Cleaning Pricing

[e9er]

Who really determines what we charge wouldn't it be the city you in????

[Richard Baldwin]

Your first priority in determining your pricing should be from your business plan.

You need to figure out very specifically what your costs are to be in business and dont leave out anything.

Then you need to add what you feel is an acceptable profit margin over that, plus cost of living. Some people keep going and add retirement savings, financial goals etc then you come up with a yearly amount.

Divide that amount by the number of working days in your fiscal year. There is your daily quota. This should get you close to what you need to be charging.

IF you are not meeting your daily quota you need to either increase your workload or your prices, or both. If you are far exceeding your quota you may be charging too much, which is fine if your clientelle isnt dropping as a side effect.

The most common mistake, which I made myself when starting is to keep in account that if you get busier, your costs go up dramatically as well and need to be factored into your new plan.

[e9er]

If you are far exceeding your quota you may be charging too much, which is fine if your clientelle isnt dropping as a side effect.


Why would they drop you. oh because you are charging to much. Is that because the market your in sets the pricing.

[Kev Berry]

Sorry Richard I agree with ED. If you are in commercial janitorial you almost always have to fall in line with market pricing. You may be able to get more with owner occupied properties and smaller facilities, but if you are going after multi tenant or managed properties you going to have to fall in with market pricing. Property managers are all about the bottom line.

[e9er]

Thats what sucks these guys come in so low, i can't see how thay can make any money.

[shane deubell]

Thats what sucks these guys come in so low, i can't see how thay can make any money.

Listen Ed i owned a janiking franchise, i liked them and still respect the local operation their prices are pretty good

Its a cost problem you haved high fixed costs compared to an independent like me.For example most of our revenue comes from high margin project work so we can take 2-3 big janitorial jobs easily just to provide a revenue floor.

Thats why? your not competing apples to apples really the cleaning market is extremely fragmented, 1000 companies going in 1000 different directions for 1000 different reasons.

[mightycleanhome]

I have never done janitorial cleanings how do I find out what the market price is for my area. I a m a bit confused with janitorial commercial cleanings anyways

[e9er]

I charge 16 an hour anything over 40,000 sq ft i charge 8 cents sq ft. call some local companys.

[mightycleanhome]

do you guys do a first time rate ?

[e9er]

do you guys do a first time rate ?

I do charge more for the first time clean, if the place is really bad to get up to our standards.

[jcarloswestcoast]

that is what we do here, we charged more the first time and after that the normal price.

[nicholas]

what about cleanig carpets and carpeted floors how do u price that ?

[Kev Berry]

do any of you guys belong to BOMA or go to any of their events. Large property management companies look to the BOMA guidelines for pricing and that is why they are so low.

[sharon11]

I have a my own office. I am now making a plan of cleaning for this including furniture cleaning. Can you tell me approximate price for this. Tell me the approximate payment of cleaning professional. It is my first experience.

carpet cleaners virginia

[kineard]

This is an image of a little spread sheet I made to calculate my rates. I base my rate on $30 per hour. Your hourly rate will obviously vary.
I hope it helps.
My production rate changes based on how many days per week I clean a unit.
spread sheet.JPG

[shane deubell]

Not to piss on your parade, your spreadsheet looks good

But $60 week x 52 weeks =$3120 / divide by 12 months = $260 Month
so you had the yearly right anyway but the monthly was wrong

just saying

[mkpol1]

Thats what sucks these guys come in so low, i can't see how thay can make any money.

But what if they came in low and provided quality... then that would suck.

Many people hire me because I do better work because they hired the cheap guy and found out you get what you pay for.

[kineard]

Not to piss on your parade, your spreadsheet looks good

But $60 week x 52 weeks =$3120 / divide by 12 months = $260 Month
so you had the yearly right anyway but the monthly was wrong

just saying

Yea I know, I just multiplied the the month by 4 x week.
I created it to play with some projections and 100% accuracy was not that important.
Thought would have been easy enough to do week*52/12=month

[shane deubell]

did not mean it in jerky way, math just did not add up.

[KLR N LA]

I can charge zero if I want. Lots of times I will comp a job for a connection or lead.