Your browser (Internet Explorer 7 or lower) is out of date. It has known security flaws and may not display all features of this and other websites. Learn how to update your browser.

X

Navigate / search

What Should You Charge For Your Cleaning Service?

You’ve worked hard at getting your name out on the street, and finally you’re gaining interest from potential clients – they want a quote. And now you’re left wondering; “How much should I charge for my cleaning service?”. There really is no right answer, however you don’t want to overcharge by submitting a quote that is significantly higher than the competitors.

Your price could make a big difference between your business and other cleaning companies in this industry.

I’ll be honest and say that setting prices was the most difficult part for me when I started out. Numerous opportunities for quotes kept popping up, yet I had a tough time deciding on a price to charge. Should I charge hourly? Per square footage? or should I charge a flat fee per cleaning visit?

I was concerned with making a buck, but more importantly I wanted to stay competitive right from the beginning. One thing that you should always do, and I follow this religiously – evaluate the job before you quote.

Fresh on the Scene

I’ll never forget quoting my first job. Part of me was overwhelmed to have the opportunity to quote and another part of me was nervous not to mess up. I visited the local office earlier and got a call back for a quote. Rather than giving any numbers over the phone, I promised to drop by and speak in person. Between me and you though, I was stalling and buying time. I had no clue what to quote.

Anyways, I finally got to the office, took a tour with the manger and evaluated the facility and what needed to be cleaned. I took my sweet time and made small talk with the office manager. I asked some important questions to gauge my quote based on the response:

  • Do you have a particular time limit that the office needs to be cleaned?
  • Are we supplying the cleaning supplies or will you be supplying?
  • Has anyone previously cleaned this office?
  • What happened to them? How much did they charge?

Based on the four answers to the questions above, I’m quickly able to come to a very rough estimate of what I’m going to charge. Sometimes you won’t get the answer to all four questions, but try your best.  The key to asking questions is making them personable and not make the other person feel like they’re in an interview.

What I Quoted

During the office tour/evaluation, the manager mentioned to me that they previously had one of the girls clean the office before or after work. She is no longer with the company, and that’s why they were looking for a cleaning company. The manager also mentioned that they paid the girl $300 per month to clean the office three times per week.

So, based on the above info that I was able to squeeze out of the manager, I went ahead and quoted the following:

Total Billable Hours: 24 Hrs (2 hours per day x 3 days per week x 4 weeks)

Supplies: $50 / month (my cost was  $25 roughly)

Total Per Month: $400 + Taxes

In spirit of helping you price your jobs more easier, here are some tips to help you determine how much you should charge for a particular cleaning job:

Hourly

By the Hour

Pricing by the hour is the norm for charging clients in commercial or residential cleaning scenarios.It’s the most simplest process. You consider how many rooms the location has and how long on average it will take you per room.

It would be wise to give your self some cushion on time, but don’t abuse it either. If you’re hiring staff, don’t forget to multiply this by the hourly rate of your staff to get the total cost of labor then add on the total amount of other expenses.

When I first started quoting the average hourly rate I charged was $15 per hour. A year after establishing my business and having prepared hundreds of quotes, I became more comfortable, and started to quote higher hourly rates.

If at all possible try to determine the going rates in your area. This way, you’ll have a rough estimate on how much fee would be acceptable or whether you can have the same pricing structure.

By Square Footage

 

Pricing by the square foot is most common in commercial cleaning service. But don’t forget that rates may change depending on the location. To get an estimate on how much to charge, you need to go to the business establishment and check the following:

  • Total square feet
  • Floor surface type (vinyl flooring, carpet, or ceramic tile)
  • Entire area (types of rooms, number of toilets, restrooms, office, etc)
  • Specific service required (dusting, mopping or vacuuming, cleaning restrooms, etc)

You may also need to adjust your price rate per square foot as the building size increases. Meaning, you need to decrease your usual rate per square foot if you’ll have to provide service to a building with 13000 total square feet than you would to a building with 4000 square feet.

As a new cleaning business, setting prices will be one of the most difficult and daunting tasks for you. It will take time before you truly become comfortable.  You’re in business to earn a profit and make a living. It is not wise to set your prices too low just to attract clients as you will not just be making enough profit. So this won’t give you an assurance that you will be in the business for so long. Besides, you’ll just be hurting the whole cleaning industry and you’ll just have a hard time to raise your rates in the future.

Photo Credit (tml)

The Five Types of Sales People

 

Salespeople are a special bunch of people, and when it comes to managing a salesperson, it can be simple or quite difficult. Deeps down we’re all a salesperson to some degree. Some of us sell products for a living, others sell a service, and we all have to sell our selves at some point or another.

Top producing sales people are typically strong-willed, independent, and ultra competitive. I believe that there are five types of sales people, so which type of sales person are you?

