[Pristine Clean]

Hi Guys,

Yes same old questions.

We have been approached by a company. All above baord. They are selling some contracts.

Now, we are having a meeting soon. We will also be visiting the sites in question and talking to the owners of the offices where the cleaning is to be carried out.

Now I wont go into all the details. But I would like your opinions on this.


They have one contract, that we are interested in. There are others. They have one that is 10 hours per week M - F. They charge the client £19.85 per hour. No disposables just cleaning. 2 hours a day. The contract is in the region of £10'392 per annum. thats about £860 per month.

So my question is this how many of you are charging this amount for 10 hours per week.

To be honest with you, we have not got any contracts that are in that price region of £19.85 per hour. So I am missing something. What is it?


It all being dealt with by our legal firm so the transaction is legal 100%

Dave

[martin19842]

hi there

10 hours a week so 2 hours a day, 52 weeks a year and they are paying the company £10392.00 pa. 

i wouldnt want to buy that.!!!!

the reason.... as soon as any other cleaning company visits that client and quotes for the same number of hours, they will immmediately dump the current supplier as the potential saving is HUGE, its a no brainer.

alternatively, why dont you just go and quote the client.

regards

martin

[Gilbert Sprous]

I would have to agree with Martin on this one.  If I was quoting with a cleaning company currently in, I would be quoting about half of that.  Are you sure they do not have two cleaners for two hours per day?

[Daria Taylor]

We dont do that much of regular commercial cleaning however I've heard of such prices being charged before, if customer thinks the service is worth that much money and that is what they are used to paying they may think that a cheap service will not be able to deliver same standards service.

One of my suppliers mentioned before that clients are not always price orientated,because if they get a specific service than they are prepared to pay those prices.

thats just my opinion, but i could be wrong.

many thanks,
dash t

[Small but perfectley formed]

Beware

[martin19842]

hi there

i have to disagree dash t, £20.00 an hour for a cleaner  is so far out of the ball park.

two things are happening in the market right now,

1, a high percentage of clients have reviewed their cleaning costs, to cut costs.

2. clients are now loving their clients more and more to ensure that dont look elsewhere.

therefore whenever a company offer to provide a potential client with a free quote, then they will have a look, they will then either move or leverage their current supplier.

the £20 an hour contract is not realistic.

regards

martin

[Pristine Clean]

Hi Guys,

Thanks for the replies.

Thats great, I was thinking the same. To expensive. So its good to see others thinking realistic for a change. Also good to know I was not missing a magical ingredient.

I will be aware and I will take notes, WE HAVE NOT YET STRUCK A DEAL YET.

Many thanks

Dave

 

[martin19842]

hi there

there fact of the matter is that there is work out there, it is just a case of finding it and winning the business, and whilst that isnt easy, it is really the only way to incease your business.

regards

martin

[Pristine Clean]

Hi Martin, Gilbert,

I agree that the way to move forward is to get our own work. We have never purchased work before. Infact, we are very busy. However, sometimes opportunity comes knocking.

Its a town centre contract, so its has potential. We are meeting the cleaning company later today and we are going from there. Also we are meeting the owner of the office.

I maywell discuss prices with him there and then, and look as ways he could save and yet we still get a reasonable profit.

Cheers Lads

Dave

[pristineclean]

Interesting post - I've just taken on a portfolio of contracts which are paying around £12-£13.00 an hour and during the diligence process, I found out that the current cleaning company are charging for all consumables, PPE and equipment. My biggest surprise was that no one was surprised and thought that this was an ordinary way of paying for cleaning.

In respect of the hourly rate of £19.85, and I'm just guessing, this might be the result of TUPE obligations in respect of previous hourly rate, pension entitlement, holidays accrued and/or health benefits. I did a first generation transfer of a cleaner in a school and, to their basic rate of £8.50 an hour, I had an added cost of 21.5% of pension (plus performance guarantee bond) as well as enhanced holiday and sickness entitlements. The resulting cost to the client was round about the figure you're talking about.