TOP 8 TERMS TO UNDERSTAND BEFORE SIGNING A SERVICE AGREEMENT OR RENEWAL
It’s important to know what you’re getting into before signing a uniform and linen service agreement or renewal. Regardless of the vendor, make sure the following procedures are in writing, clearly defined and explained. And always read the fine print.
1. Term Lengths
The length of your agreement (weeks, months or years) should be highlighted on your Service Agreement and initialed so you know exactly how long you’re committed to the provider.
2. Price Increases
Price increase procedures should be clearly stated on your Service Agreement for the length of your term.
3. Miscellaneous Charges
Have all setup and any other extra charges clearly spelled out – what the charges are and if they will be increased over the course of your Service Agreement.
4. Lost and Damaged Products
The procedure and costs for lost or damaged product should be clearly defined and written in your Service Agreement. You must receive your damaged goods back for your inspection and know how long each item has been in service so your costs can be depreciated accordingly. Ask how this procedure is tracked. Ask for a definition of “damaged goods."
Have all guarantees thoroughly explained and put in writing.
6. Cutting Costs by Cutting Services
Some vendors provide an unrealistically low estimate by cutting corners with essential industry best practices. They may over pack their washers or wash in cooler temperatures, which greatly affects cleanliness. Everyday services like garment repairs and upgrades may not be included in their price, resulting in costly overcharges later. Have vendors clearly outline processes to confirm how these areas are addressed.
7. Service and Product Quality
If you are not completely satisfied with your service or product quality and you’ve given your supplier ample notice in writing to correct the situation, your Service Agreement must explain the complete procedure and costs to terminate your Service Agreement. You must be completely satisfied with reasonable service and the quality your supplier is giving you or they don’t deserve your business for the term that was agreed upon. Make sure “reasonable” is defined.
Ask to see a copy of their invoice. Can you easily see what you’re paying for and what is being delivered so that you know if there’s a shortage and who is responsible? Is there a delivery quantity column? Is the invoice clear and user friendly? Is there a Fuel Surcharge or any other likely charges not listed on their proposal or Service Agreement?
AmeriPride® has been a leading uniform and linen supplier for over 127 years. We continue to find new efficiencies and improvements in operations in order to be a stable, competitive force in the industry and serve our customers better. Our willingness to roll up our sleeves and come through no matter the need keeps customers coming back for more. Want to learn more? Contact us today!
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