PC BIZ of the MONTH Excerpts from the book, "101 Computer Related Businesses", Copyright 1994 by Michael A. Tims. BIZ-011 BUILDING SERVICE CONTRACTING The building service contractor provides janitorial services and other building maintenance services such as window cleaning, carpet shampooing, floor and wall cleaning, lighting maintenance, pest control, parking lot maintenance, as well as building security services. Many building service contractors negotiate for their accounts face-to-face with the building owners, but others obtain their jobs through the bidding process. The building service contractor must be able to analyze the client's cleaning specifications and then estimate the labor time to do the job. Since labor is the biggest expense for the contractor, it must be figured as close as possible. Other factors which will go into the estimating process will be cost of equipment and supplies, transportation, office expenses, etc. Finally, you have to add in the contractor's profit to arrive at the final bid price. Although starting a building service business is quite easy, failure rates are very high. It is generally felt that the high rate of business failure is due to poor accounting procedures, under-bidding on contracts in order to win the contracts, over-extension of the entrepreneur's resources, inability to collect on past due accounts, and many other reasons. In general, the returns on investment are quite good, as it is fairly inexpensive to start up such a business. Besides the computer and other general office equipment, the busness will require such equipment as floor buffers, vacuums, carpet shampooers, mops, buckets, brushes, and other assorted cleaning supplies. Usually building service contractors will do best in or near a large city, as the urban area will provide more opportunities for accounts. Consider the number of buildings in the area and the potential for growth when choosing an area. Also, it would be wise to check out the competition in the area, ie. how many other companys will you be bidding against? Many budding building service contractors market their services through personal contacts, cultivating contacts in the business world who are responsible for maintaining buildings and grounds for large as well as small businesses. Other contractors feel that their Yellow Page ads are the most important sales tool for gaining contacts and contracts. Many contractors also use a sales brochure telling about the company and its services. This is mailed to each and every business in the area. Further information on building service contracting may be obtained by contacting the following source: Building Service Contractors Association International, 1750 Old Meadow Rd., McLean, VA., 22101. In addition, the following books and magazines will provide excellent background information on a business of this type: Building Service Contractor magazine, MacNair-Dorland Publishing Company, Inc., 101 West 31st St., New York, NY., 10001. BSCA Bulletin, BSCA International, 1750 Old Meadow Rd., McLean, VA., 22102. Maintenance Supplies magazine, MacNair-Dorland Publishing Company, Inc., 101 West 31st St., New York, NY., 10001. Sanitary Maintenance magazine, Trade Press Publishing Company, 407 East Michigan St., Milwaukee, WI., 53201. Many companies are offering franchise and business start-up packages in the commercial cleaning field. Contact the following companies directly for more information. American Vapor Technology, 315 Birchfield Dr., Marietta, GA., 30068. Jani-King International, Inc., 4950 Keller Springs Rd., Ste. 190, Dallas, TX., 75248. The computer requirements for this type of business are not critical as you will be working mostly with word processing software to write up your contract bids, etc. I have found that a basic 286 based computer will probably be sufficient for most of your basic business needs. Of course, if you already have, or can afford, a faster CPU such as a 386 or 486, it would probably eliminate the need for you ever having to upgrade. A hard disk, however, is a must. Without a hard disk, you would have to constantly change floppy disks back and forth to run most programs which would be too time consuming and inefficient. Many programs come on multiple floppy disks and require a hard disk to even use them. There is an old saying that you can never have enough hard disk memory. Start with a minimum of 250 Megabytes of disk storage space and if you will be running "Windows" programs, think about an even larger hard disk. A dot matrix printer will probably suffice for most printed output you would have for in house use, memos, etc., although for more professional looking letters or if you will be doing your own advertising circulars, that you may be sending to prospective clients, a laser printer would be preferable. The newest models for personal use have up to 600 dpi (Dot Per Inch) resolution and carry street prices less than $1000. Other office equipment you may want to consider might include a FAX machine to be able to send and receive your abstracts reports, etc., directly to and from your clients without having to wait for the regular postal service or even for over-night priority mail. One of the new FAX/modems might be an even better addition to your computer set-up than a stand-alone FAX machine. A FAX/modem is an electronic device that connects a computer to the phone line (much like a plain modem) and enables the computer to act as a FAX machine. A FAX/modem can be an internal type called a FAX board that plugs into an expansion slot inside your computer. External FAX/modems