Ask Experts Questions for FREE Help !
Ask
    jddollen's Avatar
    jddollen Posts: 55, Reputation: 1
    Junior Member
     
    #1

    Aug 8, 2009, 06:34 PM
    Janitorial Franchises
    I have been looking into Commercial cleaning franchises.

    I would like others opinions on this. Especially Stringer.

    I see good and bad points \\

    Good they do all the billing they get you the contracts and the they do the customer service.

    Bad they determine how much you make they control the contract. If they lowball the bid you are stuck and they charge you 20 percent of the money to do this and they charge you outrageous rates for new business.

    I had one Franchise tell me I could expect to gross 15 to 20 bucks per hour and I am sitting there thinking that I still have to give him 20 percent and pay for cleaning supplies and wear and tear on MY equipment so I am really only making 10 to 13 bucks per hour so why not go get a regular job for that? I have had my own janitorial business in the past just small contracts for some extra money I want to go into it fulltime this time around.

    If I do it on my own is it worth my time to hire a salesman on commission basis?

    Stringer I have a question about one of your posts that I read you said in Chicago whenb you bid by square foot on 10k to 15k sq ft jobs you bid from 13 to 20 cents per sq foot.

    So if you had a 10k job that you were going to bid at 13 cents per sq ft that is $1300 is that per night per week or per month?

    I know that seems like a newbie question but it could make a huge difference in the bidding process...

    Stringer by the way I have read a lot of your posts and I must say that you seem to be a very honest and forthright businessman and I would appreciate any advice you have for me...
    Stringer's Avatar
    Stringer Posts: 3,733, Reputation: 770
    Business Expert
     
    #2

    Sep 10, 2009, 03:31 PM

    I am sorry JD, I was on vacation and very busy when we returned and I missed your thread, my apologizes.

    I once looked into becoming a franchise owner and decided not to. In my opinion the bad outweighed the good. And I have to tell you that when I have the chance to talk with a prospect and I find out that they are considering a franchise company I almost always succeed in eliminating them from the bidding.

    In most cases the franchise gets the leads, makes the presentation and then the sale (if possible).

    One of the underlying factors is that the franchisee may or may not be 'up to the job.' This varying level of service brings into question the quality. Also, pricing is usually determined by the franchise and this can create problems as in the manner you described in your thread and sometimes leaves you in a less than competitive position. One of these major franchises has a termination clause in their contract that has certain exact dates that the client can cancel their contract OR it will roll over for another term. This is becoming a hugh problem now that clients are being exposed to this and are extremely angry about it. This sort of thing is less than professional and is beginning to catch up with them. You are only as good as your reputation that precedes you.

    Actually $15 to $20 per hour gross isn't unheard of JD. Obviously what is happening is that you are not controlling anything here except the actually cleaning, you are left open to any whims that they may have... read all the small print (notice).

    When you own your own company, you have the freedom to succeed or fail... it's up to you. If you want it with all your soul and heart then you can find a way to be more competitive and still make a good living. You find ways to cut your costs and work some deals with suppliers, etc. You decide the profit, you learn about your competitors and how they are bidding currently, etc.

    Obviously the larger the space that you are bidding the more competitive you can be, volume dictates the price and some good dollars can fall through.

    Each job is bid on its own JD with different particulars and specifications. At the moment I do not recall that post (although I could research it I guess, but that is not important at the moment), although there were possibly some other circumstances involved as to why I stated that price. Such as; a lot more potential for other business from this client, less traffic/staff, less furniture volume, possibly mainly floor work, etc.

    Yes, to answer your question, the square foot price $.13 up to $.35 that you figure to do the job IS the monthly charge...

    We would all like to get rich on one or two jobs, usually not a reality JD. However, I would suggest to you that you go after smaller jobs initially, control them and move quickly to med size and larger as soon as possible.

    Be certain that you have a business plan (along with liability insurance) in affect for all aspects of your work; financing, purchases, hiring, supplies, equipment, marketing, sales, etc. You need to know where you are going and where you have been to grade yourself.

    This is a start JD, again I am sorry that I missed your thread. If you have any questions I would be happy to assist.

    If you would like to discuss sales relative to our business we can do that also.

    There is a person whose name is Clough who is our resident expert in marketing and advertising I am certain that he can help you in these areas... I will let him know about your thread.

    I hope that I helped a little,

    Stringer
    Clough's Avatar
    Clough Posts: 26,677, Reputation: 1649
    Uber Member
     
    #3

    Sep 11, 2009, 02:26 AM
    Hi, jddollen!

    I requested that this thread be moved out of a member discussion area so that it would be more likely to get the attention that it deserves.

    I'm glad that it has now been moved!

    When working with Stringer, you're working with one of the best the industry has to offer!

    Thanks!

Not your question? Ask your question View similar questions

 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Janitorial forms [ 2 Answers ]

Hello everyone, I'm new to this site and I'm looking for a free form for a janitorial bid before I invest a lot of money in supplies. Can anyone help. Sunshine janitorial -owner

Getting janitorial contracts [ 4 Answers ]

Once a potential customer says they already have a cleaning company then what? Do I offer a lower price? It seems the people I am contacting are not the decision makers and really don't want to listen to what I have to say.

Janitorial Contracts [ 3 Answers ]

HOw do I go about getting contract for a small cleaning business

Janitorial service [ 1 Answers ]

What should I expect on a interview for a janitorial position


View more questions Search