Monitoring America launches new dealer program
TULSA, Okla.—While it’s been around as a central station co-op since 1989, Monitoring America is ready to launch its first funded dealer program at ISC West in April, according to general manager Ron Weis.
“Our program is really ideal for dealers interested in long-term business. A Monitoring America dealer can do the work once, but keep getting paid over and over with a percentage of monthly RMR. This passive income continues for the life of the account,” Weis said.
Sacramento, Calif.-based Capitol City Security owner Russ Brill said the difference between Monitoring America without a dealer program and Monitoring America with a dealer program was a difference of evolution.
“If you wanted to become a co-op member, you’d have to buy a share and the board would approve you. And you were responsible for your own financing. They stuck to what they do really well, which is monitoring,” Brill said. “But the board realized that they should maybe do a little more and offer dealers more money and become true partners, become more competitive.” Dealers who decide to sell their accounts to Monitoring America through the dealer program will receive an undetermined multiple of the RMR upfront as well as 15 percent of the monthly RMR on an ongoing basis for the life of the account. Weis said Monitoring America’s buyback option is also unique.
“We’re going to work with the dealer. We’re not going to pay as much of a lump sum up front, but we’re going to share the income stream for as long as that account exists,” Weis said. “And if you want to buy the account back at some point, that’s great, too. After 36 months, the dealer can buy the account back at the same price for which it was sold to us with no inflation.”
Monitoring America is a CSAA Five Diamond-certified, UL-listed, IQ Board-certified, third-party central station cooperative that formed more than 20 years ago, and is fully owned by and answerable to the alarm dealers for whom it monitors. This cooperative, dealer-owned model extends to the dealer program and empowers dealers, according to Brill.
“Monitoring America is a true co-op. At the end of the year, you get a dividend, and the more accounts you have with them, the bigger the dividend you get. It’s a partnership, but with the new dealer program, [dealers] will also get the monthly RMR now,” Brill said. “What this will allow the small guy to do is make a little bit of wages every day, and pay for the equipment and get a little monthly RMR action.”