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Mike Halliday

  • Posts: 11581
Re: Competition Prices
« Reply #40 on: February 02, 2014, 12:06:37 pm »
How are you working out your average at £27.50? An hour

 8hr day divided  by your daily takings?

40hr week divided by your weekly taking minus you  expenditure ?

How?
Mike Halliday.  www.henryhalliday.co.uk

Simon Gerrard

  • Posts: 4405
Re: Competition Prices
« Reply #41 on: February 02, 2014, 12:21:33 pm »
A business earning £30 an hour on sales based on a relatively high proportion of repeat and recommendations is an entirely different animal to another business that has to spend huge sums on advertising every month to achieve the same figure.

Simon

Doug Holloway

  • Posts: 3917
Re: Competition Prices
« Reply #42 on: February 02, 2014, 01:23:10 pm »
Hi Guys

Personally I find it difficult to understand why someone would want to work for £30 an hour when they can easily get £60 or more.

Cheers

Doug

Mike Halliday

  • Posts: 11581
Re: Competition Prices
« Reply #43 on: February 02, 2014, 01:53:39 pm »
It's hard to comment of the £30 an hour business model without it looking like I'm having a dig at JandS as he has put it forward as workable, I don't know his business so cannot comment, if he is happy then so be it.


But to look at the maths I can't see how it works.

On a perfect senario of being in constant full time work all week every week you are limited to £750 gross that is for a full 40hr working week with an average of 5hrs in the house cleaning. That is no cancellation, no holidays, no slow time in winter, etc etc this senario is impossible.

I think to achieve a true £750 a week (if you are happy with that) calculated over a year you would need at least £45-50 an hour
Mike Halliday.  www.henryhalliday.co.uk

JandS

  • Posts: 4269
Re: Competition Prices
« Reply #44 on: February 02, 2014, 04:48:46 pm »
No Mike what I am getting at is.

£30 per hour for an 8 hour day 5 days a week is enough to run a successful business...or £240 per day.
Now you might have just one commercial job on one day that you get £240 for which takes you 4 hours to do, the rest of the day you have nothing on. You've earned £60 per hour but the rest of the day is idle so for that 8 hour day you have actually earned £30 per hour.
Think what I'm saying is £240 per day is enough to run a successful business regardless of the hours it takes to earn that.
Impossible done straight away, miracles can take a little longer.

Craigp

  • Posts: 1272
Re: Competition Prices
« Reply #45 on: February 02, 2014, 05:19:25 pm »
But just remember to average £240 a day, you'll need £450 days to make up for the £30 days.


*Hector*

  • Posts: 9268
Re: Competition Prices
« Reply #46 on: February 02, 2014, 06:29:04 pm »
£30 days?????????

what is one of them??

I charge £2.00 per job, and I cannot fit 15 jobs a day...

good grief man, do you want me to work myself to death?? DO NOT ANSWER THAT

 ;D ;D ;D
Everyday this forum slips further from God.  :'(

Gordonnis

  • Posts: 81
Re: Competition Prices
« Reply #47 on: February 04, 2014, 12:33:59 pm »
try this guys prices carpet & suite cleaner - carpettech.moonfruit.com
carpettech.moonfruit.com/

Neil Jones

  • Posts: 1592
Re: Competition Prices
« Reply #48 on: February 04, 2014, 01:10:12 pm »
So out of interest what would people say is the amount a carpet cleaning business should turn over weekly? What would you expect gross and net profit to be from this?

Based on a business that has been trading three to four years with a good customer database but still replies on an average marketing spend.
No debt, except maybe van finance.

I'd be interested to see peoples opinions.

I'm not asking you to post what you earn, I'm looking for a figure you think is acceptable.

Neil Jones

  • Posts: 1592
Re: Competition Prices
« Reply #49 on: February 04, 2014, 01:51:22 pm »
Probably one of the funniest things I've read on that carpet tech website, he promotes massively the fact that he cleans living room carpets for just £20!!!!
Then in the next paragraph basically says that people who charge £15 are risks to your carpets and upholstery. I guess £5 makes the difference.

