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    dean_clean_'s Avatar
    dean_clean_ Posts: 1, Reputation: 1
    New Member
     
    #1

    Dec 30, 2008, 10:58 AM
    Hourly rates for commercial cleaning in Denver area
    I am starting my own cleaning business in Denver. Although I know the going rate for residential work I don't have a clue as to how to price something like say an office building. Is this usually done by the hour and if so what is the going rate in my area? I appreciate any advice you can give as this info is vital for my business plan...
    Stringer's Avatar
    Stringer Posts: 3,733, Reputation: 770
    Business Expert
     
    #2

    Jan 3, 2009, 02:50 AM

    For general office cleaning you must be paying at least minimum hourly wages for your hourly employees. Obviously supervisors and "special crews" (floor crews, etc) are paid a higher wage as these are skilled positions.

    Labor consists usually of about 45 to 65% percent of your monthly billing and unless you find what is the competitive wage being paid by your competition you will not succeed. And since wages are such a high percentage of your monthly billing you will have to have this info prior to bidding. Particularity in this present economical climate.

    It is difficult to just give you a figure, there are so many factors; location in the country, are you near a large city (affects pricing), number of competitors, is it a union job, etc.

    Just a shot, but I would suggest that you actually try asking a competitor, possibly call as a possible client would and get into a conversation with them. Or possibly try to get some info from a client that you have established a rapport with...

    In some areas of the country you can pay minimum wage + luie, fooy and suhey... (workmen's comp, etc) to the general workers. Also, some services are using contracted workers and thus paying less on an hourly basis, I would not recommend this. You will have a lot of turnover (you will always be training new workers and your quality levels will go downhill and you will eventually lose the job). AND you will eventually have the state and Federal Government on your butt with audits and you could pay hugh fines IF all the stringent requirements are not being kept for honest sub-contractor workers... and there is also the possibility of court charges if this should occur.

    I hope I helped in some small way, please let me know.

    Stringer

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