Computer business

[ggross]

Hello everyone, so me and a few guys are toying with the idea of opening a computer business, we are all A+ certified and some have more certs than others, but the main thing is that we all have 4+ years experience in the pc tech world. Just wanting to know what you guys think about computer repair business's and what all it takes to start a business that wouldnt be thought of right off the bat, we've been toying with the idea for a while now. Thanks.

[Snurfen]

A lot of money in reserve.

[AnnMarie]

If you are for real ggross, it might help us answer your question if you posted genuine advice in forums other than Jokes and General Comments.

:-D well I dunno if I help rather than annoy but thanks!

Sorry but I cant take you seriously.

[ggross]

Ah, yes, but I have posted in hardware and software forums, I usually only get on for about 10-15 minutes a day and when I get to these forums the questions are usually answered. But alas I can see why you would have trouble taking me seriously.

[Miz]

If you're serious about starting a computer business, first and foremost you have to be able to deal with the public. You have to keep in mind that when people need computer help they're usually already frustrated or angry or worried and usually all three.

Most people don't want to learn how computers work, they just want to turn them on and use them. Therefore they may have caused the problem. Keep in mind that doesn't make them stupid, it makes them needing to pay somebody to fix it.

The ability to deal with and work with people is a skill and talent that cannot be taken too seriously. Lose your patience or patronize a customer just once and word will spread faster than light. A good reputation takes a long time to establish and one poor treatment of one customer can destroy it within days.

If you believe everyone who will be dealing with the public can maintain a professional attitude no matter what, the first step in putting a business together is to pay a lawyer who is experienced with start-up businesses.

You said you and "a few guys." That makes it a joint venture. It doesn't make any difference how well you and those guys get along, pay that lawyer to put it all in writing. I guarantee that if you don't, you (and the other guys) will not only be sorry, you'll end up enemies and some or all of you will lose a lot of money.

[Archangel122184]

I don't think you'll get any better advice on a computer business than what Miz has given. People and partners are your worst enemies and unfortunately they are the only thing that can keep you floating too.

Other than that... the most common elements I find missing from "garage" shops:
Test beds for software - everyone knows the will have to test hardware, but few thing about testing software in different environments for clients
Volume OEM licensing - you will be expected to provide anything the client needs for system stability and upgrades. As Miz said... they just want it to work... but they also only want to go to one place.
Service contracts - Make sure they sign on the dotted line before you do anything (and make sure you explain to them what rights they waive when doing so). Computers (in general) are worth less than $5k which puts them in small claims civil court where burden of proof sucks. If something breaks, even though its not your fault, you better believe you're about to lose your ass on it.

[Miz]

Archangel made a point I overlooked: When you hire the lawyer, also have him/her draw up your service contract. There's nothing more useless than an incomplete or badly written do-it-yourself legal document if things end up in court.

Don't forget professional liability insurance. Many companies won't write insurance on the contents of a shop or even the shop itself without accompanying professional liability.

If your state has sales tax, find out what's taxed and what's not. In Kansas, for example, construction labor on commerical property is taxed...with some exceptions...while labor on residences is not. If you plan to sell parts along with the labor to install them, sales tax may apply on the parts and not on the labor. It's up to you to keep it straight, collect the tax for the state...and send it in, of course.

It's the legal side of business startups that usually gets either overlooked or short changed. That's why paying a lawyer experienced with startups is a wise investment.

[renegade600]

yep, you have alot of work ahead of you. You will need startup costs and enough to last at least a year, you will need a lawyer for partnership paperwork and to help with all the business aspects -including local, state and federal laws, and a cpa who can help with the financial aspects of the business.

[jmtjet]

I would like to suggest that you start out by working in an established shop. A year in an established computer repair shop will give you more education than you could ever get sitting in a classroom. Then, after your time in a shop, branch out into your own business.

[renegade600]

Originally Posted by jmtjet

I would like to suggest that you start out by working in an established shop. A year in an established computer repair shop will give you more education than you could ever get sitting in a classroom. Then, after your time in a shop, branch out into your own business.

however if working in an established shop, dont say anything about wanting to start your own, some owners dont like to train their future competition.

[ViprXX]

One thing I noticed about most computer repair shops (atleast in my area) is that they don't advertise nearly enough. It never seems to fail that when I goto anyones house usually about 95% of them have something wrong with there computer. And yet I hear that there isn't really that much money in repairing computers unless of course its for an already established larger company. That might be incorrect though, lol. But it seems to me that smaller local pc repair companies should spend more money on advertising. I'm sure you already know how important advertising is in the business world but I figured I'd still mention it because it really confuses me why local pc shops don't advertise more even if it takes getting a loan strictly for ads.

Anyways, good luck with the business.

[Snurfen]

Originally Posted by ggross

Ah, yes, but I have posted in hardware and software forums, I usually only get on for about 10-15 minutes a day and when I get to these forums the questions are usually answered. But alas I can see why you would have trouble taking me seriously.

same as me Gorg! Most internet forums are a way of me unwinding from doing it for real, and to be honest, the vast majority of issues on forums tends to be malware (which is often user ignorance, just need pointing in the right direction) or issues I have no exposure to in corp networks.

My post #2 could be taken as flippant, but I am deadly serious. If you guys need to pay your collective mortgages, cloth and feed yourselves (and possibly your families) you are going to need a fair wedge in the bank.

Your startup costs will likely be in the 10's of thousands - licenses, tools, kit out the workshop and shopfront etc. It will take you quite a few months to earn yourself a good reputation and hence loyal customer base.

Miz has shared some excellant advice form her experiences *whispers* "send her a pm showing your gratitude"

The best way to make a pile in this business is consultancy as you know - your business proposition will give you something consultancy can't - the ability to be close to home at all times. Don't undervalue that, I made a massive sea change in my career about 3 years ago for that very reason. I now get to be in charge of our big tv, and I get to go down the beach about 300% more than I used to. My handicap has come down from 18.2 to 10.
You can't buy stuff like that.

I echo other posters' sentiments of the sincerest best of luck