Seriously, I dont know the exact particulars but maybe someone here that has been through it lately can give you exact numbers. They will sound something like this. They want about $35,000 up front. That will get you a starter set of controls, some tech literature and some training. You must also agree to purchase somewhere around $250,000 worth of controls a year. After that I'm not real clear on whether or not the local branch office can still tell you 'when you can sh*t and when you can not sh*t'. I suspect they still maintain control of the Charmin'.
yea...i thought it was expensive.
we've had alot of trane control jobs with our hvac bids lately and having trane install them prices us out compaired to some shops who in house.
We have installed some but trane seems to decide what were gonna install. I dont know if this is normal?
Can anyone have trane engeneer a job but install it themselves (with the proper training and know how) or will trane dictate what they will let us install?
We have been a Trane Applied Systems Contractor for almost 10 years. They used to call us ICS contractors. It is a little expensive get signed up. I would say it depends on what type of company you work for, to say if its worth it. We are a fairly large mechanical contractor, so the controls get us in alot of buildings that others can not do. We get the design build,remodel work, and service. Local Trane does the plan and spec jobs.
The Trane agreement brings in alot of mechanical work. The agreement does allow access to Training in St. Paul - really good classes.
I would say that if you are a controls only company, it may not be the right way to go.
Not really. We've lost some to the local Trane office but we have won some to. As long as we don't undercut each other, we just let the customer decide.
Years ago there was some bad business on both sides as far as bidding against each other. Now there have been personnel changes over the years and we get along pretty well. If a situation arises, a phone call will usually work it out. We have a pretty good relationship. My local Trane Sales Rep is really good - great guy. I'm sure its not that way everywhere.
Keeping the big business picture in mind is the key on both sides.
I have looked at this before. Almost $40,000.00 to sign up. Most work you do you get somewhere between 10% to 30% profit margin. Sometimes you might get more, sometimes things tank and you get less but lets just say 20% for figures.
You send two guys to the great white north for a week a couple times a year. Any technician worth sending is going to get 60 an hour by the time you factor in pay, vacation, benefits etc. So we throw $4800.00 on the stack plus lets just add another grand for accommodations, air fare etc. $5800.00.
Those two guys should have generated revenue in the amount of usually twice their salary. So if a good tech makes about $1200.00 a week, he can at least bring in $2500.00 a week. So now you have lost $5000.00 in revenue.
40 plus 5,800.00 plus 5k is about 50 k you have invested. So that means at 20% you have to work your first quarter of a million in job profits and hand it to THEM. That's if you can get a steady 20%. I know some companies where that would be more like the first half a million to THEM.
Then there is the ever present product guarantee. I have signed many "good faith" agreements in the past with many companies. This is not one of those. They require a bond. That means they can call it in any time they want if you do not meet their goal for you, which they can manipulate by price and availability of their product. Basically a financial leash to keep you in line and do as your told.
Add in that locally, they cannot keep their own technicians busy. They are shipping guys away from their families for two to three weeks at a time a couple states over to work. Trying to keep busy.
No thanks. I will just get the guy in the truck to train some of our guys and pay him GOOD money under the table to do it and also help out on some stuff that gets out of reach for in house work.
Granted I do not do large control installs only small retros and service.
I did not mention any manufacturers in this, I could be talking about anyone anywhere.. So please no threats of liable or slander.. I can't remember which is print form..