HOTEL VACS USA "100% UP TIME" ON SITE SERVICE PLAN

HOTEL RECEIVES:

1) ONE FREE S20EZM VACUUM CLEANER FOR EVERY 16 ROOMS

2) ALL PARTS NECESSARY TO MAINTAIN PEAK OPERATING CONDITION, INCLUDING BELTS, ROLLERS, BRISTLES, FILTERS, LUBRICATION, AND ALL MISCELLANEOUS PARTS AS NEEDED AT ZERO COST TO THE HOTEL.

3)ALL LABOR TO MAINTAIN PEAK OPERATING CONDITION SCHEDULED EVERY 90 DAYS FOR THE TERM OF THE AGREEMENT AT ZERO COST.

4) ALL CONSUMABLES (FILTERS + BAGS) FOR THE LIFE OF THE AGREEMENT.
TO ENSURE PEAK OPERATING CONDITION FOR ALL MACHINES

5) EMERGENCY 100% UPTIME GAURANTEE. IF A VACUUM FAILS TO WORK FOR ANY REASON, INCLUDING OPERATOR ERROR, HOTEL VACS USA WILL REPAIR ON SITE OR REPLACE THE FAILED MACHINE WITHIN ONE BUSINESS DAY.
(MONDAY-FRIDAY)

COST TO HOTEL

MONTHLY COST PER VACUUM	$24	$20	$16
# OF MONTHS AGREEMENT	6	12	24

ZERO UP FRONT CAPITAL COST
ZERO MAINTAINENCE HEADACHES
LABOR SAVINGS DUE TO REDUCED TIME VACUUMING EACH ROOM PROPER MAINTAINENCE SAVES ENOUGH LABOR TO PAY FOR THIS PLAN.

HOTEL MAY REDUCE COST BY "TESTING" A 6 MONTH PLAN AND AT ANY SCHEDULED SERVICE DATE SWITCH TO A LONGER NEW AGREEMENT AT A REDUCED COST PER MONTH. NEW PLAN WILL VOID THE ORIGINAL PLAN.
ANALYSIS

TIME REQUIRED TO VACUUM A ROOM = 136 SECONDS
TIME SAVED BY USING A PEAK PERFORMANCE VACUUM. 6% OR 8.16 SECONDS
16 ROOMS CLEANED DAILY 365 DAYS PER YEAR = 47654 SECONDS PER YEAR
13.24 HOURS OF LABOR SAVED ANNUALLY AT $15 TOTAL LABOR COST PER HOUR
$198.60 LABOR SAVED ANNUALLY PER MACHINE VS $192.00 ANNUAL COST
NO MAINTENANCE HEADACHES AND NO MANAGEMENT HEADACHES

PRICING STRUCTURE

# OF MONTHS AGREEMENT	6	12	24
COST PER MACHINE PER MONTH	$24	$20	$16

#1 HOW TO CALCULATE NUMBER OF MACHINES IN AGREEMENT

TOTAL # OF ROOMS IN HOTEL
DIVIDE BY 16
EQUALS NUMBER OF MACHINES IN SERVICE AGREEMENT MINIMUM 5 MACHINES PER LOCATION.
EXAMPLE

206 Total Rooms divided by 16
= 12.875 machines
13 machines required in agreement
if decimal is .49 or less round down if decimal is .5 or higher round up

#2 SEASONAL FACTOR AVAILABLE ON 12 MONTH OR LONGER AGREEMENT

HOTEL VACS USA recognizes that many hotels have a peak demand season.
Because of this we only require a year round lease on 75% of the total machines required in calculation # 1 above

13 machines multiplied by 75% = 9.75 machines
or 10 machines required year round

3 machines will be supplied for a 4 month "PEAK SEASON" at a cost of 150% of the base rate for year round machines

This saves the hotel 8 months of cost on peak season machines.

Example: 3 machines at $24 per month each for 4 months $288.00
VS cost of $576 for 3 machines year round.

NOTE: These terms will be detailed on the rent schedule in the service agreement. Total number of machines remains 13 not 10.

#3 OPT OUT TO LOWER PRICE LONGER TERM AGREEMENT

Hotel Vacs USA recognizes that many hotels have a desire to reduce expenses to a minimum. Because of this our customers receive the option to sign a new agreement at a lower cost after Hotel Vacs USA has experienced 9 months of cost data at a specific hotel. Once Hotel Vacs USA has nine months of operating data we can normally offer a reduced cost to our hotel partners.

This lower cost service agreement is based on the number of machines in the service agreement and the length of the new service agreement.

Hotel Vacs USA will offer our hotel partner a new agreement at the time of our third 90 day service call.