are more costly but are easier to connect to your PC. In either case, the FAX/modem allows you to send a file as a FAX document to any stand-alone FAX machine or to receive a FAX document which can be viewed, stored as a file, or printed out on your printer. A telephone answering machine which can sense the difference between FAX transmissions and voice may also come in quite handy in the home office, although you will probably want to have a second phone line installed to promote a more professional image. A second line would also cut down on personal call interruptions during your "working" hours. I haven't been able to find specific software for a building service type business, but there are several shareware software packages that could be used by anyone creating and submitting bids which involve jobs and labor. Among the better programs is, "Propose It", "Job Cost", and "Contractor Bids". Any one of these programs will help you keep track of your costs and help write bids. In addition to specific software for this business, general software would consist of the usual word processing, database, accounting and personal and business income tax preparation software. As with most of the business ideas presented in this book, I feel that properly selected SHAREWARE (try-before-you-buy type software) will prove to be more than adequate for all your basic business software needs. In fact, using shareware when you are first starting a business can save you hundreds of dollars in start up costs. I have found most shareware packages to be as good, if not better, than high priced commercial software packages. For word processing software, I would recommend either of two fine shareware programs. The first is "Super WP", an excellent WordPerfect clone that has many features superior to the commercial program. The second is "PC-Write", which is said to be one of the finest wordprocessor programs available at any price. A database program is usually needed to keep track of customers, client data, mailing lists and many other forms of data, etc. The shareware program, "PC-File", is an excellent shareware database program that has features such as custom report writing, letter writing with mail merge, data analysis, plus charts and graph support. "PC-File" also features dBase III and Clipper compatibility, should you ever wish to write a custom application for your business. Every small business needs bookkeeping software to keep track of income and expenses. What they don't need is a full blown accounting package that takes more time than the business itself. The shareware program, "Medlin Accounting", is an easy to use, time saving IRS approved single entry bookkeeping system which is more than adequate for the small-to-medium sized business. It features a general ledger module, an accounts receivable module, an accounts payable module as well as an inventory module. Another financial program I would recommend to any small businessman, or individual for that matter, is the shareware program, "Checkmate Plus". "Checkmate Plus" is an easy to use, yet powerful, checkbook style, double entry accounting system which will also print checks on either laser or dot matrix printers. Spreadsheet programs are sometimes required by the small business and I would concede that the industry leader is the commercial program, Lotus 1-2-3. However, an excellent clone to Lotus 1-2-3 is the shareware program, "As Easy As". Menu-driven for easy use yet a very powerful spreadsheet program. Features 8192 rows by 256 columns, dBase III import/export, macro playback, dot matrix and laser printer support, worksheet linking, charting and much, much more. Communications software for use with telephone line and computer modem is often needed by the small business. By using communications software, the home based entrepreneur is able to access remote computers, informational databases, bulletin board services (BBS's) client's computers, etc., right from his/her home office over the phone lines. This makes many high tech businesses able to be run successfully from any place a phone can be accessed. The full featured shareware communications program I would recommend is "Procomm Plus Test Drive". This time-proven shareware offering of a commercial program will prove perfect for most of your communications needs, and has such features as a 100 number dialing directory, script file capability and support for most major file transfer protocols including XMODEM, TELINK, and COMPUSERVE B. However, If you should purchase a fax/modem for your office, many of them come already bundled with communications software. For a complete listing of commercial as well as shareware programs featured in this book, see Appendix A. ****************************************************************** If you have been looking for ideas to make money with your own PC, "101 Computer Related Businesses" is available on floppy disk, as a virtual book, directly from the publisher for only $29.95 Postpaid. State disk size preferred when ordering from the author, Michael A. Tims, POB 509, Suite 410D, Roseville, MI., 48066-0509. Many other PC business ideas and opportunities are also available. Excerpts are carried on AOL in the SMALL BUSINESS FORUM-STRATEGIES FOR BUSINESS FILE LIBRARY and EPUB FORUM-NEW FILES LIBRARY. They are also carried on Delphi in the BUSINESS DATABASE. Just look for "PC Biz of the Month". An abridged version (10 of 101 Chapters) of "101 Computer Related Businesses" is now carried on AOL. Keyword to SOFTWARE and do a search for BIZ101A1.ZIP Thanks, Michael A. Tims - MTims48021@aol.com