Re: WHAT recession ?

[tourman <robercampbell@xxxxxxxxx>]

On Jan 13, 12:29=A0am, Jim <alarmi...@xxxxxxx> wrote:
> On Jan 12, 8:34=A0am, tourman <robercampb...@xxxxxxxxx> wrote:
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> > On Jan 11, 7:46=A0pm, nick markowitz <nmarkow...@xxxxxxxxx> wrote:
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> > > On Jan 11, 6:17=A0pm, Robert Macy <robert.a.m...@xxxxxxxxx> wrote:
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> > > > On Jan 11, 11:51=A0am, Jim <alarmi...@xxxxxxx> wrote:
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> > > > > On Jan 11, 11:52=A0am, "Bill" <billnomailnosp...@xxxxxxxxx> wrote=
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> > > > > > "Jim" =A0wrote in message
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> > > > > > > ...Jeeeeeze ..... now I actually have to go to work again.
>
> > > > > > And are accounts paying their bills on time?
>
> > > > > > Delinquent accounts lessening? Same? Growing?
>
> > > > > Over the last few years I've lost a higher number of accounts tha=
n
> > > > > usual. Some (I'm sure) due to the economy. Lost jobs, people movi=
ng to
> > > > > another state because of job changes, etc. However ( and let this=
 be
> > > > > of interest to those of you who have been in this business for ma=
ny
> > > > > years) I've been in this industry for 43 years. One of the attrit=
ion
> > > > > issues that I never considered was that I would start losing acco=
unts
> > > > > because they died. Other related losses are due to moving to Flor=
ida
> > > > > for retirement, can't afford fee because they're retired on limit=
ed
> > > > > income. One spouse dies or gets sick and the other can no longer
> > > > > afford it. Sold house and moved in with family/to gated community=
/
> > > > > senior community, etc. So ..... the longer you're in business the=
 more
> > > > > you have to deal with this kind of attrition.
>
> > > > > There are a few delinquet accounts that I'm carrying for a while =
.....
> > > > > just because they've been good customers for so long and are goin=
g
> > > > > through hard times. Some I've had to cancel after a while. Others=
 I'll
> > > > > carry for a bit to see how it goes. Some I've carried have come b=
ack
> > > > > and I've forgiven past due. I play this by ear.
>
> > > > > However. as far as growth, as far as alarm accounts go, I'd have =
to
> > > > > say it's about status quo or a little less. But ....... In the la=
st
> > > > > 4/5 years I've increased my home theater and CCTV, automated ligh=
ting,
> > > > > whole house audio and residential network wiring, and setup busin=
ess.
> > > > > It's not recurring income but the profit margin is lots better, s=
o
> > > > > income is growing. And I peiodiacally increase monthly monitoring=
 fees
> > > > > in small amounts too.
>
> > > > > How about you?
>
> > > > I remember when my absolutely first consulting client died! He was
> > > > more than just my first consulting client, he was a friend. Years a=
nd
> > > > years of working with him, he had slowly gotten behind and owed me
> > > > enough to run our firm on for a year. Upon his death, I just walked
> > > > away, couldn't push collecting the debt since he left a widow and
> > > > subteen daughter, and a lot of debts behind. Months later, the wido=
w
> > > > showed up with a truck full of his electronic test equipment and sa=
id
> > > > they didn't offer her much money for this stuff and asked if I coul=
d
> > > > use it. You bet! =A0Along with the myriad of items buried in the tr=
uck
> > > > were such goodies as BERT [bit error rate tester for communications
> > > > channels], HP Function Generators, Tektronix scopes and spectrum
> > > > analyzer with tracking generator option! and a full blown Intel
> > > > Development System!
>
> > > I have not taken on new clients for 4 years now I have enough work
> > > just in my current base to keep me busy between all the crazy stuff I
> > > work on and build =A0loss couple gain couple accounts as customer shr=
ink
> > > and grow .
>
> > RHC: Yes Nick, I'm pretty much in the same boat. I only do maximum two
> > system installs a week which keeps me ahead of natural attrition as
> > people move. Since I'm VERY near the 1200 account mark, it's just as
> > well. Monitoring revenues keep me more than happy and compensated, so
> > I can concentrate on giving top notch service to my client base. It
> > seems this winter though, work has increased somewhat over the same
> > time last year, but I just go with the flow, and try not to over
> > stress myself . =A0Minor service like battery changes and paperwork
> > fills in the rest of the day
>
> > Ain't life grand...:))-
>
> Hey ...... what ever happened to that 700 account .... ceiling?
> Remember?

RHC: Yes Jim, I remember my statements well ! When my old partner
retired and my son joined the company 10 years ago, I figured as long
as I was careful to ONLY take on good accounts, I could go to about
1000 to 1200 accounts without service overwhelming me. I'm now just
under 1200 and things are busy, but not excessively so. But I am
limiting growth severely, only doing a couple of installs a week, and
we've stopped doing takeovers pretty much completely. So as a
business, we're coasting, but the money coming in is more than
sufficient to allow us to do that at this point.

I have to say, it's becoming difficult though to sit still and watch
the large companies up here offer these new 2 Gig technologies, with
whole house monitoring and all sorts of "whoopee" feature sets, and
not respond. Especially so since I know how marginal most of this
stuff is. Also they are targeting the high end of the market,
appealing to consumers that like everything controlled from their cell
phones. IMO, excellent "home convenience" but rather sub standard true
"home security" compared to conventional panels with add on modules.
But with monitoring rates bordering on $55 a month, you gotta wonder
who's right and who's wrong...:).

I do know if I so choose, I could do the same thing with the purchase
of a $165 module for the newest line of Paradox panels, and offer
pretty much the same kind of thing at NO increase in monitoring rate.
Being well versed in IP technology, once again I'm tempted to move
ahead and jump in, but I know if I do, I'll be swamped with business I
don't want or need, living off the "avails" of their advertising
stimulation. I've thought about expanding from my "core business"
interests and offering IP cameras, since this is easy and reliable
technology today, and can be so inexpensive to do, that it's a bit
mind blowing (I set up 5 cameras around my home as an experiment, at
very little cost, and I can see instantly from anywhere in the world
via a smartphone)

My son and I have some hard decisions to make soon, since I don't want
to do the physical stuff anymore, and I personally don't want to
expand into new markets. I can look after the admin side of the
business, and do the tax work, but climbing ladders and running in
attics ain't my cup of tea anymore. I also love the IP stuff, so that
temptation is always there...

So many decisions, so little time....(sigh)