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Cutting Costs After the Shutdown

Posted by Jacob Foster on 17 April 2020

Cutting Costs After the Shutdown

Every business owner I know is currently looking at costs and expenses. One that is often overlooked, is costs that are fixed or a regulation service. Fire Servicing is mandatory and remains a requirement during the COVID-19 shutdown. If every fire company has to follow the same testing regulations to AS1851, then what's the difference between fire service providers?

Price: Site costs to service fire extinguishers, emergency exit lights, electrical test and tag, and more

Service: Technician Knowledge (look for a provider that has a monthly training program), the more your provider knows the less risk to your site. Answering phones, questions, providing required documentation, site portal to your assets, and more

These two factors are the two industry drivers, in the fire safety market. Let's look at some reasons why some fire extinguisher servicing providers charge more than others.

  • Company structure - International companies, need to drive profit offshore- ASX listed companies, need to drive profits to shareholders- Franchise Companies, are a group owned by local families- Sole Operators, normally very small businesses and miss out on buying power and insurance savings.
  • Knowledge: with larger companies comes normally skilled people due to processes. ASX and Franchise, normally have training programs for staff and processes, Sole Operators rely on personal knowledge.

So, of course, my pick would be a local operator who is part of a buying power group. Just call me old-fashioned, however, I like to support locals.

Let's look at pricing.

  • Larger businesses normally have to hide fees to look competitive
  • Franchise Business has the best of all opportunities
  • Sole Operators look competitive and place larger markups in materials

If my fish and chip store only has a few extinguishers, does the servicing price really make a difference?

Yes, yes, yes

What to avoid from fire servicing companies.

1. Look out for site fees or office admin fees
2. Overpriced servicing times (keep in mind insurances and business costs)
3. Larger markups on materials

My overall recommendation is to look at a subscription model. A fire company that has calculated all of your costs for your fire safety requirements and broken them down into a simple monthly payment.

Yes, this is a very new option for the fire industry however FCF Fire & Electrical has been offering this solution to limited clients, for five years now. Best of all, you can now calculate your site requirements online. No need to talk to anyone, to compare prices. What's to lose, check out the below link for more information.

See a comparison quote for your fire services online or we come to you at - https://www.fcfnational.com.au/self-quoting.html

Go Team FCF Fire & Electrical

Useful links for your business;
Fire Training Online/ VR or Class Room visit - https://firetrainingonline.fcfnational.com.au/
Evacuation Diagrams from $25 visit - https://fireevacdiagrams.fcfnational.com.au/
Find a local owner-operator near you - Mackay, Rockhampton, Hervey Bay, Sunshine Coast, Brisbane,
Gold Coast, Toowoomba, Sydney, Wollongong, Melbourne, Adelaide, Tasmania plus more check out

Jacob Foster
Electrical Contractor
Fire Certifier
Diploma in Franchising

Jacob Foster has over 15 years' experience as a Fire Professional and even longer as an electrician. Starting FCF in 2008 at the beginning of the GFC Jacob has seen tough times for clients and focused on delivering affordable fire protection services to meet state legislation. Going onto help families start their own business and continues to train all fire technicians across various levels to meet the

FCF Standard. With International awards and local recognition FCF is an Industry Leader, find out more at https://www.firesafetyfranchise.com.au/how-fcf-started.html

Feature photo by: Bruce Mars on Unsplash

Author:Jacob Foster

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