New cleaning business pricing?

[estopiasales]

So I am up for a new challenge, I have started a domestic cleaning company in Glasgow, I have workers ready to start, I know how to get leads on a consistent basis.

However before building my website I am rendering services I can offer I am just struggling to price them correctly and find out how many hours it will take to do specific tasks one of the USP I will be offering is instant quote however I am struggling to find out the time for each specific task for example regular clean, deep clean, oven clean, carpet clean etc. Is there anywhere I could view these statistics?

 

[NickGrogan]

Talk to your workers, I presume they're experienced?

 

[MBE2017]

Offer a free clean type promotion, you will soon learn how long it normally takes, and price accordingly.

As a bonus you should end up with loads of potential leads.

 

[Deleted member 335660]

You could see what competitors re charging and work from that s you gain experience.

 

[Uwe (Invoiceberry)]

I'd initially base it on a mixture of your gut feeling, your workers' input and your competitors' pricing/quotes. Do a few jobs, and make sure that your workers are logging their times. Then adjust the pricing/time estimates.

 

[Marbman]

I'd initially base it on a mixture of your gut feeling, your workers' input and your competitors' pricing/quotes. Do a few jobs, and make sure that your workers are logging their times. Then adjust the pricing/time estimates.

As Uwe just mentioned, go with your gut feeling and then after a few jobs you can adjust your times if you are quoting too little or too much time.

 

[HFE Signs]

This is called market research - prices will vary by area, you have a bit of homework to do

 

[BustersDogs]

You need an advisor who knows the cleaning business inside out and knows how long cleans take. With regards how much to charge on a hourly/job basis, you need to charge enough to cover your expenses, and make a profit. So you also need to know your expenses. I'm no expert but think this means a cashflow projection. And you need a competitive analysis so you know what others charge in your area. If you need to charge more than that, you then need a USP to make it worth owners paying you more. I would think an instant quote wouldn't make me pay more, there are other values I have for people in my home that are more important to me. But everyone is different, and if you don't need to charge more, then perhaps the instant quote would be enough.

 

[HFE Signs]

You need an advisor who knows the cleaning business inside out and knows how long cleans take. With regards how much to charge on a hourly/job basis, you need to charge enough to cover your expenses, and make a profit. So you also need to know your expenses. I'm no expert but think this means a cashflow projection. And you need a competitive analysis so you know what others charge in your area. If you need to charge more than that, you then need a USP to make it worth owners paying you more. I would think an instant quote wouldn't make me pay more, there are other values I have for people in my home that are more important to me. But everyone is different, and if you don't need to charge more, then perhaps the instant quote would be enough.

Not sure about advisor- if you’re going into business, you should be an expert in your craft or know how to become one. An advisor will cost money and not necessarily be correct in their opinions.

There are plenty of people out there happy to take your money with zero accountability, I call the parasites!

Do your own research, check and check again and calculate if it’s a viable business.

 

[BustersDogs]

Not always true, people often own businesses with no clue how to do what the workers do. ? I didn't mean a paid advisor, could even be an employee, friend, family member etc.

 

[GeorgeFSB]

So I am up for a new challenge, I have started a domestic cleaning company in Glasgow, I have workers ready to start, I know how to get leads on a consistent basis.

However before building my website I am rendering services I can offer I am just struggling to price them correctly and find out how many hours it will take to do specific tasks one of the USP I will be offering is instant quote however I am struggling to find out the time for each specific task for example regular clean, deep clean, oven clean, carpet clean etc. Is there anywhere I could view these statistics?

Have you checked out the FSB for all you legal document - its free as part of your membership.

 

[m4hmo]

Id do it fixed price and charge however long it takes to the client, pay cleaner £12ph charge client £20-24. Check your competition pricing out.

 

[bodgitt&scarperLTD]

Have you checked out the FSB for all you legal document - its free as part of your membership.

What have legal documents got to do with pricing a job?

And it's 'your legal documents', not 'you legal document'.

If this is the standard of the FSB's official representative, why should I be a member?

 

[Lucan Unlordly]

What have legal documents got to do with pricing a job?

And it's 'your legal documents', not 'you legal document'.

If this is the standard of the FSB's official representative, why should I be a member?

Maybe because having the correct legal documents, insurance etc., could save headaches further down the line and the cost of such should be factored into the pricing?

 

[fantheflames]

Id do it fixed price and charge however long it takes to the client, pay cleaner £12ph charge client £20-24. Check your competition pricing out.

? agree! Definitely go for the fixed charge.

See what your competitors are offering and be as competitive as you can with your pricing.

You're a new business (or fairly new business).

If the running costs can facilitate it, can you offer 25% off for new customers for the first hours booked?

If there's a minimum hour booking i.e. 3 hours, perhaps you can offer your customers £15 instead of £20 during a promotional period?

 

[Paul Kelly ICHYB]

If you do not know your pricing, how do you know what profit you cam/will make?

If you don't know what profit you will make, how do you know you have a viable business?

 

[m4hmo]

You should also being doing your first cleaning jobs yourself until you become busy. So you understand the work involved.

 

[Chris Ashdown]

What actually are your plans where all costs etc are calculated prior to starting a business, have you had quotes for insurance, will you be vat registered, do you understand taking on employees and their costs, to ask such basic things like price makes me wonder what you actually have planned

 

[Gyumri]

You should also being doing your first cleaning jobs yourself until you become busy. So you understand the work involved.

And start with your own oven or that belonging to your mother-law. If you can please her then it should be plain sailing.

 

[m4hmo]

Cleaning usually gets booked in 2 hour minimum slots whenever ive enquired for our HMO's. And price usually starts from £20ph to the client. Probably gone up since then. In the end i have one of the housemates doing it for £13/h ad hoc. Works really well. My budget is £150 per HMO. A fiver a day to keep people happy around communal areas.

 

[macScot]

Don't forget that if you are hiring staff, you will have employer costs - minimum wage (going up next year), holiday pay and sick leave, statutory payments, automatic enrolment of pension, and bookkeeping costs. The Cost of sales and expenses will include traveling and transport (car/van and fuel, MOT, service, etc) between jobs and picking up or dropping off staff, and obviously cleaning supplies and health and safety materials, uniforms, and insurance, as well as any other general expenses. So you may need to work these out to build into your pricing strategy, because some of these costs may mean a large expense for the business and you have to then work out how that breaks down into a daily or similar value.