How to Choose a Water Submetering Company

Choosing the right submetering provider is almost as important as deciding to submeter in the first place. Not every company offers the same solution. That makes your choice of submetering provider a key strategic procurement decision that needs to align with your business priorities.

Generally, submetering providers fall into one of three models: hardware providers, service providers, and integrated system providers. Choosing the wrong model can lead to unwanted recurring costs, limited data ownership, vendor lock-ins, integration issues, and lower long-term ROI. Many first-time buyers focus on installation prices or hardware specifications without considering the full service, including recurring fees, billing responsibilities, and ownership models. 

Understanding the differences between these business models and what they can provide is essential to selecting the right partner for your multifamily, commercial, HOA, or manufactured housing properties. In this article, we’ll cover all the basics: types of submetering providers, what to look for in a provider, key questions to ask, and even red flags that signal a provider won’t be the best fit.

Types of Water Submetering Companies

There are many types of water submetering companies; it’s a broad category with many operators offering different services, responsibilities, pricing models, and ownership structures.

The best water submetering provider will differ depending on your priorities and requirements. Large multifamily portfolios may require providers capable of operating at scale. Internal capabilities also play a role; if your property team already has billing software, maintenance staff, IT resources, and vendor management capability, it may not require certain types of service providers. Some owners prefer complete ownership of all associated infrastructure, while others are happy to outsource ownership to a trusted vendor.

There’s no single universal answer, which means there are submetering providers that can meet almost every need. In practice, most water submetering providers fit into three broad categories: hardware vendors, submetering service companies, and full-system providers. Next, we’ll discuss what each type can offer.

Hardware Vendors (Submeter Manufacturers and Distributors)

Hardware vendors provide equipment but generally don’t manage the complete operational workflow. A typical hardware vendor will sell water submeters, associated accessories, and sometimes communication components.

This is generally where their involvement ends. Once the buyer has purchased the necessary components, the hardware vendor is no longer part of the process. Instead, the property owner or an alternative contractor handles installation, networking, software, and billing. 

This hardware-only model is especially useful for owners who want to choose their own installers, select their own software, and maintain full control over all infrastructure decisions and data. It means that owners can combine their preferred meter hardware, existing property management systems, and third-party billing providers. When owners have specific requirements, such as using LoRaWAN for IoT connectivity, hardware vendors enable them to build a system tailored to their needs. 

However, property owners are responsible for the entire system and its infrastructure, including coordinating among multiple suppliers, ensuring system compatibility, managing vendor support, and handling all software integrations. It’s best suited for owners with technical resources, large operators with procurement and management teams, and properties with existing billing systems.

Submetering Service Companies (Billing and Management Providers)

Submetering service companies typically sell ongoing operational support rather than simply selling meter hardware and accessories like hardware vendors. The idea is that the submetering service company can reduce owner’s workload.

As such, submetering service companies typically bundle several operational services into a single package. Depending on the provider, packages include meter installation, meter reading, data collection, utility billing calculations, tenant billing statements, payment processing support, reporting, and customer service. The exact scope of this service varies: some providers handle the entire process internally, while others integrate their own software with third-party hardware or installation partners.

The key benefit for property owners is operational simplicity. Some owners don’t have, or don’t want, their internal management teams responsible for the day-to-day tasks. Submetering service providers can reduce administrative workload, offer established billing workflows to simplify billing, and provide a single point of responsibility for the entire system. 

However, submetering service packages typically incur recurring fees because they follow a service model rather than a one-time hardware purchase. Owners choose submetering service providers based on their technology solutions (meters, communication, and data) and the benefits provided through their monthly services.

This approach is best suited for owners prioritizing simplicity and operational efficiency, especially concerning billing services, cost recovery, and property management. It is less attractive for owners who want direct ownership, complete control over technology, custom integrations, and no ongoing service fees.

Full Water Submetering System Providers

Full-system providers deliver the technology infrastructure required to create a complete submetering ecosystem, rather than simply supplying hardware or billing and management services. Typically, a full water submetering system provider will supply smart water meters, communication networks, cloud-based software and data management platforms, dashboards, analytics tools, and API integrations.

Service companies typically focus on outsourcing ongoing billing operations; full-system, end-to-end service providers focus on delivering infrastructure that allows property owners to manage consumption data directly. One of the main differences between these models involves ownership and infrastructure control. As ownership can affect long-term costs, flexibility, the ability to change providers, and access to data, full-system providers can offer owners far greater control over their systems and infrastructure.

