Entering into a standard service and maintenance contract for your patient handling equipment is the most common contract on the market. This agreement allows your care facility to pay for services, replacement and work as and when it is required.
Typically, a standard contract can range from a 1-5 year time frame and during this agreement, you are locking in your agreed upon rates subject to the terms and conditions.
Pros of a Standard Contract
With a standard service and maintenance contract, the upfront costs can be competitive as you pay solely for work that is completed as and when it is required. The rates your facility will pay depend on the specifics of the item, the type of service you require, the frequency of service, supplementary charges of labour, and your call-out charges. Many care facilities can benefit from cost savings upfront and have certainty around pricing for the duration of the contract.
Cons of a Standard Contract
Although standard contracts can appear quite competitive and affordable upfront, your facility is subject to unpredictable unknown costs that have the potential to cause your facility to go over budget on any given month.
This fact can often times make it difficult for your facility to budget well as some month’s costs may be low and some month’s costs difficult and high.
There can also be timing challenges that arise with a standard contract as your provider will often have to wait for approval from yourself on work quotations before actioning the servicing of your equipment.