Hey everyone,
I am considering whether to start an agency that helps other landlords with getting quotes from contractors, I would really appreciate some feedback on this.
My services would be remote and include e-mailing or calling contractors and arranging appointments with tenants. Unlike letting agencies, I wouldn’t charge a margin on top of jobs and would just forward the invoices to the landlords.
Any feedback on the idea would be appreciated!
so how will you make any money?
Isn’t this what mybuilder does ?
Either it’s like my builder or you would become a management service aka letting service which would mean a redress scheme etc
Whatever your idea is, letting people know about it will require considerable costs. That’s the hardest part.
Why would I use your service instead of just doing it myself? Give me your elevator pitch.
I would charge a fixed monthly fee - maybe around £20/month as opposed to charging a margin on top of services
Could you elaborate please? Do you mean advertising and distribution?
My elevator pitch is that if you value your time at £20/hour, you have made your money back by using the services, if dealing with contractors takes you more than an hour a month.
I’m essentially making your life easier by dealing with the hassle 
Understood . Do you mean you would visit the job get a contractor and check the work. ? Is that £20 a month even if no repairs are needed to a particular landlord? £20 per property?
I’m still thinking of the details - but essentially yes. I may do something like a base fee of £20/month, and then an additional charge of £5 for another property.
So the customer I’m targeting would be someone who spends more than 2-3 hours a month getting quotes from contractors, as a result they are making their money back after I save them one hour of work.
I’m still thinking this through, so open to any feedback. If you don’t think this is that big of a problem/my services are not a value-add, I would be interested to hear back!
I am a joiner/ builder. Those prices are not enough to cover your time , fuel and travel time . I do all my own repairs . My guess is that landlords with many properties will already have a list of good contractors. If something goes wrong you will carry the can ? I have handled a few sites and community projects so know the problems. Do you have a trade background?
Sorry, I forgot to include in the last answer - so the crux of the job would be to help landlords with getting the quotes. After providing the quotes to the landlord, they would make the decision themselves as to which contractor to choose and check on the job. I would mainly handle the calling/e-mailing and chasing people part of the job. I would check on
I don’t have a trade background - only as a landlord.
Do you think it would be more appealing at a lower price?
I guess only time will tell if your price is ok. . You need the view of other landlords as well.
I appreciate the feedback, thanks for your time mate
In other words, you’d do the easy bits and leave me to do the ones that really take the time and risk. Deciding which contractor to go with involves actually communicating with them, not just looking at the bottom line. Do they return my call/email promptly, for example? When they do, do they actually answer my questions? How are they when they come for a quote? Do they walk across my new carpets with their muddy workboots on? Do they try to add on additional work that doesn’t actually need doing to inflate their quote?
And checking on the job takes time too, esp if it’s a big job.
You’ve not sold me. Neither did the half dozen or so others I’ve seen trying to pitch such a scheme through LL forums over the years.
It seems to me that this service requires a strong element of trust on the part of landlords.
How will you deal with the suspicion that:
a) you cut corners by having a handful of “pet contractors” rather than going to market each time to get the best quotes;
b) the contractors prices are inflated because of the kickbacks theyre paying you?
Do you generally spend a lot of time looking for contractors?
There is so much that can be done for £20/month… I feel in your case a letting agent would be more helpful.
That’s a valid question - I feel that’s the case for any time you decide to do business with someone, that is it is through mutual trust and giving the option to stop the service quickly if it doesn’t make the buyer happy
What do you currently do to find contractors?
I have done work for other landlords most want to be hands on some even buying all the materials and then paying me for my labour… My gut feeling is that you would be better being a “site manager” to control the work, but this is a much bigger job. I have been there.
Thanks for the information, that’s actually great to know.
Can I ask which area approximately you mainly worked in? I am London-based myself, and so my frame of reference is mainly for that area with regards to contracting and etc