What is AMC (Annual Maintenance Contract) ?

What is an AMC? 


AMC annual maintenance contract is an agreement with a service provider for repair and maintenance of property (i.e. machines, printers) used by your company. An annual maintenance contract (AMC) is an agreement with a service provider for the repair and maintenance of property used by your company.  
Basically, if a company has 100 computers there will be maintenance and repair cost of each device.

See also: Installing Mac OS in Windows

It may cost you a lot if you hire any technical person.   


Here's the solution to your problem: AMC

It will be easy to hire a technical person who is taking AMC. In which the company has to pay a small amount yearly and if any problem occurs the technician will take a visit within a given time mostly it's under 2 hours. The cost of per computer is nearly about 1200INR differs as per your location.

CALCULATION An average IT person charges around 15000 INR (indian currency) for 12 months 15,000*12= 1,80,000 AMC cost is 1200*100=12000 per year It can save your 60000 per year.

TYPES OF AMC:


There are two types of AMC:

1. AMC(Only Service)   2. CMC(Comprehensive Management Contract)

  1. AMC  

A manufacturer company provides the service through AMC by themselves or with the help of service providers. The contract is usually for the period of 1 year and can be extended up to three years or five years as per the mutual understanding of both the parties. Usually the service providers give only service support and would charge separately for every part under AMC. However, in some cases, few parts are replaced during the visit by service engineer when it is mentioned in AMC contract that limited parts will be replaced.

     2. CMC


It includes prompt service from the company or service providers. The contract is usually for the period of 1 year and can be extended up to three years or five years as per the mutual understanding of both the parties. It includes repairs and replacements of faulty parts. Having the contracts gives the benefits such as consumables (which are not part of contract) being available at reduced costs. CMC is costlier than AMC because it includes the costs of spares as well.

Which Is More Profitable For a Technician? 

AMC is more profitable than CMC because if the system has major part replace issue then, that can put a lot of weight on your pocket. So taking AMC is purely profitable as you don't have to pay anything extra for the parts just provide the bills of which parts are replaced to the company and then they will pay you.

 Essential components of AMC & CMC:

  1.        Name and address of both the parties
  2.        Details  of the equipment under contract
  3.        Duration of contract
  4.        Nature of AMC (comprehensive or non-comprehensive)
  5.        Cost of the contract
  6.        Number of visits and breakdown calls by the service engineer
  7.        Payment terms
  8.        Penalty clause
  9.        Termination
  10.        Signature
  11.        Seal 

Advantages for Company:

  1. There work will be done profitably 
  2. Lesser cost 
  3. Efficiency is more 
  4. Work will be done

Disadvantages for Company:


  1. If there is an urgent 

IF ANYONE IN MUMBAI IS INTERESTED IN SIGNING AN AMC CONTRACT WITH ME THAN EMAIL ME AT daveprasan1@gmail.com THE DETAILS WILL BE PROVIDE TO YOU

Comments