New Business Thoughts

hansgruber

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Hi,

New member here. I have about 25 years in the IT profession, primarily in management. Now I have two kids in college and looking to make some extra money on the side. Specifically, I'd like to explore a part-time PC repair business.

In the past couple of years, due to staff cutbacks, I have found myself doing a lot more hands on PC support at the office. I feel that I am fairly competent at setting up Windows 7 and XP machines, backups, performance tuning, and virus eradication. I am not as experienced on the hardware side, although I have installed memory cards, NIC's, HDD's on occasion.

I have fixed a few virus infected laptops for family and friends, and feel like there is an opportunity to make some cash in this area. Now, my questions are:

1) How focused or broadly should I offer services? Is it too narrow to just do virus and spyware removal, performance tuning, upgrades, etc. on Windows 7 and XP laptops and desktops?

2) If too narrow, in what direction should I consider expanding? Add Vista, Mac, etc.? Or should I include hardware?

3) I do not have any certifications. Is it necessary or preferable to have any? If so, what would you suggest? Microsoft has so many, that I am not so sure which would be the most applicable. I also do not know how much time and money would be involved in getting these certifications. Some have suggested that I should not spend my time/money on certifications now since I am only looking to do this part time (and perhaps may consider later if I grow the business).

Any thoughts and comments would be most appreciated. Thanks!
 
Hi,

1) How focused or broadly should I offer services? Is it too narrow to just do virus and spyware removal, performance tuning, upgrades, etc. on Windows 7 and XP laptops and desktops?

2) If too narrow, in what direction should I consider expanding? Add Vista, Mac, etc.? Or should I include hardware?

3) I do not have any certifications. Is it necessary or preferable to have any? If so, what would you suggest? Microsoft has so many, that I am not so sure which would be the most applicable. I also do not know how much time and money would be involved in getting these certifications. Some have suggested that I should not spend my time/money on certifications now since I am only looking to do this part time (and perhaps may consider later if I grow the business).

Any thoughts and comments would be most appreciated. Thanks!

1. You should base it on your existing skillset. If you can do board repairs, laptop screens, soldering, MAC, Linux, etc etc, then do them. If you are weak an a particular area, probably not a good place to start as you will take longer to do the repairs and will have lower customer satisfaction. Im not saying don't take things on that are out of your skill set, but you're asking about breadth - and my immediate thought is to try to build your initial customer base doing what you know how to do. You will get the best WOM this way.

So my suggestion would be to start out doing what you know how to do well, and while you're doing it, develop the skills you need to in other areas to a sufficient level to be able to do them well and to charge for them.

3. I think most people on here would agree that its very rare for customers to want to know about certs. Generally, their concern is "can you fix it?". Personally, I think for PC techs, they primarily serve two useful purposes:
1 - to develop your own skills: studying for exams is a great way to identify and benchmark your existing knowledge and to expand on areas that need attention.
2- they are good advertising. Having CompTIA and Microsoft certs does look good on advertising copy and inspires consumer trust.

Do you need them to be a good technician? No. Are they useful to pursue? - yep.

The only other suggestion I would make, if I may, is to read this Forum from one end to the other. Literally. Its probably one of the best sources of information available on making a go of this business :)
 
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I have fixed a few virus infected laptops for family and friends, and feel like there is an opportunity to make some cash in this area.
Tread lightly, because that's the exact same mindset that the lower grade techs that degrade this industry have.
1) How focused or broadly should I offer services? Is it too narrow to just do virus and spyware removal, performance tuning, upgrades, etc. on Windows 7 and XP laptops and desktops?
Most people don't differentiate services. I rarely get anyone calling to just do an upgrade, or just do a tune up. That's why I chuckle when I see people put so much time and thought into differentiating the different services and prices. The extra services, such as upgrades and tune-ups will come as added value. Your average person doesn't think "Hey, I need to add more memory, upgrade my graphics card and get this PC tuned up, who can do all these services?" rather, they think "My computer isn't doing what I want it to do, who can fix that?" The best thing to do is be nonspecific in advertising and make a judgement decision when they describe the issue to you. If you don't feel comfortable, recommended somebody who can help them.
2) If too narrow, in what direction should I consider expanding? Add Vista, Mac, etc.? Or should I include hardware?
Depends on the demand of your area
3) I do not have any certifications. Is it necessary or preferable to have any? If so, what would you suggest? Microsoft has so many, that I am not so sure which would be the most applicable. I also do not know how much time and money would be involved in getting these certifications. Some have suggested that I should not spend my time/money on certifications now since I am only looking to do this part time (and perhaps may consider later if I grow the business).
Necessary? No. I have an A+ that just acts as eye candy. If I were to get any more, I would do so because I learning and challenging myself, not because I feel it will tangibly help my business.
 
