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How to Choose a Service Company: A Guide for Businesses

Updated: Nov 12

Introduction

Service work can represent one of the most significant expenses for businesses, making it essential to choose the right service company. Having a reliable team can positively impact your bottom line, support growth, and protect your business. A great service team will communicate effectively, stand by their work, and share their expertise with you. This results in better return on investment (ROI), reduced energy costs, minimized downtime, and less frequent service issues.

Conversely, selecting an unreliable team can lead to increased problems. An ineffective service provider may leave your equipment in worse condition, use subpar parts, permanently damage your assets, or even jeopardize your compliance with health regulations. Therefore, it's crucial to know how to choose the right team for your service needs.

Key Things to Ask and Look For

1. Ask and Verify Credentials

Start by ensuring that the company has a state license. This is a fundamental requirement for contractors and serves as a primary benchmark for their credibility.

2. Check for a Physical Location

A reputable contractor should operate from a commercial location. Conduct a quick search to verify their address. If they only have a P.O. box or work from home, it may indicate limited resources to complete jobs efficiently.

3. Research Reviews

While reviews can be informative, they can also be skewed. Businesses may receive more negative reviews than positive ones, as satisfied customers often don't leave feedback. If you see concerning reviews, discuss them with the contractor for clarity.

4. Inquire About Manufacturer Experience

A reputable service team will have experience working with manufacturers, providing them with essential training and support. Request references to identify top contractors in your area.

5. Ask About Parts Used

Inquire whether they prioritize Original Equipment Manufacturer (OEM) parts. A trustworthy contractor can explain the use of alternative parts and potential delays in sourcing OEM ones, offering transparency in their operations.

6. Compare Rates

Be cautious of exceptionally low rates, which often indicate corners being cut—whether on insurance, quality tools, or ongoing education. A price that’s significantly lower (over 30%) than competitors may lead to increased long-term costs.

7. Assess Technician Qualifications

Find out how many technicians the company employs. A lone technician may not provide comprehensive service, while companies with many technicians may use inexperienced ones. It’s not uncommon for contractors to employ less experienced technicians as helpers or for routine maintenance tasks. Therefore, it's essential to ask about the qualifications of the specific technician who will visit your location. Understanding their experience and background will give you confidence in their ability to perform the necessary work effectively and safely. Ideally, you want a technician who possesses at least five years of relevant experience, ensuring they have the skills necessary to handle complex issues and provide reliable service.

8. Confirm Insurance Coverage

A solid service provider should carry substantial insurance, typically reflecting coverage of over one million USD per incident. A reputable contractor can also list you on their insurance for larger projects, although it may involve an additional fee.

9. Understand Their Process and Billing

A well-structured service company will have a clear billing process. Key questions to ask include:

  • How is billing handled?

  • What is the repair process?

  • How are invoices and payments managed?

  • What protocol is in place for quoting and sourcing unavailable parts?

  • Have they requested information about your equipment?

Bonus: Communication is Key

Good service means maintaining communication throughout the process. A competent contractor will consult with you before, during, and after service—keeping you informed without requiring you to oversee their work intimately.

Conclusion

Finding the right service company is crucial for your business's success. While occasional bad experiences can occur, a dependable contractor will support you, rectify issues, and ensure your satisfaction. Avoid the temptation to “contract hop”; inconsistent service can lead to complications. Choose a team that aligns with your commitment to excellence, and you’ll position your business for long-term success.

About the Author

Joshua is a fourth-generation owner-operator of a 90+ year old food equipment and HVAC contractor. With a wealth of industry experience, he oversees day-to-day operations, customer relations, service work, and more. He emphasizes customer success and takes immense pride in his team’s dedication to excellence.

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By acknowledging the importance of partnerships and informed decision-making, you can optimize your business’s equipment choices effectively. For further inquiries about equipment service or support, feel free to visit Otis Refrigeration or connect with us on Facebook. #OtisRefrigeration #IceMachineService #FoodServiceEquipment #CincinnatiRegion #RestaurantService #WalkInService #HotelService #FryerService #GrillService #IceCreamMachineService #ConvenienceStoreService

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