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Hire Contracts enables you to manage your long and short-term Hire Agreements for Equipment Hire. Set up, customise, and maintain contracts with features like automatic invoicing, excess hour tracking, and flexible billing options.

This guide outlines the core features, configuration steps, and workflows for managing contracts effectively.

Getting There

You can start creating Hire Contracts from the Contracts section via the Records menu.

Hire Contract Workflow:

Create a hire contract by transferring equipment from 'available for hire' to a customer’s site.
Set up invoicing carefully to ensure accurate periodic billing (e.g., monthly).

Let's create a new Hire Contract.

Create a New Hire Contract

This screen displays all your currently active contracts, allowing you to manage them in one place.

You can create a new contract or edit an existing one using the Edit icon via the Action Tray.

Make sure you click Save Contract when editing.

To create a new contract, click on the Add New Contract button.

The Add New Contract page contains seven sections.

Expand or collapse each section as required, using the down arrow button.

When you select Contract Type: Hire Contract, the following sections become available:

General Information

Contract Period

Invoicing Details
Suspensions

Miscellaneous Charge

List of Hire Equipment

Documents

Uplifts

We will work through each of these sections as we go.

General information

Start by selecting the Customer Account for the hire.

Click the ellipsis to choose a customer. This populates the Customer Name and Branch fields..

Next, select the Contract Type as Hire Contract. This updates the relevant fields.

Add a Customer Reference.
Use the Attach Doc field to upload relevant documents (e.g., purchase orders). These are visible to back-office staff.

Click the ellipsis to choose an existing Hire Option or click Add to create a new one. This defines the hire’s purpose.

Notes can be added here, along with any Special Instructions. The status of the Contract will show as Active.

The Contract Period

The Contract Period section allows you to define the duration and terms of a contract. This includes setting when the contract starts, how long it lasts, and what happens when it ends.

You can also set renewal reminders and review points, which trigger notifications to manage the contract’s life cycle and ensure it's reviewed or renewed at the right time.

This helps with the overall management of contracts to ensure they remain active, up-to-date, or end.

Choose between a Fixed Term or a Rolling Contract

Fixed Term: A Fixed Term Contract is set for a defined duration (in days, weeks, or months). At the end of the term, choose to auto-renew, convert to rolling, or terminate the contract.
Rolling Contract: The contract runs indefinitely until manually terminated.

Set the Contract Start Date for either option. For rolling contracts, this is the only required date. The contract continues until it is ended manually.

End of Contract

Here you can choose what to do with the contract after its tenure.

Fixed Term: Lets you set how long the contract will last, whether that’s in days, weeks, or months. The expiry date is calculated automatically for you. After that, decide what you’d like to happen when the contract ends.

Auto Reissue: Allows the contract to renew at the end of the term.
Rolling Contract: will switch the contract to rolling after it expires.
Terminate: Use this if you want the contract to expire when the term is up.

Set Renewal Point and Review Point values

Renewal Point: Enter the number of days, weeks, or months before the expiry to trigger renewal notifications.
Review Point: Define when the contract should be reviewed after the start date. Set this as a one-time or recurring reminder (e.g., every 3 months).

Now let's look at setting up recurring invoices for the Hire contracts and how this works in the Invoicing Details section.

Invoicing Details

The Invoicing Details section lets you configure how and when recurring invoices are generated once a contract goes live.

In the first field, choose how the Recurring Invoices are set up by clicking the radio button:

Not Required: Will not produce any invoices for the contract.
Fixed Price: Allows you to set a fixed value for the whole contract for all of the equipment on it. This is a fixed price per invoice.
Charge Per Equipment: Allows you to set invoice values for each item of equipment on the contract.

Depending on which option is selected, the available fields will change.

If "Not Required" is selected, you can move to the next Section.

When billing is done per week but invoicing is monthly, it's important to define what constitutes a week:

5-day week: Includes only Monday through Friday.
7-day week: Includes all days, Monday through Sunday.

When billing in Arrears, the system calculates charges based on the number of days from the start date to the end of the current month.
The system uses the defined week type (5-day or 7-day) to determine the billable weeks:
- Example (5-day week): If there are 12 weekdays, the billing will be for 2.4 weeks.
- Example (7-day week): If there are 14 total days, the billing will be for 2 weeks.