Hi,

New member here. I have about 25 years in the IT profession, primarily in management. Now I have two kids in college and looking to make some extra money on the side. Specifically, I'd like to explore a part-time PC repair business.

In the past couple of years, due to staff cutbacks, I have found myself doing a lot more hands on PC support at the office. I feel that I am fairly competent at setting up Windows 7 and XP machines, backups, performance tuning, and virus eradication. I am not as experienced on the hardware side, although I have installed memory cards, NIC's, HDD's on occasion.

I have fixed a few virus infected laptops for family and friends, and feel like there is an opportunity to make some cash in this area. Now, my questions are:

1) How focused or broadly should I offer services? Is it too narrow to just do virus and spyware removal, performance tuning, upgrades, etc. on Windows 7 and XP laptops and desktops?

2) If too narrow, in what direction should I consider expanding? Add Vista, Mac, etc.? Or should I include hardware?

3) I do not have any certifications. Is it necessary or preferable to have any? If so, what would you suggest? Microsoft has so many, that I am not so sure which would be the most applicable. I also do not know how much time and money would be involved in getting these certifications. Some have suggested that I should not spend my time/money on certifications now since I am only looking to do this part time (and perhaps may consider later if I grow the business).

Any thoughts and comments would be most appreciated. Thanks!


First, have the kids realize they have to go to a state University unless they get scholarships. I had my son's live at home with me and go to the local University but if they had scholastic troubles they could have also gone to the Community college for even less money as a prep school and got their associates.

Second, to your point..... Are you opening a shop? Where are your customers comping from? how will you advertise? Do you have an idea of your hourly rates?

90% of my customers call the first 2 hrs of the day. If I didn't take them as they call, they would find a competitor by the time 5pm comes around So how are you going to manage the calls?

Don't waste your time with certifications that is for employees that want a better job. But taking the course to prep for the certification tests is valuable. You can download decent training from Ebay for $40 or less sometimes. You really need supporting Windows 7, Windows Vista, Windows XP. Two of the three should get you buy. You are going to have a steep learning curve as no one makes a how to be a DIY tech. You cannot escape the hardware even though its only 10% of it, you need to know the difference between a virus mimicking a hardware failure and a failure. Still 90% of hardware failures are obvious Power supplies and hard drives, then Ram and after that it gets tricky for the newly initiated.

I find that workstation support guys have trouble making $60-65 per hour while deeper knowledge Networking types with a touch of data recovery command $100-120+ per hour on site. You need to be comfortable talking to people, sales, customer service, marketing, accounting, invoicing and know your value so as to get paid what you are worth. Its a tough time to start in this industry without any business experience as there are hundreds of one man out of his home types out there. They all think they will drive business with a fantastic website and ad-sence.
 
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Thanks to all for your insightful comments.

Since this will initially be a part-time gig for me, and I have a quite a few local friends and contacts, I was thinking of informally putting the word out through them, and asking each in turn to reach out to their own contacts that I am available for PC repair work. I will work out some rates and basic terms of service and see what responses I receive.

Then, depending how that goes, I could potentially formalize the business further - business license, insurance, advertising, billing, etc.

Does that seem like a reasonable approach? Again, I have a full-time day job and (at least initially) looking to supplement my income.

Thanks!
 
Great beginning while you already have an income as anything you get is extra. You will start to see the issues that can come up so you start your learning phase before you are thrown to the wolves.