Unified systems can simplify data collection, monitoring, reporting, maintenance, and integration because, instead of managing disconnected meters, networks, and software platforms, the owner works with a single, coordinated ecosystem. Since hardware, connectivity, and software are designed to work together, implementation can be simpler. Owners typically enjoy greater data access and ownership, and lower total cost of ownership over the long term.

However, full submetering systems usually require an up-front investment, as costs include meters, installation, communication equipment, and software. Full ownership also entails greater responsibility, including upgrades, system management, maintenance planning, and support agreements.

The full-service model is best suited for long-term property owners, multifamily portfolios, large organizations wanting technology ownership, and operators needing advanced data access. 

Comparison of Water Submetering Companies

Choosing between different types of water submetering companies depends on more than price. Each provider model offers a different balance among convenience, control, ownership, and long-term cost, making it an attractive option for different kinds of buyers. Here is a comparison table showing the key differences between water submetering companies:

	Hardware Vendors	Submetering Service Companies	Full-System Providers
What’s included	Meter hardware and components	Meters, installation meter reading, maintenance, billing services, ongoing account management	Integrated system with meters, connectivity, software platforms, and data management tools
Ownership model	Equipment directly owned and purchased by property owners	Ownership varies according to agreements	Typically property owner or submetering service company control of infrastructure, but depends on exact model
Cost structure	Upfront hardware costs	Could be lower upfront costs (depends on the selected partner), but recurring service fee may be applicable	Could be higher upfront investment with potential for lower ongoing service fees
Data access and control	Depends on chosen software and integrations	Often managed by providers, with access subject to contract terms	Direct system access with analytics and integrations
Best suited for	Owners with technical resources who require total control and flexibility	Owners wanting outsourced billing and administrative simplicity	Submetering service providers and property owners wanting integrated technology platforms and long-term infrastructure control

What to Look for in a Water Submetering Company

Choosing a water submetering company isn’t just about the equipment on offer. The provider’s technology, installation approach, support model, and long-term cost structure all influence whether a system delivers value over time, and all should support your unique operational goals. The wrong choice can lead to inaccurate billing, tenant disputes, regulatory issues, and a stalled ROI.

There’s no single, universal answer to this question; instead, it’s important to evaluate providers across multiple categories to find the best fit.

Meter Technology and Accuracy

Water submeters measure individual unit consumption, which is the basis for tenant billing, cost allocation, usage reporting, and various operational decisions. This means that accurate meter data is integral to the overall process. Incorrect readings can lead to inaccurate charges, billing disputes, and reduced user confidence in the system.

Different meter technologies offer broadly different capabilities. The main categories include mechanical meters, ultrasonic meters, and electromagnetic meters. Each type of meter operates on different principles that affect its precision, suitability for certain applications, and maintenance requirements. Mechanical meters are widely used and cost-effective, but contain moving parts that wear over time. Ultrasonic meters have no moving components and are low-maintenance. Electromagnetic meters are often used for larger commercial applications where capabilities justify the cost.

There’s no single correct choice of meter; the right choice for your deployment depends on building type, installation conditions, accuracy requirements, and the operating environment. Connectivity options such as LoRaWAN and cellular offer different benefits and limitations.

When choosing a provider, you can evaluate meter technology by asking about meter accuracy, expected lifespan, maintenance requirements, and certifications.  For example, when evaluating meters for billing applications, you should always ask which certifications and standards they meet, and whether they apply to your specific use case. For example, NTEP (National Type Evaluation Program) certification ensures that commercial measurement devices are compliant for billing applications and is mandatory in California state. 

Connectivity and Data Access

Modern water submetering systems are not just measuring devices, but data systems, too. When choosing a water submetering company and approach, you are therefore also choosing how data is collected, how frequently it is updated, where it is stored, who can access it, and how easily it connects with other systems.

The value of collected data depends on how easily it can be collected, analyzed, and used. This means that connectivity matters. It affects billing workflows, leak detection, consumption monitoring, operational reporting, and property management decisions. For data collection, meters use different approaches. Providers may collect data through manual readings, walk-by or drive-by AMR systems, or fully automated IoT-connected networks. The right approach depends on the property’s size, operational requirements, and the need for real-time visibility.