Arrears: When you send an invoice to your customer after the goods or services have been provided.

Advance: When you send an invoice to your customer and request payment before delivering the goods or services.

Arrears vs. Advance

Both methods calculate the same number of billable days, but differ in timing:

Advance: Billed from the current invoice date forward.
- E.g., billed on January 31st, the invoice covers February 1st to 28th/29th.
Arrears: Billed for the preceding period.
- E.g., billed on January 31st, the invoice covers January 1st to 31st.

Invoice Account Number: This defaults to the customer on the contract. You can override this here to invoice a third party.
Site ID: Select the relevant site using the ellipsis button.

Invoice To Site ID: Use this field if invoices are to be addressed to a specific site.
Invoice Date: This is the date the first invoice should be issued.

Fixed Price: If selected, enter the total fixed invoice value for the contract (not per item).
Invoice Address: This data is linked to the Customer Account.
Invoice Value: The value of the invoice.
Order Ref: Useful for referencing internal or client POs

Invoice Frequency: From the dropdown, select the invoice frequency for the contract.
- Monthly
- Weekly
- Annually
- Half Yearly
- Four Monthly
- Quarterly

Payment Terms: Terms listed will depend on your system settings under Payment Terms.

Here you can also see which is the default payment term as per the default setting on the Customer Account.

If no Payment terms have been set within the Customer Account, it will default to the default payment term.

Order Ref Expiry Date: Enter a date if the Order date should only be until this point in time.

Usage Days: Usage Days.
Invoicing Notes: Any notes about the invoice.
Break Clause Fixed value: If a contract is terminated early:
Break Clause Fixed Value: Fee for early termination.
Miscellaneous Charges: Any other applicable fees.

Learn about: Hire Contract Invoicing

Suspensions

Contract suspension is a temporary pause in the performance of a contract without ending it. It can happen due to reasons like investigations, financial issues, force majeure events, or legal orders. During suspension, obligations are put on hold, and the contract may resume later under agreed terms.

Force majeure events are unexpected, uncontrollable events (like natural disasters, war, or pandemics) that prevent someone from carrying out their contract. They can excuse delays or non-performance if the contract allows for it.
Add Suspension lets you control the Hire, which in turn will easily control what is invoiced.
To add a suspension, click on Add Suspension.

Complete the details.

Hire Suspended From: Enter the date for when the hire is suspended from.
Hire Suspended To: Enter the date when the hire would be suspended.
Select the equipment to suspend.

Click Add Suspension.

You have now added a suspension to the record.

Miscellaneous Charge

Miscellaneous Charges are any additional, usually one-off, charges that will be incurred.

Any additional charges may apply to either the equipment or the contract.
Charges are "bolted on" based on the applicable item.

Charge Options: In the case of advance billing, if an equipment item is off-hire before the next invoice is due, a collection charge invoice is generated on the next invoice period. You can choose from:
- Charge on All Invoices
- Charge on Next Invoice
- Charge on Next Invoice After Off-Hire
- Custom Date
- Do Not Charge

Charge Value: is what you'll charge the customer per measurement value set.
Invoice Date

Invoice Line Text: Enter a brief description of the item.

VAT: The VAT code to be added to the charge.

Once you have completed the Miscellaneous Charge section, move on to the next section.

List of Hire Equipment

Adding Equipment to Contracts

Equipment can be added to a contract with a defined "date to add to contract" on the equipment setup screen. This sets the start of billing for that equipment, which works similarly to "date due back," but defines the start instead of the end of invoicing.

Amending Equipment Details

Here you can Amend Details.

Select the equipment to amend.
Click Amend details.
Make any changes.

Click save.

Excess Hours Tracking and Billing Options

In managing equipment Hire Contracts, excess usage beyond agreed hours (e.g., a 40-hour weekly limit extended to 50 hours) often incurs additional charges.

Automatic Excess Hour Charges: The system can automatically invoice for excess hours based on predefined rates, useful for standardising billing.
Buffer Allowances: You may opt to build a buffer (e.g., a 25% increase over the standard hours) that is not directly reflected on the customer’s paperwork but is accounted for in billing if limits are exceeded.

