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Why do I have to sign a contract?




Why do I have to sign a contract? Why can’t I just cancel when I want to?


Every year, we get more people telling us that they can’t get a hold of their old companies. They love that their old company did not require a contract and was cheap.

This is how the phone call goes:  “I used to just call them when I wanted them to come out. I can't get a hold of them anymore. I just want to call you when I need you.  Can I do that?”  


In 2024, MOST reputable pest control companies require a contract. Especially if they want to survive in this economy. Why is this? Based on my experience, I will tell you two reasons.

The first reason is because it has become more competitive to get a potential customer to call.  And therefore more expensive. 


The second reason is that when customers call, they know they can get a good deal.  They expect “low down and easy payments.”  If you are more expensive than other companies, they will call another company.  This is especially true with the initial start-up costs.   


In my experience, most customers are willing to sign a 12-month agreement if it saves them money upfront.  This also gives the company a year to impress the customer.  After the year, the company hopes the customer will keep them even longer!


So it is expensive to find a customer.  But customers want a good deal so the company loses money for a year or two.  That is why most companies offer a one-year agreement.

 

My neighbor has a small business. He does merchant processing for LOCAL businesses--including Local Bug Guy.  He was shocked to find out that when we acquire a customer, it takes 12-18 months before we break even.


He knows that we sign customers up for a 12-month agreement. So he knows that when the agreement is over, it is possible that we have not even made any money.


It is getting more and more expensive to find customers. And customers expect “low down and easy payments.”  That is why most companies–including LOCAL Bug Guy, offer a 12-month commitment.  In most cases, it is the best option for most people.  But if you really do NOT want to be locked in, we do have two options for you. 


Option 1  Sign up for regular maintenance but pay more for the initial service.  This is not for most people. It does cost more money, but we have had a couple of people REQUEST this option over the last 13 years.  For them, it was worth paying more so they would not feel locked in.


Option 2 Start with a one-time service.  After you know that you like the service, you can upgrade to a regular maintenance plan!  A one-time service costs more money–so if you choose to upgrade, then we will credit you the difference!  You have 90 days to take advantage of this offer after the service is completed. This is a unique thing that we offer at LOCAL Bug Guy! 

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