Here are five types of salespeople you may recognize. Let’s hope you’ll be honest with your self, and recognize your self as one of the five types.

1. The Lone Wolf

No rules can define this sales person. They do it their own way, and more importantly they follow their own rules.  This type of sales person is heavily defined by their lack of notes and desire to redo things their own way, even if the suggestion of a new sales tactic seems too good to be true.

2. The Problem Solver

The best way to describe this type of sales person is that they are a customer service rep in a sales rep’s  clothing. They are heavily focused on post sale execution, and making sure any area’s of concern are addressed.

3. The Hard Worker

This type of sales person is eager for feedback. They welcome and appreciate constructive criticism. The hard working sales rep is in early, and doesn’t mind staying late. They come prepared everyday, and try to bang out as many calls as possible in the allotted time frame.

4. The Relationship Builder

This type of sales person is the classic type of sales person. Someone who is very generous with the customer. The relationship builder focused on building long term relations, and can talk about anything and everything in between the sales talk.

5. The Challenger

This type of sales person is often looked as the debater. They come in with a provocative and often unique points of view. They try to make or save the customer money that the customer might hadn’t realized before.

Which type of sales persona am I?

I’m definitely “The Relationship Builder” type. I enjoy building long term relationships, and can converse with the potential customer about anything, including his kid’s hockey game this past weekend or the latest happenings from the world of sports.

Which type of sales person are you?

Eddie

How I Started My Cleaning Business

As a teenager I used to clean offices alongside my parents. I enjoyed doing the cleaning. Despite not getting paid a lot (only was helping my parents) cleaning gave me a good perspective on running a business. Furthermore, I took pleasure in the ability to see a job complete – start to finish. We would arrive at a cleaning location and the office would be a disaster. A short time later, the office would be sparkling clean, fresh smelling and ready for the next work day.

We cleaned offices as a family for years. And earned a pretty good passive income with commercial cleaning. Hands down it was quick and easy cash. We were getting paid to clean someone else’s mess and we didn’t mind it one bit. Historically as a family, we are neat freaks. Sort of anyways.

Eventually my parents grew older and I started my post-secondary education, so we gave it up. We just didn’t have the time anymore. After all was said and done, I think we spent well over eight years cleaning offices, warehouses and various other commercial locations.

Ten years later!

Fast forward ten years later, I opened up my own cleaning business. And with good reason too. I was looking to make extra cash on the side and my father just lost his job after 17 years. He was a cabinet maker and the company closed it’s doors. Recession hit and tough times came along, so the company closed it’s doors.

The family was on a tight budget and additional income was needed. So, I decided to start a cleaning business.

I knew deep down inside that it would work well for my father. He already knew how to do clean and cleaning it self was not a tough job for a 55 year old man. The long and short of it, my father also became my first employee.

So, now that you know a little background and why I started my cleaning business, let me break down what you will need to start your own. And one thing that you DON’T NEED is money.

1. Registering Your Business

Since my business is based in Ontario, Canada, I ended up visiting Service Ontario to register my business. It’s a very simple process, which costs $75 (save your receipt to write it off at year end). You pay the $75, register your business name and you’ll get a business license registration, which is good for five years. I’m sure in other provinces across Canada the process might be slightly different, but it’s all very similar.

Register Your Cleaning Business In Other Provinces:

  1. Ontario – Service Ontario
  2. Manitoba – Province of Manitoba Business Registration 
  3. Saskatchewan – Register Your Business 
  4. Alberta – Service Alberta
  5. British Columbia – BC Business Registry
  6. Nova Scotia – Access of Nova Scotia 
  7. New Foundland – Registry of Companies 
  8. New Brunswick – Service New Brunswick

2. Open Up a Business Bank Account

Opening up a business account is fairly simple and straight forward. Since I do most of banking with RBC, it only made sense for me to open up my business account there as well.

There are many different business accounts out there, however if you’re unsure of which one to go with, use this business account selector to help you narrow your choice.

Finally you will also need the following to open up a business account (sole propreitor):

  • Two pieces of ID
  • Trade name registration or master business license
  • Your signature

Once you open up a business account (it takes less than an hour), be sure to ask for some free business checks to get you started. It’s FREE.

3.  Business Cards

I’ve used Juke Box printing services for a few different business cards and every time they get it just right. They are professional, on time and mostly cost effective. You definitely get your bang for your buck.

Rather than boring you further with how I started my cleaning business, I will wrap it up shortly. I promise.

I can promise you that the process is simple and straight forward. You don’t need to know everything, you just need some balls to finally get started. Essentially you got everything to gain and nothing to lose by starting your own commercial/home cleaning business.

And if you’re ever unsure about anything, don’t hesitate to shoot me and email. I created the contact page for a reason – so you guys can contact me.

Cheers!

PCI