Actually its not bad, just want you to realize that you have to develop on several sides not just IT. I would say that your IT proficiency is the least difficult to achieve. And you can be profitable without being a 10 year master network technician.

Learn and use all the tools of the week, tech tips on this site will help you greatly.

I would let my co workers know that you will do their in home work for 75% of the highest retail rates that the guys with a carry in shop charge. Or charge shop rates for in home service. For example I charge $120 on site and $65 shop. If you were to start out offering in home service (since you don't have a shop) for $65 that would be good for you and for them. Since you have no additional expenses making $180 per night isn't a bad gig.

DO not give any service away. that is death nail in the coffin before you begin so don't get that bad habit. Lots of techs feel insecure about their rates and feel they get and keep customers by deep discounting and giving free service. Do neither. The only reason I say start out at $65 per hour is that you have a couple of hundred pc's worth of experience to get before you can charge $100+. You will be a bit slower to begin with so that is already factored into your staring billing rate.

This forum will help you greatly.
 
First, have the kids realize they have to go to a state University unless they get scholarships. I had my son's live at home with me and go to the local University but if they had scholastic troubles they could have also gone to the Community college for even less money as a prep school and got their associates.

OK I am being a bit presumptuous here but I really just wanted to get you to think in terms of not putting unrealistic expectations on yourself starting a new business.

If you do this right, you can have a business ten times better than any career you might have had with more long term personal security working for Podunk corp.

However, if you sabotage yourself in one of a dozen ways you will start, fail and move on to another choice without really giving success a chance or even realizing that is what you did.

Second, to your point..... Are you opening a shop? Where are your customers comping from? how will you advertise? Do you have an idea of your hourly rates?

This is constantly changing but right now most of my sales come from yellow pages. I have about $700 per month yellow page ad in each of the two major phone books in my area and in 2008 I had 1100-1300 in each book. Yellow pages equal 50% of my ad budget.

Now more sales seem to be coming from web searches than 3 years ago. If a computer is broke they simply go to a smart phone, wife's computer, kids computer or Google me from work computer so the google thing and others are coming into their own.

90% of my customers call the first 2 hrs of the day. If I didn't take them as they call, they would find a competitor by the time 5pm comes around So how are you going to manage the calls?

This from an operational standpoint. People tend to put on their TODO list to call you tomorrow morning or right after work. You can pickup the after work crowd but its by far the smaller group of the two IMO. This is ok for first but won't bring you revenues you need when you go full time.

Doing work for friends, family and coworkers or putting ads in church and community bulletins might help you as well as. Get out of the bad habit of doing discounted or free work for family and friends they have to pay someone, if they owned a grocery store they wouldn't or couldn't give you free groceries, why should you be any different?

Working part time-Not everyone is your customer so rather than contorting yourself at first, take what you can who are already in the same mode as your operations.

However before you make the big step to make this side job pay your full wages you are going to have to give 110% and be there when the calls are there. I always tell my clients that if you can reach me, evenings, Sundays, Christmas......I'm coming out. If I don't come when their crisis occurs then I don't deserve their business. Not many people will think t heir home computer failing is a crisis to come out on Sunday.

I built successful (aluminum seamless guttering) business and when I got into computers, gave it to my baby brother. He picked up the guttering easy, the pricing easy, the bidding easy. I told him, work whenever the customers wants you to work.

He didn't follow through or understand me as I would go by his house and he would be mowing his lawn and cleaning and waxing his car and truck on Saturdays. I asked what about work? He said I do my work jobs M-F 9am-5pm or 6pm. So he was still in employee mentality. His business failed miserably exclaiming "the market had changed" from when I was doing very well.

Don't waste your time with certifications that is for employees that want a better job. But taking the course to prep for the certification tests is valuable. You can download decent training from Ebay for $40 or less sometimes. You really need supporting Windows 7, Windows Vista, Windows XP. Two of the three should get you buy. You are going to have a steep learning curve as no one makes a how to be a DIY tech. You cannot escape the hardware even though its only 10% of it, you need to know the difference between a virus mimicking a hardware failure and a failure. Still 90% of hardware failures are obvious Power supplies and hard drives, then Ram and after that it gets tricky for the newly initiated.