When comparing providers, consider how frequently data is updated, whether you have direct access through data management platforms, and whether the system supports integrations with existing management software.

Installation and Retrofit Capabilities

Installation and retrofit capabilities are highly situational. While a specific implementation may look excellent, it’s useless unless it can be installed under the real-world conditions of your property. Installation requirements can vary significantly depending on property type. 

New construction, multifamily buildings, commercial projects, HOAs, and mobile home parks often have significantly different existing plumbing infrastructure. A provider experienced in new construction may not be well-suited to complex retrofits; it’s important to evaluate providers based on their experience, as operational constraints can cause substantial differences in installation. Providers should be able to offer advice on typical installation times, expected disruptions, and answer questions such as whether installations require pipe cutting or water shutoffs. 

Site surveys are incredibly important when choosing a provider, as every installation is unique. Proper assessments should take into account the number of units, pipe configurations, meter locations, installation access requirements, communication infrastructure deployments, and any potential obstacles. A good provider will take into account your property’s specific needs, helping avoid unexpected costs and simplify installation.

Compliance and Regulatory Support

Water submetering is more than a simple technology deployment. It often entails regulatory and compliance requirements that are influenced by national, state, and local regulations. These regulations vary widely by location and property type and can affect areas such as tenant billing practices, disclosure requirements, billing formats, allocation methods, meter standards, and other specific requirements.

It’s therefore important for property owners to choose a provider that understands the relevant national, state, and local regulations applicable to a given installation. Providers should be able to guide device certifications and should have billing practices aligned to local regulations. Good providers should understand meter certification requirements, local utility rules, and state-specific regulations (e.g., around tenant disclosures) — and should be able to communicate them to you.

Support, Warranty, and SLA

Your relationship with the provider doesn’t end after installation. Submetering systems are long-term operational assets, so buyers should evaluate the ongoing support structure before signing any agreements. Buyers need to understand what happens in key areas such as customer support, warranty coverage, and service level agreements (SLAs).

It’s important to understand how support is handled. This includes whether support is handled internally by the provider or outsourced, and whether there is a dedicated support team. Where warranties are provided, it’s important to understand what components are covered, for how long, whether there are any exclusions, and how replacement procedures work. For ongoing service agreements, it’s essential to understand response times, expectations, and how service commitments are documented.

When evaluating providers, they should be able to point to specific customer service processes, warranties, and SLA documentation to address your concerns and keep you adequately informed.

Total Cost of Ownership

The total cost of ownership (TCO) of a water submetering system is often significantly different to the upfront installation and procurement cost. The initial quote is simply a starting point. Over the long term, it’s merely one of many costs. Key lifetime costs to consider include meter hardware, installation, communication infrastructure, software and platform fees, billing service fees, maintenance, replacements, and support.

TCO is an essential consideration because two providers may have very different pricing models: 

Solutions with lower upfront costs often look extremely attractive but may entail ongoing monthly or per-unit fees and complex maintenance requirements.

BUT

Solutions with a higher upfront cost may involve purchasing infrastructure that reduces long-term service costs or reduces maintenance requirements.

Due to differences such as these, it’s important to compare costs over a realistic period, such as 5 and 10 years, or over the expected lifetime of the solution. This can help put into perspective the overall costs of each option, as small recurring service charges can easily surpass higher upfront costs over a long enough timescale.

Another key area when evaluating costs is the expected business outcomes from the investment. A system that improves utility cost recovery, reduces water waste, improves operational visibility, and improves NOI performance isn’t a simple expense, but an investment into your business that could substantially recoup costs or pay for itself. It’s important to consider costs holistically when choosing a provider.

Questions to Ask a Water Submetering Company Before Signing

Submetering systems are long-term investments, so property owners should always feel confident in their chosen system and provider. Asking detailed questions before signing any contracts can help identify hidden costs, limitations in data access, technology restrictions, unclear ownership arrangements, and future support issues.

