Don't do it. Have you thought to? You'll spend a lot of money and several time getting certified and learning all the latest platforms and technology. But the reality might be that hardware repair can be described as commodity - a minimal margin business. And it's becoming a lot more of a commodity service every year as the components be a little more disposable and more replaceable than repairable. In this piece of writing, you'll learn why advisory contracts with national system organizations are not the best option.
Computers Are Now Replaceable
Let's please take a $600 consumer-grade PC to illustrate. Who's going to put money into an out-of-warranty repair even on a $600 PC? Who's going to put money into an out of warranty repair on a $400 laser printer? The amount of money are small businesses willing to spend on these repair?
Low Labor Allowances for the purpose of Consulting Contracts
Since national service organizations will certainly primarily be dealing with the help of warranty repairs on rather inexpensive hardware, how much labor allowance do you consider they're really going to give that up on a $1, 150 notebook? Many big hardware providers are so cash strapped that they're always on the verge of losing sight of business constantly. Dell, HORSEPOWER, and IBM are practically the only major hardware players that can be still in reasonably superior financial shape (even if you ever consider IBM in that hardware business anymore).
Any Profit Margin on Maintenance in Consulting Contracts
Which means that, what are you visiting make on a correct? Fifty dollars? A one hundred dollars dollars? $150 or $200 within the absolute most? You're going to do considerably better by finding small businesses in your neighborhood that need high-level professional services constantly.
Consulting Contracts with National Agencies Aren't Profitable
Acting as the subcontractor for a national agency is a really hard technique to run a consulting company. Do you want to be in eight different offices each and every day, or do you plan to be in one or 2? Do you want to remain billing out at $100 or $150 a couple of hours for high-end network assistance services and network integration solutions? Or do you plan to be told that you're able to be allowed a $65 labor allowance to switch a system board, it does not matter how long it goes?
The Bottom Line related to Consulting Contracts
Repairing and troubleshooting hardware is low-end item work. It's work you're able to do by people that are usually billing out at $20 or $30 sixty minutes. It's not the high-end consulting you might be doing with consulting deals. Don't ever confuse the two main.
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