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Contract Sale on NOW – don’t wait to order / More on Net v Gross RMR for sale price 
January 3, 2022
THE SALE HAS STARTED AND RUNS THROUGH JANUARY 14, 2022.  ORDERS ARE FILLED AS RECEIVED [UP TO 6 WEEK WAIT for sale orders - longer for update orders] ORDERS ARE FILLED AS RECEIVED [UP TO 6 WEEK WAIT for sale orders - longer for update orders]  
The Standard Form Agreements are all updated.  This year there are important updates.  All contracts should be updated this year.  One change is the inflation and supply chain delay provision; there are many others. 2022 updated contracts are ON SALE now; SAVE THOUSANDS DURING THIS SALE
    The Standard Form Agreements have been updated for 2022.  This year, because of unprecedented economic issues that have recently affected the alarm industry, all contracts should be updated.  Check with our Contract Administrator, Eileen Wagda, at 516 747 6700 ext 312 to see if your forms need updating.  Keep in mind that updates are free for 6 months and half price for 12 months from your original order date. Requests for updates will be processed after the new orders are processed.  The sale ends January 14, 2022; the sooner you order the sooner you will get the contracts.  Please do not call requesting priority unless you are a Concierge Client or have paid for expedited service.

How to order: order at - ordering is easy - order on-line during the sale and save thousands of dollars.  Need help ordering?  Call our Contract Administrator Eileen Wagda at 516 747 6700 x 312 for assistance. Concierge Clients can call our Concierge Program Coordinator Stacy Spector, Esq for assistance at 516 747 6700 x 304. Concierge Clients receive an additional 10% off the sale price.  You can join the Concierge Program before ordering to receive the discount and you should take advantage of this program.
    Contract sale runs through January 14, 2022, ending at midnight EST. The discount will be applied to orders received between now and January 14, 2022 by midnight*.  This will definitely be the best deal of 2022. When you place the order the full price will come up. We will apply the discount manually when we process the order.  Contracts will be delivered by email only.

Here's the deal:
    Buy 1 All in One Residential, Commercial or Fire All in One and get $100 off and $50 off Disclaimer Notice  save $150
    Buy 2 All in One forms and get $100 off first and $200 off second and $75 off Disclaimer Notice and $100 off rider and $100 off the Honeywell Notifier rider.   Save up to $575.
    Buy 3 or more All in One forms and get same as above and $300 off the third form and $400 off the fourth form.  Save up to $1275.00 [Residential, Commercial, Fire, Home Automation]
    Commercial Mobile Surveillance Lease $1000.  Save $250
    Fire All in One with Security Rider $1275.00. Save $300.00  Add the Commercial Fire All in One and the Commercial All in One and get $200 off each.  Save $700.00
    Qualifier Agreement $1200.00   Save $300.00
    Digital Sign And Display Sales, Hosting And Service  $437.50  save 50% $437.50
    Computer Consulting and Service   $437.50  save 50% $437.50
    Nationwide DIY with monitoring.  $3500.00    save $1000.00**
    Nationwide PERS with or without GPS tracking. $3500.00 Save $1000.00**
* Your order must be placed on line at and received by our office no later than January 14, 2022 by midnight EST.  Orders must contain valid credit card payment and be processed; you will receive confirmation.  Fill out the order form; the full prices will show and we will apply the discount before processing the order.  Orders arriving after sale ends will be processed at regular published rates.  Orders will be processed in order received.  Rush orders, delivered by email within 48 hours, add 15% - call Eileen to process.
Concierge Clients will receive their Concierge Program Discount on the Sale Price.  Sign up for the Concierge Program before placing your contract order to receive the additional discount.
** Does not include consultation or modification
     What's our Guarantee policy re updates?      
Free updates within 6 months of purchase***      
Half price within 6 months to 1 year***  
*** applies to original purchase only
More on Net v Gross RMR for sale price
          Thank you for discussing the topic of Net vs Gross RMR and purchase multiples in your article on December 20, 2021.  We speak with many buyers and sellers in the course of providing loans and see a lot of confusion and differences of opinion on these topics.
          An important item to include in this discussion is the fact that all RMR should not be treated the same.  Accordingly, we encourage buyers to focus less on the multiple and more on the net profit.  Doing so often reveals that sellers have many categories of RMR (alarm monitoring, test & inspection, lease, service plans, managed access, video monitoring/hosting, etc.) and each category has a different profit margin.  In some categories, as we occasionally see with service plans, the profit margin may be so low that this RMR is excluded from the purchase price calculation.
          Once the buyer calculates the net profit they expect to earn from the various RMR categories each month, also taking administrative costs and attrition into account, they can come up with the estimated profit that will be earned over time.  The purchase price is then usually arrived at by the period of time the buyer is comfortable with from a break even standpoint or return on investment calculation.  The multiple is then what you end up with, not what you start with.
          Of course, the seller will have something to say about all of this!
Jim Wooster
Alarm Financial Services, Inc.
866-204-9350 ext 1200
          Before the finance guys became interested in the alarm business most of the smaller deals ended up with multiples that depended a lot on gut feelings.  Turns out that most gut feelings were, and are, consistent with the factors Jim mentions above, as well as third party pass-a-longs.  For example, repair service and inspection RMR does warrant a lower multiple than monitoring RMR, but even that is a generalization.  If a seller can show that its contracted RMR for service and inspection plans is priced high, then it makes sense that the multiple would also be higher.  When the service and inspection RMR is priced low, leaving little chance for profit, the multiple would be lower.  Some potential buyers won’t even consider service and inspection RMR; they are interested only in monitoring RMR.
          But it’s also not common to see deals break down the purchase price by using different multiples for different RMR.  Often it would be difficult because the subscriber contracts don’t break down the expense, just giving a single RMR for all the services.  What usually happens then is that the buyer will consider the mix, how many monitoring, repair, inspection, leased accounts, and how many fire, intrusion, other, among other  issues.  Then a blended multiple will be floated for negotiation. 
          Maybe the MBA boys and other bean counters can work to calculate a precise multiple based on anticipated return of capital and investment return, but most alarm guys are flying by their pants; their buddy got 35 multiple and that’s what they want.  Jim is correct when he states that the seller has “something to say about all this”, and sometimes they are, how I shall put this, ambitious on the value of their accounts.  That’s OK because there are buyers that will want the accounts for their own reasons; maybe a local competitor or someone with the same vision as the seller. 
          Selling or buying is not something you do every day [unless it is] so you should be sure to surround yourself with professionals who do spend their day focused on these deals and transactions.  Alarm brokers, consultants and tax advisors can all be found on The Alarm Exchange.  At K&K we will “broker” and also we bring a wealthy of experience on the legal side to advise on your negotiations and handle your legal.  For smaller deals we offer Standardized Asset Purchase Agreement forms for the DIY transactions.  At the very least these DIY buy-sell forms will give you the issues you should be considering when negotiating your deal and will save you money when you come to K&K to finish the transaction.

To order up to date Standard Form Alarm /  Security / Fire and related Agreements click here:
CONCIERGE LAWYER SERVICE PROGRAM FOR THE ALARM INDUSTRY You can check out the program and sign up here: or contact our Program Coordinator Stacy Spector, Esq at 516 747 6700 x 304.
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Ken Kirschenbaum,Esq
Kirschenbaum & Kirschenbaum PC
Attorneys at Law
200 Garden City Plaza
Garden City, NY 11530
516 747 6700 x 301