes. Two days? He answers, yes. Will it take two men? No. More? No. (You better believe the handyman more than covers the amount of time it will take him to complete the project) Now the office keys in 16 man hours, the description of work has nothing to do with pricing, into the computer and comes up with the cost of labor. Sixteen man hours usually translates to about $1120.00 which is split between the franchisee and the subcontractor. It appears to the customer the cost is based on the description given to the office over the phone when in reality it is based on the hours needed to complete the task. Average hourly cost $70.00. Usually the materials are paid for by the homeowner and not included in the money paid to the franchisee. Phase II is now complete – you have signed on the dotted line.
Check back for Part 2 of Franchised Home Improvement Companies, i.e. Handyman ‘THIS’