KEN KIRSCHENBAUM, ESQ ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE You can read all of our articles on our website. Having trouble getting our emails? Change your spam controls and whitelist ken@kirschenbaumesq.com ****************************** Capitalize on your monitoring accounts without selling or compromising – unique opportunities February 2, 2024 **************************** Capitalize on your monitoring accounts without selling or compromising – unique opportunities **************************** To quote Buffalo Springfield, “There's somethin' happenin' here But what it is ain't exactly clear …” But as the dust is settling I am staring to focus on a clear trend and it’s essential that alarm dealers with monitoring accounts pay attention. The central station business is changing and it’s working to dealer benefits. It started with acquisition of central stations by other central stations. These multiples, which historically were well below the multiple paid for “retail” alarm RMR have crept up, almost closing the gap. Of course what a central station sells to another central station is its dealers’ monitoring. That does nothing for the dealers. Dealers monitoring their own accounts are finally realizing that the cost of maintaining the central station is astronomical and likely dragging down the profits of the retail side of the business. The arithmetic is simple: compare cost of operating your own central station for yourself [and even some other dealers] compared to what you’d pay another central station to do the monitoring. It’s not even close; you save a bundle. And no, you don’t monitor as well as the national central stations because they have resources you don’t and, unlike you who has a retail side, central station operation is all they do. In the past year K&K has represented, as counsel, and brokered 6 deals. When you’re ready call me [and don’t wait for this buying frenzy to subside]. But it’s time to expand the program. It’s time that dealers were also able to cash in on this opportunity. You can view it two ways, whichever suits your perception, but the dollars are the same. You can sell your “monitoring” without selling your alarm accounts, or you can get heretofore unheard of incentives to move your accounts to a central station willing to “pay” for the opportunity to monitor your accounts. Incentives by central stations have been around forever, but typically looked like a couple of months free, free set up, or slightly reduced monitoring charges off the published rates. This is something different; something far more significant. It’s actually dollars in your pocket or long term discount until your incentive has been fully credited. If you’re interested in engaging K&K as your counsel and taking advantage of this opportunity, whether you’re operating your own central station or a dealer, contact me directly. Ken@Kirschenbaumesq.com or 516 747 6700 x 301 ****************************** STANDARD FORMS Alarm / Security / Fire and related Agreements click here: www.alarmcontracts.com *************************** CONCIERGE LAWYER SERVICE PROGRAM FOR THE ALARM INDUSTRY - You can check out the program and sign up here: https://www.kirschenbaumesq.com/page/concierge or contact our Program Coordinator Stacy Spector, Esq at 516 747 6700 x 304. *********************** ALARM ARTICLES: You can always read our Articles on our website at ww.kirschenbaumesq.com/page/alarm-articles updated daily ******************** THE ALARM EXCHANGE - the alarm industries leading classified and business exchange - updated daily ************************* Wondering how much your alarm company is worth? Click here: https://www.kirschenbaumesq.com/page/what-is-my-alarm-company-worth ****************************** Getting on our Email List / Email Articles archived: Many of you are forwarding these emails to friends or asking that others be added to the list. Sign up for our daily newsletter here: Sign Up. You can read articles and order alarm contracts on our web site www.alarmcontracts.com ************************** Ken Kirschenbaum,Esq Kirschenbaum & Kirschenbaum PC Attorneys at Law 200 Garden City Plaza Garden City, NY 11530 516 747 6700 x 301 ken@kirschenbaumesq.com www.KirschenbaumEsq.com
