The STEEM application seeks to connect thousands of contractors with Bobsrepair customers. The application owned by the Prandecki brother is designed using blockchain technology. The system seeks to eliminate the three things that destroy the relationships between contractors and consumers. These factors include; fraud in reviews, advertising fees and inflated contractors fees.
How will the system help Bobsrepair?
- The first part will be to open an escrow account with a representative of the company. You will also be required to define milestones. All the information concerning your skills will be published to the company’s website.
- The customer is then able to select up to 3 contractors from a list provided by the application. The customer is able to compare prices and ratings. As earlier stated the reviews in the STEEM application are very open and transparent.
- The selected contractor will be notified of his selection to the job. The customer and contractor can then present each other with a contract. The contract will define deadlines, terms of contract and price for the job. After the negotiations the contract is concluded and posted on the company’s website but minus personal details.
- The next step is for the customer to publish this transaction to the Ethereum Blockchain using his e-wallet. The escrow contract will include the various milestones that the contractor and customer have set. The smart contract is then published to the block chain with all information.
- The escrow servers will then monitor the contract and ensure that the contract is performed as per specifications. The contract can also be viewed by other members in the blockchain. This enhances accountability and transparency.
Payments for job done
When a job is done and milestones achieved the customer will inform the block chain that work is complete. The contractor can then claim his payment from the block chain. The job contractor then sends payment to contractor. The milestone having been completed is then published as complete in the blockchain.
In case there is any dispute between the two on whether a milestone has been reached. The issue is forwarded to the escrow server. The escrow employee will review the contract between the two parties in an effort to resolve the issue. They can do this by sending an amount to both the contractor and customer. The sum of these two sums should equal the current milestone in the contract.
The blockchain always has information of the performance of the job. The customer can get a refund if they think the job has not been done.
As stated the biggest benefit of the STEEM technology is that you are able to get honest and transparent reviews. After the job is done the customer can post a review to the STEEM community. Reviews operate both ways as the contractor can also write a review on the customer.
The reviews and the job contracts are stored in the escrow website. This lets any party in the STEEM community to check the contracts and reviews. Those contractors with a lot of positive reviews get more customers than those with poor reviews.
The escrow account is a secure way to handle the payments between the contractor and the customers. It prevents cases of fraud and inflated costs. Since everyone in the STEEM community is able to view the contracts they can flag down a contract that is not fair.
The blockchain technology will provide a lot transparency to the relationship between the customer and the contractors. By reducing advertising costs and publishing job contracts on the escrow website customers will be able to enjoy better labor prices. The skilled labor market is very large and the STEEM application will receive widespread acceptance.