Question

***********

Hi Ken,

    One of my friends has been installing cable for quite some time and is interested in expanding to installation of CCTV surveillance systems in CA.      First, do you have a contract for CA?

     Second, do you think he should bother with the hassle of a contract?  His customers have been using him for quite some time and are friendly and he is somewhat concerned about having them sign a contract but having read your blog, I suggested that he protect himself in case something happens and he finds himself involved in a suit.  Since anyone can sue anyone these days, what sort of things can come up for the installer?

Thanks for the assistance.

Ron Hamilton

*********

Answer:

*******

    CCTV is definitely within the family of "security" services offered by alarm / security / integrators.  CCTV is usually included as a service that requires the same license an alarm installer requires for intrusion and fire alarms.  Of course unless CCTV is designed with central station [or subscriber] real time video viewing it is intended for after the fact viewing, rather than immediate alarm notification requiring emergency response.  Nevertheless, you need a contract for CCTV installation and service.

    If you install a CCTV system with local DVR you can use the Standard Sales Contract.  This contract can be used even if you are connecting the CCTV system to the Internet so your subscriber can view the cameras by logging onto a computer and connecting to a web site [not to be confused with the systems that pass through a manufacturer's server for which you have to pay a monthly charge - see below for that].  You should also get the  Service Contract  signed. 

    If you are installing CCTV with central station viewing monitoring upon receipt of alarm condition, use the CCTV Sales Contract [or CCTV Lease]. This contract includes not only the central station monitoring but options for data storage and retrieval and service of the system.

    If you are installing CCTV that is not central station monitored, but the subscriber can view the cameras live feed on the subscriber's smart phone by viewing data passing through a manufacturer's server, where the data is stored, then use the Remote Video Monitoring Contract.

*************

Comment on what's wrong with this business model

*********

to all:

 

    Michael,   what is wrong with the "Business Models?"  Nothing...it works for those companies that do it, they have a "breakout" and using the formula for their operations and it works for them.  What works for your organization is your business, but don't complain about what someone else does-who cares for one, and what do you think they are going to do, change for you, I don't think so.  Oh, and note the correct word is "breakout."  Also note the breakout could be as little as 3 months and as great as 18 months depending on what the new business represents.  As to ADT, (note I am not, as heaven knows) am defending them but they are getting more RMR now as ever before so don't blame them.  If you don't like the way they run their business go sell cars and REALLY TRY TO COMPETE.  Quite frankly you can, as a smaller company, service your accounts much better and get referrals then them.   I don't know where you are (don't care) or what size company you are, but stop being a crybaby and do what you think is right by the potential customer and you'll sleep at night and get more RMR.

    As for "Paul."  When you hire a salesman, what experience do you expect them to have, and how much of an investment do you make in them as in certifications, schools, or even sales training?  Probably hardly any I'd bet.  All the majors look for is ROI and capturing monthly's.  They pretty much don't care who you are (as they have demonstrated) over the years of hiring new sales people.

    Yusza, there are no free systems, and nobody is putting "free systems" in for anyone.  Yes, there are unscrupulous people and companies in business but they get caught eventually and disappear.  And maybe they do it on occaision, but "SO WHAT."  It works for them and most important-they understand the concept of how it works, and maybe they do what you don't and get "outside financing" to grow their business, and don't act and complain like these guys that complain about the ones that don't like that they can't get Federal work because of the requirements.  I have never seen a bunch of these crybabies in my life!

    Looks like Bob Harris has it about right and knows who he is competing with and understands his "marketshare."  Myers is correct too knowing as I traveled the country and very few were actually getting the RMR they should have to have some value down the road, but I think all they were doing was to create a "job" for themselves and not making a "business"  I don't think the business is "virtually worthless," because it does have a recognition in a given area of the country.  Look, how many security companies go beyond (?) X number of miles for new business.

    You know folks, as Elvis said...TCB (the name of his band, taking care of business) and mind your (own) business and run it the way you think it should be run and stop complaining about how "ADT" or who ever runs theirs and you will be a whole lot better off.

Marty Winger

Martin Security Engineering