HVAC service agreement template

Maintenance agreements are sold on instinct and lose money quietly. This prices one properly. It counts the visits you are committing to across the units you are covering, costs them at your own per visit cost, adds what the member repair discount will cost you across a year, and applies your margin target to give the annual and monthly price. The gross profit line tells you whether the plan you are about to sell is a business or a favour.

The repair discount is a real cost and belongs in the price

A member discount on repairs costs you money every year the customer stays, and most plans are priced as though it costs nothing. Putting it into the cost of the plan before the margin is applied is the difference between a plan that funds your slow season and one that quietly subsidises your most demanding customers. The expected repair spend field is there so the discount shows up as a number rather than as goodwill.

Why a maintenance base is worth more than the margin on it

The plan itself should be profitable, but its real value is that it fills the shoulder seasons with scheduled work, gives you first call when the system fails in August, and makes the replacement conversation happen with somebody who already trusts you. That is why plans are worth selling at a sensible margin rather than at the highest one the customer will bear: the point is the relationship the plan buys you, not the plan.

Monthly billing changes who says yes

The same plan sold at a monthly price tends to convert better than at an annual one, because it competes with a subscription rather than with a bill. It also means the cancellation and renewal terms have to be plain and honest, stated before the customer signs and not buried: what the plan covers, what happens if they cancel mid term, and whether unused visits carry over. Write it down and give them a copy.