Carpet Dawg

  • Posts: 2968
Re: Competition Prices
« Reply #50 on: February 04, 2014, 06:47:09 pm »
which carpet tech website Neil?

Can I call you tomorrow night? I was meant to call you last Thursday but been hectic.

cheers
Tony

Mike Halliday

  • Posts: 11581
Re: Competition Prices
« Reply #51 on: February 04, 2014, 07:08:08 pm »
So out of interest what would people say is the amount a carpet cleaning business should turn over weekly? What would you expect gross and net profit to be from this?

Based on a business that has been trading three to four years with a good customer database but still replies on an average marketing spend.
No debt, except maybe van finance.

I'd be interested to see peoples opinions.

I'm not asking you to post what you earn, I'm looking for a figure you think is acceptable.

Neil, hard to specifically answer your question but.....

My best mate is looking at taking redundancy from the council,  he is going to invest some of his redundancy money in setting up a carpet cleaning business.

He earns £24k gross for a 4 day, 36 hr week.

He has been working a day a week with me. I have promised him if he commits 36hrs a week to creating a carpet cleaning business (based on my business model) he will earn what he got at the council within a year. Then it will grow yearly.

He will start with no company debt and all his first years expenses paid  his earning will be his wages.

if he is not earning net what he earned gross, and working less hours within 3 years I will be disappointed
Mike Halliday.  www.henryhalliday.co.uk

Hilton

  • Posts: 5572
Re: Competition Prices
« Reply #52 on: February 04, 2014, 07:57:11 pm »
A business earning £30 an hour on sales based on a relatively high proportion of repeat and recommendations is an entirely different animal to another business that has to spend huge sums on advertising every month to achieve the same figure.

Simon
Its very rare for a carpet cleaning business to reach critical mass, I know of a few all in London but that's it...marketing is always going to be a fair proportion of your expenses and so it should be..

Neil Jones

  • Posts: 1592
Re: Competition Prices
« Reply #53 on: February 04, 2014, 08:26:17 pm »
No worries Tony.

Carpet tech, the post before mine someone posted a link.

SteveAllan

Re: Competition Prices
« Reply #54 on: February 04, 2014, 08:35:00 pm »


This is his latest one..
Also a bloke near me doing carpets and upholstery using an Aquarius pro valet machine, must have a 6ltr tank, must take him hours

This clown lives in my town, he gets right on my onions. I rang him once explained I had a massive house and would the 5 carpets still apply he said yes. I asked what machine he uses and it's a Puzzi 100, he also reckons he is insured lol.
I tried Facebook for work but stopped as just a load of cheapos wanting something for nothing.

Kinver_Clean

  • Posts: 1120
Re: Competition Prices
« Reply #55 on: February 05, 2014, 01:20:12 pm »
The thing to do is to sit down and work out your expenses, machine costs, 3rd party work insurance, van insurance, fuel, tyres, servicing and licence, chemical costs, clothing, office, ADVERTISING, ETC.
This will be quite a shock if you have not done it before.
Work all that up to annual costs for the business and then add what you need to live on plus 30% for tax and NI.
This will give an approximate figure for what you need to earn just to stand still.

I started in 1990 seriously to earn a living at it, having cleaned my own carpets for 10 years in a business we had.
I have now been running the business down, working 2-3 days a week. Having now finalised my accounts for the year I find my overheads are 85% of my turnover- I am paying other people for the pleasure of me working. Hence I will be packing in at the end of March, it is not worth going out 3 days a week for the pittance I am left with.
My overheads have not reduced as I cut the work down.
I would rather be in the shed playing with wood.

God must love stupid people---He made so many.

garry22

Re: Competition Prices
« Reply #56 on: February 05, 2014, 01:27:01 pm »
Mike, I do not know your friend but I did start my working life in local government.

I would imagine his biggest problem will be breaking out of the public sector mindset and getting into the private sector one.

I had eight years in the public sector, starting in the fast track management scheme for a huge local authority. I can honestly say that probably 70% of public sector workers would be unemployable in the private sector.

The public sector ethos seems to be "well, I've done my job (but the problem still persists)" whereas in the private (particularly self employed) it has to be "I will keep going until I solve this problem".