Due Back and Off-Hire Dates

If equipment has a "date due back", advance billing will only charge up to that date.
- E.g., if "date due back" is February 14th, then the January 31st invoice will bill up to February 14th.
Off-hire dates may work similarly, though this was not confirmed.

Generate Inspection Schedule

Pre-Delivery and Off-Hire Inspection Notifications: These sections allow for setting up automated notifications.

Job Creation on Inspections: Each inspection automatically generates a job in the system, ensuring teams don’t overlook these critical evaluations.
Notifications for Required Actions: Service Geeni’s alerts prompt the appropriate personnel, enhancing compliance with maintenance protocols.

Documents

Add the recipient's name and fill in the necessary fields.

Collection Transporter

Next, select the templates for the following fields:

Hire Agreement
Transport Order
Delivery Note
Collection Note

Uplifts

While you may generally set fixed hire rates at contract creation, rising costs (e.g., labour or parts price increases) are pushing more companies to consider automatic price escalation options.

Click on Add Uplift to add one.

Uplift Type: Uplifts help to quickly adjust if prices need adjustment over the contract term.
- At End of Contract: Applied at contract end.
- Scheduled: Applied at defined intervals (days/weeks/months).

Price to include: You can select from a range of different prices to apply either a percentage or a flat rate uplift.
- Click the ellipse on Price to include and select the prices to include.
- Click Add.

Once selected, adjust the Percentage or the flat rate.

Raise Contract

After filling out all the sections, click Raise Contract.

Review your contract in the window and click Confirm Hire Contract to raise it.

Contract Activation

Once the contract setup is complete, you can activate it, initiating the billing and notification workflows.

You need to assign a site before allowing it to appear in a contract, even though it’s technically set as Available for Hire.
- Set up the equipment as Available for Hire.
- Create the contract.
- Assign it to a site through that process.

Hire Contract Categories and Types

Categorising contracts helps with tailoring terms and conditions to specific customer needs.

In Service Geeni, contracts can be set up as:
- Short-Term or Long-Term Hire.
- Cross Hire for branch equipment leasing.

Repair and Maintenance Contracts

Customer owned equipment that requires fixed-price service and maintenance.

For each category, unique terms, billing intervals, and exclusions (e.g., costs for wear-and-tear items like tires) can be applied.

Flexible Contract Setup Options

Setting up multiple configurations

Single Equipment Contracts: Contracts can be created for individual pieces of equipment, ideal for personalised billing.
Batch Contracts: For bulk equipment supply (e.g., six machines on one delivery), a single contract can cover multiple items, which is more streamlined for large projects.

Contracts are typically tied to the customer rather than specific sites, though multi-location setups can still accommodate distinct agreements per site as needed.

Rolling and Fixed-Term Contract Flexibility

Using both fixed-term and rolling contracts

Fixed-Term

Common for long-term hires, with a set expiration date.

Rolling Contracts

Often used for casual hires, where contracts initially set a minimum term (e.g., one week) and automatically transition to a rolling basis after the initial period.

For contracts with fixed terms, the system can trigger reminders, ensuring customers are contacted well ahead of contract expiration, allowing time for renewals or adjustments based on lead times for equipment replacements.

Billing Intervals and Rate Options

Billing frequency and rate structure can be specified on a contract basis:

Weekly Rates: Typically applied to short-term or casual hires.
Monthly Rates: Standard for long-term contracts, enabling consistent monthly invoicing.

For casual hires, Service Geeni calculates invoices based on the equipment’s usage days, while long-term hires use fixed monthly amounts, providing predictable billing for customers.

Additional Charge Options for Comprehensive Invoicing

Additional charges, such as transportation fees or consumables like fuel or gas, can be added to contracts. This ensures all associated costs are billed accurately:

Transport Fees: Charged for equipment delivery and pickup.
Fuel or Gas: Charges for consumables are either added as a line item or enforced through a full-tank return policy.
Damage Charges: Although not typically part of the hire contract, off-hire inspections can lead to additional charges for damages, billed separately based on repair needs.