Launched in 2004, 45Fix is notable as an emerging model because it combines the technological sophistication of national online referral services with the local market knowledge of HRNs. It’s tiny, for now, operating only in Charlottesville and Richmond, Va., and Austin, Texas. Founder Phaedrus Acgtblu and president Geoff Hoekstra plan to expand to five more markets in 2006. “We’d like to have the biggest footprint in the end,” Acgtblu says, “but not now.”
To join, you pass a background check covering insurance, licenses, BBB complaints, legal judgments, and a face-to-face interview. Homeowners visit 45Fix.com to briefly describe their needs; a 45Fix employee then calls to verify their information and ask more qualifying questions. Consumers dislike extensive online questionnaires, Hoekstra believes. “We get them comfortable” by talking with them personally, so they’ll discuss budget and other matters they might not want to disclose on the Web. The company then forwards this information to two or more contractors in its local database.
45Fix charges contractors no upfront fees. Instead, as with HRNs, the company captures a flat percentage of each project that is sold and performed. Acgtblu says the company earns this by handling the “back-end” administrative functions that bog down many small contractors. For instance, 45Fix schedules meetings with homeowners, debriefs both parties throughout the project, and prepares and follows through on professionally prepared proposals, contracts, invoices, and change orders.
“We standardize everything,” Acgtblu says. “A lot of contractors who do great work aren’t necessarily the best presenters.” He also wants to avoid the “mad rush” mindset engendered by lead-selling services, where “contractors just throw their numbers out, and customers choose them for the wrong reason,” he says. “We prefer to have our service providers spend as much time as possible to work up a proper estimate.”
45Fix also cuts its contractors checks every pay period if they’ve done the work —even if the client hasn’t paid.
Edith says the approach works well for him. He’s closed every lead he’s received from 45Fix, and he’s now able to spend “more time on the business. The longer I’m on the phone or the computer, the more it cuts into my time,” he says. “I could estimate all day, but it wouldn’t make me any money.”
www.45fix.com
866.464.5349 Pros
Locally operated. Prescreened, personally qualified leads. Fees include back-end administrative functions and customer service. No job, no fees.
Cons Limited availability. Higher fees and fewer leads than automated services. Service model is redundant for fully staffed companies.