Price increases are a way of life and we cannot really avoid them, so how is it then that some copier companies who work with the same suppliers allegedly suffer bigger supplier increases than others.
It seems annual increases of between 8 and 15% are accepted as normal in the Office Equipment industry, how then can some organisations justify increases of 35% or more and be so confident their prices are going to rise by that amount each year as to have written it into their contract terms?
If an increase of 10% per annum is sufficient to cover 80% of the other players in the market how can 35% and more be justified.
And for those companies who advertise 10% per annum and constantly apply additional ‘supplier’ increases throughout the year, where is the justification for charging the initial maximum increase allowed each year? Do you give your staff a minimum 10% pay rise each year?
Where agreements have Finance and Service combined, how can an across the board increase be justified when the finance element is invariably fixed throughout the full term?
Tip: If you have an agreement which includes both Finance and Service in One charge, (normally a cost per page price) and payments are collected by the seller (not the finance company) reject the annual increases when they are applied across the board, it is invariably your supplier profiteering from the increase being applied to the finance element of the agreement and will seriously impact on the quarterly or monthly payments by the end of the term.
Is that Fair?
To save yourself being scammed:
Keep in mind this is a very creative and totally unregulated industry, therefor, you must be sure you take time to read and fully understand all the terms of an agreement before you sign it. If you do not have time or the inclination to do so, then send the agreement to us to review before you sign and for a nominal fee, we will tell you any pitfalls it holds.
Unsure about the contract you already have? whoever your supplier is, send a readable copy of the agreement to: email@example.com we will look at it for free and tell you if it is fair to you.
To see more in the series of unfair agreement terms or for a copy of the ’13 Scurrilous Scams’ visit www.faircontracts.co.uk.