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You’ve purchased all your cleaning furnishes and equipment, told everyone you recognise that you have started a cleaning business and now you are ready to commence bidding on jobs and getting down to work. So your next step is to meet with potential clients and put together a bid for their cleaning services. But how do you recognise what to charge for cleaning your potential client’s building? Start off by remembering that you are in business to make a net profit and earn a living. Sometimes the tendency is to price our services low in order to get our foot in the door. Pricing your services too low may mean you will end up working for very little per hour. And more importantly, will have little left over to reinvest in the growth of your company. There are cleaning companies that charge more than others and have all the work they may handle and there are companies that have lower fees yet are engaged in a struggle to find work! Don’t trade yourself short or you will not be competent to earn a living off your cleaning business. The rates for mercantile cleaning vary widely depending upon the area you live. Hourly rates are anyplace from $15 to $40 per hour depending on the type of services that you provide, whether or not you’re doing the work yourself, and your company’s overhead and expenses. Monthly square footage rates could run anyplace from $.05 to $.20 per square foot depending on the type of building you are cleaning and the frequency of cleaning. You’ll be competent to bid a higher square footage price for medical facilities versus office buildings due to more specialized cleaning needs. You’ll likely bid a lower square footage price for big buildings versus little buildings. For example, you may bid $.08 per square foot for a 50,000 square foot building versus $.12 per square foot for an 8,000 square foot building. You will most likely be charging your clients a on a monthly basis price and you will need to figure that price by estimating how long it will take to carry out the services that your client has requested. The more generative you or your workers are, the higher the every hour production rate. If you’re capable to clean 3,500 square feet per hour, your net income will be higher than if you’re only competent to clean 2,500 square feet per hour, so adjust your price accordingly. It’s likewise a good idea to find out what the “going rates” are in your area. A few phone calls to contenders may be necessary to get an idea of the basic charges in your area. Use a script when you call so you may compare apples to apples. So what do you say when you call? Try something like, “Hi, I have a little business office that I would like cleaned once a week. It is 3000 square feet and has two little restrooms. Can you give me a rough estimate of what you what you charge per month?” The person may or may not give you an estimate. Most contractors will insist on walking through the building, but it is worth a few phone calls so you have a ballpark figure on what cleaning companies in the area are charging. To estimate what you ought to charge for cleaning a building, commence by doing a walk-through with the building owner or manager. Keep track of the following: * Frequency of cleaning (once a week, three times a week, five times a week). If frequency is one or two times per week, it’s best to estimate your time and multiply by your every hour rate. If cleaning 3 or more times per week you may estimate your time by the square foot. * Overall square feet * Types of floor surfaces and square footage of each (carpet, vinyl flooring, ceramic tile) * Types of rooms – usual office, break room, restrooms. Also note the number of toilets/stalls and fixtures in each restroom, as well as the types of restroom furnishes used. * Any particular considerations – heavy traffic areas, elevators, strange requests, etc. * Make note of the specific services the client is seeking such as emptying trash, dusting, restroom cleaning, mopping and vacuuming. The following services are specialized services and you must bid them separately, and list a per-service charge on your bid: * Stripping and Waxing (.25¢ – .50¢ per square foot) * Buffing/Burnishing (.03¢ – .07¢ per square foot) * Machine Cleaning of Ceramic Tile floors (.12¢ – .21¢ per square foot) * Carpet Cleaning (.12¢ – .25¢ per square foot) * Carpet Spotting ($20 – $40 per hour) * Cleaning widgets (microwave, refrigerator) – $10 – $35 per appliance * Window Washing ($1.00 – $5.00 per pane) Make sure you take sufficient notes so you may put together a realistic price that is reasonable to the client and one in which you will make a profit. After your primary meeting with the client, go back to your office look through your notes and determine what it will cost you to clean the building. You may have to consult a production cleaning rate chart to determine how long it will take you and your staff to clean the building. Once you have an idea of how long it will take to clean the building you may put your cost estimate together: * Estimate the time it will take by using a production cleaning rate chart or calculator. * Determine your labor cost for cleaning the building one time. * Determine your regularly every month labor cost to clean the building. * Estimate a regularly every month cost for supplies. This will be a somewhat low figure, perchance 1 or 2% of on a monthly basis sales. * Be sure to add in a net income margin! Add up the figures and you will come up with your per month cost. If you have access to a bidding calculator you will be competent to put in a series of numbers and come up with a price. A bidding calculator will likewise show what net profit you may suppose to make. It is likewise advisable to add a initial time cleaning charge. This is commonly an every hour rate of perhaps $20 – $25 an hour. The original time you go through a building it will take longer and you may find the former cleaning service may have left dirt in cracks and crevices that you will have to clean the initial time through. Once you have your price established, put your bid packet together. Your bid packet will have to specify what you are responsible for and what the client is responsible for (buying their own trash may liners, restrooms supplies, etc.). It ought to also include the on a monthly basis charge for cleaning services, how long the agreement is for, and the routine to cancel the contract if either party is unhappy. It is necessary to learn how to price your cleaning services so your clients know you are providing a professional service at a realistic price and so that you make a profit. After all, if you do not make a earnings you won’t stay in business very long! Copyright (c) 2006 The Janitorial Store
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