Scam?

Apr 28, 2006 32 Replies

...

So, they give you three jobs, then ask you to pay them £40,000. Not the best deal in the world IMO.

Colin Bignell

"nightjar .uk.com>"

Heh - I believe it is £400 for 100 jobs. That is from £4 per job. Assuming you get 100 new jobs from it, then it compares favourably with Yellow Pages.

No, it does not look like a scam. Whether it is effective or not, who knows?

-- JJ

That is one way to read the offer. I generally assume the worst case, until I have read the small print in detail.

Colin Bignell

I doubt a computer 'guru' needs a van and loads of expensive tools. And the country is awash with them.

Indeed. For my work I need precisely one small multi-toolset containing anti-static strap, screwdriver with selection of bits (all types known to man required), sidecutters (for getting tie wraps off cable) and a small pair of pliers and access to a labelling machine and of course as many PCs as possible - one for general use and several for testing.

If I practised freelance, I'd need the toolkit, a few CD's (and the odd floppy) of software tools, firmware packs etc and random linux distros and no labelling machine. Laptop with modem/NIC would be essential. A car would be a liability in London but essential outside.

Cheers

Tim

He's just being honest about it. Other tradesman will also charge more than cost but never say so or they'll screw you somewhere else. If this honesty helps or hinders, I don't know.

To me, a tradesman offering discounts just sounds like a scammer. Like people who offer discounts for the elderly etc. But that's just me I suppose and plenty of people fall for this stuff.

"nightjar .uk.com>"

Yeah - pay 40 grand in advance for leads to put up 100 shelves. Anyone would see how quickly they can make their money back...;-)

He still needs transport and the car he drives probably cost about the same as my Renualt Master.

Assuming a 47 week year, a 40 hour week and a four year writing off period, £1 an hour covers £7,500 worth of tools.

That doesn't make them cheap though.

Colin Bignell

Few people would use a van as personal transport for leisure use - indeed they're probably not insured for this. So would have both car or estate etc plus van. Your computer guy can use a car for both.

Could be.

Dunno. All I know is I wouldn't take any work in my freelance field which only offered 15 quid an hour - and I don't usually need to carry equipment or tools. If I did, my rate goes up.

I do not consider that a valid assumption, as I have been in the position where I could only afford one or the other, so I used a van for everything and I know other people who have been or are in the same situation. I had a business insurance that covered any use except motor trade and competition.

I expect he does but the extensive signwriting makes it quite obvious that it is a business vehicle.

...

I didn't suggest £15 per hour. I only suggested that people do not expect to see a handyman charging £40 per hour.

Colin Bignell

One reason I have prices on my site. People expecting to pay silly money don't ring in the first place and waste my time.

Can you think of any labour based service that charges less than £40 per hour for a home visit? Also bear in mind that mt rate drops to as low as £20 per hour for a full day. Again, not expensive in my view or that of my customers.

More small business's go broke as a result of being afraid to charge sensible prices than any other reason (apart from cashflow maybe).

Absolutely. If 40 quid an hour is for the first hour and includes travelling time it's reasonable.

I never view talking to a potential customer as a waste of time.

I would class a handyman as semi-skilled - able to do routine work but lacking the additional skills of a craftsman - and for semi-skilled work, on the South Coast, I pay about £15 - £25 an hour and, even for those who add call-out charges, that comes out at less than £40 for the first hour.

Studies show that you have about 8 seconds to make a sale on a web site, so few people will take the time to work that out. As I said at the start, I think the way that you present your prices is probably losing you customers. A banner headline on the lines of 'rates from £20 an hour' would be much more attractive, after which you can give them the details and let them work out whether they prefer to pay your way or a flat hourly rate and a callout charge or, what I usually prefer, a quote for the whole job.

Plenty also go under because the owner works out what he wants to earn and sets the prices according to that, rather than by what the market can bear. Personally, I would be worried if I only had three weeks' work in hand and would be looking at ways I could improve my sales.

Colin Bignell

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