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Unfair Competition

Discussion in 'Business Fundamentals' started by Langlois Enterprise, Oct 10, 2004.

  1. Langlois Enterprise

    Langlois Enterprise Junior Member
    Messages: 24

    I am trying to run a small plowing business in Northern New York, how do I stop the operators that are out there with no commercial insurance and liability insure from under cutting me. I pay sales tax on my business. Playing by the rules HURTS!! :(
     
  2. Mick

    Mick PlowSite.com Veteran
    from Maine
    Messages: 5,546

    One of three ways: 1. Compete with them - heads up, taking what you can get and making smaller profit margins. 2. Setting yourself apart somehow - whether through offering services they don't, showing up the difference through advertising or 3. Going after business they cannot BECAUSE they don't have insurance (generally commercial/industrial accounts which require proof of insurance).

    There may be others. After thinking it through, this is just what I've come up with in my situation.
     
  3. T-MAN

    T-MAN PlowSite.com Addict
    Messages: 1,363

    Welcome to the buisness world. I run a carpentry contracting company and butt heads with immigrants on this issue all the time.
    1) as Mick stated goe for commercial and industrial accounts. Also possibly subbing the whole job or account for another contractor. When biddingYou have to make sure that you tell the property manager when you "hand deliver" your bid that you are fully insured! You would be happy to have statements of insurance sent to him after contracts are signed. Most buisnesses like to have this on file.
    2) If you due sub, most contractors are audited yearly by there insurance company, your proof of insurance on file for them will save them money.
    I am audited yearly and I have to pay comp on all subs who are not on file, meaning a certificate of insurance. When we sub many contractors wont let you on site without a certicate on file.
    3) If you do go after residentials then have a flyer stateing your full insured. If you do get to bid work for some, state to them casually about your insurance and how it protects them from god forbid if you were ever hurt plowing on there property. Because yes Johny lowballer with no insurance probally wont be able to afford his medical bills and will sue you the homeowners, homeowners insurance. Oh and this does happen in the real accident chaseing John you know whos world. Sorry about that one !
    4) Sell service and provide it! You have to go the extra mile and live up to your "higher prices". Lets face it, its so true. Jump threw the hoops and go the extra mile and make damn sure your customers are happy. Todd
     
  4. rainair

    rainair Senior Member
    Messages: 153

     
  5. mikekinney

    mikekinney Member
    Messages: 33

    illegal

    And then we can let the illegal immigrate's drive ford truck's and plowsome
     
  6. GTL Inc.

    GTL Inc. Member
    Messages: 30

    Insurance

    What i did was put together a site seller.In this you have all legal paper work the concerns your business,every thing from your incorporation papers to insurance paper work, any type of state Linc that are needed, any type of county Linc that may be needed and paper work showing your insurance coverage with a copy of you most current policy and lets not forget workmen's comp cert.


    Down here we deal with kids using daddy's mower, we either go head to head or i just leave my card and say when he passes out call me, hope you have good liability inc if he is hurt he may bring a law suite up.That some times lets them know what is going on.
     
    Last edited: Oct 14, 2004