OK, again I am being a bit flippant here. One in 50 or 100 customers asks if I am certified and I respond by saying those who can't certify and those who can do. Then I tell them what credentials I have. Obviously to those who feel it important to ask its important. I find that the more professional I present myself the less inquires like that I have. Since we opened our shops I can't remember anyone asking. So the shops give a sort of built in credibility. Certification doesn't hurt you, it doesn't help as much as you think accept. So don't spend $1600 you don't have worrying about getting them. However, getting the skills needed to pass the tests are very helpful.

Don't know exactly when and where you will see each network problem but you will run across them. If you are beginning a training regiment than start with what will be most useful. I'd start with Win7 Pro workstation and if you are very eager pay the $200 to get the MCP for that OS then go ahead. I find that certifications sometimes help the techs to feel more secure in asking for their price and getting it. It helps your confidence.

If you have time once you get Win7 out of the way, look through the Tng DVD's on vista just to see where they are different but there are very few differences from one year to the next despite all MS's announcements to the contrary. You definitely do not need two workstation certifications but if you feel that is a strong selling point of your business and taking tests is your strong point then that is not a bad strategy.

With Windows 7 Pro firmly in your grasp, maybe the next thing I would devote a lot of time to would be Network+ materials followed by Windows server 200-03 or 2008 which every you can get your hands on. The reason I say Net+ is because they do a better job or explaining networking. MS stuff just teaches MS stuff and can leave you lost in the big picture. You can read the N + in one day or over a weekend so its no big deal. You can even spend a day at the library and not put out the cost to buy the book.

When you get to windows server, Most modern Server products can be downloaded for 90 days evaluation without a penny or even a visa. So that is a great way to get hands on. you can download it now as you study and then format the drive and reload it for another 90 days. Much of the Windows server training media comes with a 90 eval copy included.

By the time you are done, you may not need to worry about XP as there is enough cross over skills that you should be very competent in all windows workstation platforms.

You need to be comfortable talking to people, sales, customer service, marketing, accounting, invoicing and know your value so as to get paid what you are worth. Its a tough time to start in this industry without any business experience as there are hundreds of one man out of his home types out there. They all think they will drive business with a fantastic website and ad-sence.

If you can do IT you can learn most other things you need to learn like accounting, finance, paying bills is the same as paying home bills just use a separate checking account.

What is your personality like? Do you like talking to strangers? Do you feel comfortable negotiating? If you rather get a root canal than buy a new car then you may not have the personality or interpersonal skills to manage relationships with hundreds of paying customers.

Take a realistic appraisal of your likes and dislikes. You can learn to do it but you need to learn to like to do it if you plan to do this for the rest of your career.

In my Computer business I find it easier to hire a salesman and train him to be a workbench technician than the other way around. People drawn to IT tend to be lousy at interaction, reading peoples faces and tones of their voices in making on the spot adjustments in what they are saying (all required for successful interaction with clients). We all do this to some extent but some people know they suck at it and avoid those situations. Starting a business you are heading directly into this situation so bone up on that if you can.
 
The best part about what we do, at least for me. Is doing the unknown. Just got a call 45 minutes ago and a computer drop-off. A lady whose entire business is dependent on Windows 95 / 98 software called Infodex. Basically database software. Well, Infodex will not run on her new computers with Windows 7.

I have not the faintest clue about Infodex. While on the phone, i googled it really fast to see my options, what it is. I found out in 2 minutes, i can export the database (running a windows xp machine in a VM (because it runs on XP), to a standard .db file. I can then move it over to a more modern database software tool. Or just standard mysql, sqlite, etc. Point is. Client wasnt married to Infodex. She was married to the years of customers inside that program and there data. I offered a solution, she is going to take. And tonight, i learn something new about databases, infodex, etc.
Tonight I will take the contents of her database, build a new modern database. Have her come back, show her how to use it. And leave a invoice.
Shes happy, im a hero. And again, Ive done something I didnt know how to do. However, I took the call/challenge, and dived in.

