Operating A Fire Alarm Service Business: Staffing, Inventory, Pricing, and Market Size

"The first comprehensive business tool for gauging your company's,performance, revenue and business potential in the automatic fire alarm

system service business."

FIREPRO® Incorporated, with the assistance of Sandra Jones and Company, has reviewed current trends in the commercial fire alarm system testing and service market. This 100 page report containing over 40 charts, was prepared to provide an understanding of issues to be addressed and considered when planning to enter the market and when developing business plans.

OUR SAMPLINGUL Listed Fire Alarm CompaniesIn the last two years, the number of UL Listed fire alarm companies has fluctuated from two hundred and fifty to three hundred companies. An average of two hundred and seventy-five locations was assumed for purposes of this report. Our sampling consisted of mailing surveys to one hundred locations and calling twenty-five additional locations. This effort resulted in fifty-one completed surveys, nearly 25% of the total independent business units. Geographically, we received responses from throughout the continental United States.

MARKET VALUECommercial Automatic Fire Alarm System Testing & Service - Annual Market Value- Based On Devices Per Protected Area- Testing Basis, Service Basis

Total Testing And Service Market: By Major Trading Areas- Map And Definition: Major Trading Areas- Commercial Buildings: By Sq. Ft. And Estimated Protected Space

- Estimated Number Of Installed Systems

Global Real Estate Table: Selected Urban Areas- Total Space (Sq. Ft.) In Selected Markets

Annual Fire Alarm System Testing Market- Annual Testing Market: By Occupancies- Annual System Testing - By Trading Areas- Annual System Testing Market: By Each Occupancy

Annual Fire Alarm System Service Market- Annual System Service Market: By Total Occupancies- Detail: By Each Occupancy- Annual System Service - By Trading Areas- Annual System Service Market: By Each Occupancy

Market Participants Description: General- Regional Market Coverage: By Trading Area Table- Estimated Annual Market Share - UL Listed Fire Alarm Companies

Market Driving Forces And ThreatsBest Practices- Global Requirements- Personnel Policy- National Accounts, Automation Installation- Inspection, Testing And MaintenanceInstallation- New Construction, RetrofitService- Concerns, DirectionsSystem Life Cycle- Fire Alarm System Life Cycle: By System Type- Conventional Fire Alarm Systems, Addressable

OperationsGeneral Data- Systems: Mix- Average Size Of Systems- Estimated Area Protected: By System TypeBilling Efficiency- Percent Of Companies Reporting- Percent Of TechniciansInvoicing

- Hourly Technician Invoicing Rate- Hourly Rate: Service, Test, Installation- Average Invoicing Rates: By TypeContract Method- Percent Of Services Performed On A Contract Basis- Method Companies Use For Contract InvoicingCentral Station- Monitoring Service Methods- Runner ServiceTesting- Testing Times Per Device- Average Testing Time Per Device/System- Average System Testing Time: By Device/Hours- Test Technician Invoicing RateRevenue And Market Projection- Estimated Number Of Systems Being Tested- Average Annual Test Activity- Annual Invoicing Rate: Per Testing Technician- System Testing Labor Rate: On A Per Installed Device BasisInstallation- Time Estimates: Installation Time- Mix Of Devices- Hourly Technician Invoicing RateRevenue And Market Projections- Estimated Number Of Systems Being Installed By UL Listed Companies- Mix Of Systems- Estimated Annual Installation Labor Activity- Rate Per Technician- System Installation Labor Rate: Per DeviceService- Mix Of Systems Being Serviced- Estimated Number Of Service Calls Per System- Unscheduled Service Calls: Percentage And Time- Hardware - Related System Failure Rates- Hourly Service Technician Invoicing RateRevenue And Market Projections- Estimated Number Of Systems Being Serviced- Average Annual Service Activity UL Listed Fire Alarm CompaniesAnnual Invoicing Rate- All Service Technicians- System Service Call Labor Rate On A Per-Installed Device Basis

Staffing

GeneralPersonnel Summary- Testing Technicians, Installation Technicians, RunnerJob Descriptions: By Job FunctionSalary Range:- Company Pay Scale RangesTraining And Certification- Average Annual Training Time- Methods Of Training- Areas Of Additional Training- Certification

InventoryPart Requirements- Estimated Occurrence Of Various System Problems- Replacement Parts- Estimated Percent Of Parts Replaced Based On Number Of UnitsValue- Estimated Percent Of Parts Replaced: Based On Number Of Units- Inventory Policy Summary- Warranty Repair Parts, Requirements, Turnover Rate

Financial SummaryPersonnel SummaryAnnual Total Revenue Per Employee: Based On All EmployeesRevenue Summary: Based On Manufacturer RepresentationRevenue Summary: Based On Stocking Policy