Asking these 10 questions to your chosen water submetering company can help you uncover the best water submetering company for your unique needs:

1. Do I own the hardware after installation?
   Ownership affects long-term flexibility, replacement decisions, and the ability to change providers. You should understand whether you’re purchasing infrastructure or entering an ongoing managed service arrangement.
2. What happens to my data if I switch providers?
   Consumption data is a valuable operational asset. The provider should clarify whether data can be exported, in what format it is provided, whether there are any transfer fees, and whether historical records remain accessible. 
3. What are my ongoing costs beyond installation?
   You should understand all recurring costs, including software fees, network fees, billing charges, maintenance costs, and support costs.
4. Can the system integrate with my existing property management software?
   Integration with existing management software can reduce manual processes and improve efficiency. Ask whether your provider offers API integration, standard integrations, and data export options.
5. What is your meter’s accuracy and certification?
   Accurate measurement is essential for billing, so it’s important to understand the meter’s capabilities. Ask about meter technology, accuracy specifications, applicable certifications, and NTEP certification where relevant.
6. How do you handle regulatory changes in my state?
   Regulatory requirements vary significantly. Providers should understand the applicable regulations and be able to communicate them and explain how they adapt their billing practices as requirements change.
7. What is the expected ROI timeline for a property like mine?
   Providers should be able to discuss expected financial outcomes based on property type, current water costs, installation requirements, and billing approaches. Universal ROI promises that don’t consider property-specific factors are unhelpful.
8. What happens if meters or communication equipment fail?
   Even the best hardware can fail, so it’s important to understand warranty coverage, replacement procedures, response times, and maintenance responsibilities. Providers should be able to explain these processes clearly.
9. Do you provide references or case studies from similar properties?
   Proven experience with comparable properties can help you determine whether the provider understands the operational challenges your business faces. 
10. What support is included after installation?
    It’s important to understand your relationship with your provider after installation is complete. This includes customer support availability, technical assistance, software updates, and billing support.

Why Mainlink is a Recommended Water Submetering Company for Other Submetering Service Providers or Property Owners

Mainlink is a smart metering solution provider for water submetering, not a hardware vendor or a traditional billing-only submetering company. Our end-to-end system combines smart water submeters, communication infrastructure, meter data management platform, and property management tools, such as our residential mobile app. We focus on providing the infrastructure and technology platform that allows property owners to maintain ownership and control over the system rather than relying on an outsourced billing relationship.

Our water submetering system utilizes ultrasonic meters with no moving parts to provide accurate, low-maintenance NTEP-certified submeters suitable for modern smart metering applications. With a 16-year battery life, our hardware is durable and offers significant long-term value, with reduced maintenance requirements and improved long-term planning. With simplified installation via its plug-and-play design, the system is suitable for retrofits and less complex than many other systems. Open API capabilities allow integration with other property technology systems. And having hardware agnostic platform supports other legacy meter integration. 

Mainlink use LoRaWAN-based communication to wirelessly transmit meter data as part of an open, flexible, and vendor-agnostic IoT approach designed for automated and remote data collection and transmission. Mainlink’s centralized meter data management platform provides centralized visibility into meter data, enabling consumption monitoring, reporting, management visibility, and system administration across large properties and portfolios.

Our submetering system is an effective choice for submetering service providers who look for reliable and future-proof water submetering systems for their multifamily projects.

Understanding the financial impact of a submetering project is an important part of choosing the right system. Property owners and managers can use Mainlink’s ROI Calculator for Property Managers to compare the potential benefits of water submetering with those of traditional master metering. If you’re interested in learning more about the benefits of our water submetering system in real-world operational scenarios, our case studies offer insights into a range of deployments worldwide.

Frequently Asked Questions

What is a water submetering company?

A water submetering company is a business that provides some or all components required to measure individual water usage, including meters, installation, data collection, software, or billing services.

What’s the difference between a submetering service company and a system provider?

Service companies focus on ongoing operational services like meter reading and billing, but system providers typically deliver technology infrastructure, including meters, connectivity, and software.

Do I own the submeters after installation?

Ownership models depend on provider agreements. Some models entail full ownership, while others bundle equipment into ongoing service arrangements.

How much does water submetering cost per unit?

Costs vary depending on property type, number of units, meter technology, installation complexity, and billing requirements. There’s no fixed cost.

How long does it take to install a submetering system?

Installation timelines vary and depend on property size, retrofit complexity, plumbing configuration, and access requirements. Surveys are typically needed for accurate estimates.

What certifications should a water submeter have?

Relevant certifications depend on location and application due to local laws and regulations. 

How do I know if my property is suitable for submetering?

Most multifamily, commercial, HOA, and similar properties are candidates, but suitability depends on plumbing configurations, ability to install meters, regulatory requirements, and budgets.