There is nothing more rewarding. So. You know viruses somewhat. Great! Dont be afraid to dive into things you dont know. Google is your friend. Microsoft's KB articles are your friend. You may not be ready to take these calls as on-site. However, a drop-off will work. You can experiment. You can get it done, and you can continue to learn.

Certifications? more relevant for a job at a company, then your own. Customers like certifications, even though they have no idea what they mean. I can make up a certification through my company, say i have such certification, and they would be impressed. However, certifications tests / studying will increase your knowledge as a technician.
 
Thanks to all for your insightful comments.
.....

Does that seem like a reasonable approach? Again, I have a full-time day job and (at least initially) looking to supplement my income.

Thanks!

Get a hold of a copy of Guerrilla marketing. There are several versions out but the original is just as good. Paper back, maybe even in efile by now. This is the most empowering book as far as how to get new customers on a small marketing budget.
 
I'd like to explore a part-time PC repair business.
Don't expect much business. Without a storefront, expect only a very very part time business! BTW I would not recommend opening up a store in this declining field.

1) How focused or broadly should I offer services? Is it too narrow to just do virus and spyware removal, performance tuning, upgrades, etc. on Windows 7 and XP laptops and desktops?
Take whatever you can get if you feel competent. Personally I think that "performance tuning" should be a "standard repair". I offer basic tune up instructions to customers. If that doesn't fix it then it's $100 to repair.

3) I do not have any certifications. Is it necessary or preferable to have any? If so, what would you suggest? Microsoft has so many, that I am not so sure which would be the most applicable. I also do not know how much time and money would be involved in getting these certifications. Some have suggested that I should not spend my time/money on certifications now since I am only looking to do this part time (and perhaps may consider later if I grow the business).
Certifications are a waste of money and not required in California. In California you must be licensed with the Bureau of Electronic and Appliance Repair IF you work on computers that are used for non-commercial purposes. Check with your state if any such license is required.

Where are your customers comping from? how will you advertise?
Post cards (the ONLY advertising that was a net gain for me), website, yellow pages listing (no paid ad), business cards left at places that allow you to leave your cards, word of mouth.
 
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Don't expect much business. Without a storefront, expect only a very very part time business! BTW I would not recommend opening up a store in this declining field.

I have to disagree with this largely because in many areas, this is a growing field. In your area, Los Angeles, it is a very crowded market, dominated by large startups and places like Best Buy. And the people that I know in that area in the business are seeing at least stagnation (no growth), but are certainly not seeing loss. The San Francisco Bay area is another that is crowded, but is certainly not seeing a decline.

I would add that it is only a declining field if one focuses only on repairs and such. Ask CallThatGirl how declining her business is.

Each market is different. Making broad statements is seemingly short-sighted.
 
I would add that it is only a declining field if one focuses only on repairs and such. Ask CallThatGirl how declining her business is.

Each market is different. Making broad statements is seemingly short-sighted.
Seems a bit short-sighted to discard someone for making a broad statement, and then make such a narrow statement that focuses on a single business...
 
There was this company who figured out how to make a high quality smart snack. The problem is they had little money to market their new concept. To make matters worse they would take head on Frito Lay also owned by Pepsi-co which also owned at the time Pizza Hut, Kentucky fried chicken, Taco Bell among other things.


Snack food was a mature market which is very difficult to penetrate by small new comers with no marketing muscle.


Convenience stores and grocery stores would not make room on their shelf's for the new company's products as they were paid to keep shelf space for the big boys.


This new start up company took enormous risks. The company was Smart Foods and they had an all natural great tasting popped corn which was an almost instant hit. Their Grand introduction was to give away free snack bag sized product to everyone who ran in the NYC and Boston Marathons about 1985. In 1989 they sold out to Frito Lay for $14.5 million.


I think there is still room to be a success in the Computer Break Fix business.
 
Take a look at Plumchoice. Each year there growth expands 40 - 80 % for the past 6 years.....

Break / Fix? yep - you can make money :)
 
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