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hi its James licker so I just finished my web TV program and a lot of questions came up about service agreements so I thought Id do a quick video on service agreements like I said its a quick video we could talk about ours we can talk for hours about service agreements but lets just talk about a few things first of all when I talk about service agreements Im namely speaking about the HVAC plumbing and electrical businesses as a general rule of thumb you want 300 service agreements per billable person so if your company has ten people in the field you want 3,000 service agreements why because that should be enough to produce enough billable hours to fill in all your dead time most companies only bill out about 40% of their day if you have 3,000 service agreements those 10 technicians will have plenty of work to keep them busy year-round so how do you sell service agreements first of all in my opinion you have to flat rate if you dont flat rate price then its hard to show the valu