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Always get a contract!


sbishop

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My partner's cousin is a doctor. Last november, I set my sight on a skilled nursing facility. My partner said that his cousin knew the administrator and he would talk to him.

Long story short, we landed the account. In April, after the other vendors contract ended, we installed 5 machines (3 drink and 2 snack). The administrator told my partner that as long as he was there we would have the vending.

Last month the administrator died. The new administrator cam in and kicked us out because we never signed a contract. What hurts the most is that this guy was such good friends with the doctor that we could have gotten him to sign anything. We could have had a 5 plus year contract and now we have nothing.

This was our largest location and it cost us 30% of our business. That was an expensive education!

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My partner's cousin is a doctor. Last november, I set my sight on a skilled nursing facility. My partner said that his cousin knew the administrator and he would talk to him.

Long story short, we landed the account. In April, after the other vendors contract ended, we installed 5 machines (3 drink and 2 snack). The administrator told my partner that as long as he was there we would have the vending.

Last month the administrator died. The new administrator cam in and kicked us out because we never signed a contract. What hurts the most is that this guy was such good friends with the doctor that we could have gotten him to sign anything. We could have had a 5 plus year contract and now we have nothing.

This was our largest location and it cost us 30% of our business. That was an expensive education!

Sorry to hear what happened to you it sure sucks when it happens.

Contracts, while helpful, are not necessarily a silver bullet. One of my largest accounts, that I have had for over a decade, does not have a contract. Never has. This is a chain with over 100 locations across the lower 48. Two years ago they signed a national contract with Canteen, I have the ONLY location in the US not being serviced by Canteen. Wonder why I still have it? Well I treat them like kings and let them know every opportunity I get that I appreciate the opportunity to do business with them, I have also upgraded them with new equipment twice since getting the location. When they call to report a service problem I am usually there within 2 hours. As a result when the Canteen people showed up the manager threw them out of the office, got on the phone with his boss and then moved up another layer of management while raising hell that I was going to stay. A couple of weeks later I got to meet with the national facilities manager, showed him what I was doing for them with better equipment, better variety, better service and matching the commission and he agreed to let me keep the account.

The key to keeping this account was the relationship that I had built with not only the manager but also many of the employees who were willing to go to bat for me.

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Sorry about your circumstance but having worked for a fairly large company I can tell you from experience that if a business wants to get out of a service contract they will.

I had a good account that was bought out by a national corporation and they cleaned house. Let go the entire management staff, Me the coffee guy the uniform service company I mean everyone. Contracts meant spit.

I have 47 accounts and not one contract and none on commision and my 5 largest accounts are regional offices or warehouses for forture 500 companies. And like Mission I have had some for close to ten years.

Mission is absolutely correct in maintaining a good relationship with not only your contact but also all the management and employees is your best defense.

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