[therapist]

Just came accross this site,  www.cheapcleaningagency.com   made me think about a few things, like .........minimum wage.........illegal practices............h and s, etc,etc.

rob m

[stains-away]

Just tried it and i think the links dead Rob, Andy

[lisa123]

its changed to www.thecheapcleaningagency.com

reg dom cleaning £5.75 per hour to be paid to your cleaner and £1.75 to the agency (7.50 per hour)

commercial cleaning 8.50 per hour

one offs £5.75 per hour to cleaner and £2.25 to agency (£8 per hour)

Domestic prices include VAT, How on earth can they make any money on them prices?

Carpet cleaning   PRICES
ROOMS ( SIZE UP TO 10/12 Feet )   £        20.00
Rooms (size 12/12 up to 24/12 feet)   £        25.00
Rooms (size above 24/12 feet)   £        35.00
Bathrooms   £        7.00
Toilets:   £        5.00
Number of Steps   £        2.00
Hallway   £        10.00
Landings   £        7.00
Rugs (size up to 5 square feet)   £        9.00
Rugs (size Above 5 square feet)   £        15.00
Commercial carpet cleaning  (square meters)   £        1.20
Upholstery Cleaning   
Two-seated sofas   £        30.00
Tree- seated sofas   £        40.00
Armchairs   £        20.00
Stools   £        10.00
Dining chairs   £        3.00

is this all way to cheap?

[lynngc]

lisa, its not cheap!!!!



IT'S JUST NOT CLEAN!!!!!!



lynn

[dustycorner]

Hi all,

Bela casa do dom cleaning for £8.25 per hour. The client pays in two ways.

1. Bela Casa get £2.50 per hour paid in advance quarterly.

2 The cleaner gets paid £5.75 per hour on the day of the clean by the client.

To be fair i don't think there is a issue with cleaning standards using this method.

Cheers Mark.

[BSF]

If you had 300 domestic customers weekly, lets say 600hrs worth of cleaning, you were making £1.00 per hour after all overheads that’s £600 weekly profit, then you might also have 65 office contracts with say 1200hrs of cleaning weekly, lets estimate you were making .90p per hour after all overheads that would be another £1080 profit per week, that’s over £87,000 profit per year.

The big cleaning companies didn’t get where they are by charging high prices.

To answer your question Lisa, yes they do make money.... the reason why is one word... quantity!
   
Regards

BSF

[lisa123]

i didnt think of it like that.

i suppose you would be raking it in if you had hundreds of customers, taking into account that they wouldnt buy cleaning supplies for domestics.

[therapist]

I think the accepted formula, for a wage cost, is around 40% and for good reason. I'ts simply not viable to work on such a low return.

We employ a variable workforce of around 25 - 30 with hourly rates of £10.50 from which our employees get £6.50, but.........it  doesn't stop there..........

There are many additional costs  to be met.........then there is the monthly wage bill......accountants fees ..........office rent / rates..........vehicle costs.........advertising.....consumables.......etc.

The £87,000 is a gross figure and is not Profit, until all of the above is accounted for, then .........you still have to get paid.

always do the maths

rob m

[BSF]

I think the accepted formula, for a wage cost, is around 40% and for good reason. I'ts simply not viable to work on such a low return.

We employ a variable workforce of around 25 - 30 with hourly rates of £10.50 from which our employees get £6.50, but.........it doesn't stop there..........

There are many additional costs to be met.........then there is the monthly wage bill......accountants fees ..........office rent / rates..........vehicle costs.........advertising.....consumables.......etc.

The £87,000 is a gross figure and is not Profit, until all of the above is accounted for, then .........you still have to get paid.

always do the maths

rob m

So how is it Rob m, that the big company's do carry out the work for these rates? and lower...

The reasons are stated above.

If you quoted £10.50 per hour for an office contract of 50hrs per week you wouldnt even get a look in.

By the way the 87k in this instance was your wages.

Lisa,

Cleaning supplies are also extremely cheap when bought in large quantities. These savings can be passed on to customers.

Regards

BSF

[Lesley J]

Bela casa recently advertised in my area quoted cleaning at £8.50 per hour, and we charge £11.50, however we pay our cleaners £6.50 per hour . Bela Casa do not employ cleaners,they are all self employed, I have not lost one customer, or cleaner to this organisation, We do not make a huge profit, we provide a good cleaning service, we do not advertise much, we rely on word of mouth and it works.

[therapist]

what's being referred to here can only be agency work.........with no employer liabilities

rob m

[BSF]

what's being referred to here can only be agency work.........with no employer liabilities

rob m

No Rob I’m certainly not referring to agency work, like I’ve just explained if you had 150 office contracts say 4000 hrs per week and your charge was £7.50 per hour, pay your staff £5.50 per hour, take off all overheads: wage costs, administration, materials, management, insurance, accountancy fees etc etc… £5,000 weekly should more than cover it Rob.

So if your profit was .65p per hour you’d still make £2600 per week.

Regards

BSF

[Ali_D]

If you all pay your cleaners more than £5.75p per hour, they won't be able to get any staff - sorted 

Ali

[therapist]

BSF

I can't be bothered to work out the maths.........but the model you've presented, will require around 10 Supervising cleaners and at least 2 Area managers who would normally require company vehicles and there would be a considerable bill, for consumables.........machine  / equipment maintenance, considerable administration costs, training costs and a wage bill ( for supervising / management )

It's easy to assume that a high volume takes care of everything by generating cash.........not so.........cash flow and profit retention, is more complex and I'm simply suggesting, that everyone should be fully aware of where each and every penny goes...........how much you have to put out.........while waiting for debtors to pay, etc

good luck

rob m

ps

My current business was very nearly bankrupted by the inefficiencies of the local authority we contract to, in our first year.

In simple terms..............they gave us far more work, than anticipated, which would have been fine ..........if they were efficient at their administration......they were not !
and if we had'nt been more than adequately financed, we would have failed !!!



 

[BSF]

BSF

I can't be bothered to work out the maths.........but the model you've presented, will require around 10 Supervising cleaners and at least 2 Area managers who would normally require company vehicles and there would be a considerable bill, for consumables.........machine  / equipment maintenance, considerable administration costs, training costs and a wage bill ( for supervising / management )

It's easy to assume that a high volume takes care of everything by generating cash.........not so.........cash flow and profit retention, is more complex and I'm simply suggesting, that everyone should be fully aware of where each and every penny goes...........how much you have to put out.........while waiting for debtors to pay, etc

good luck

rob m

ps

My current business was very nearly bankrupted by the inefficiencies of the local authority we contract to, in our first year.

In simple terms..............they gave us far more work, than anticipated, which would have been fine ..........if they were efficient at their administration......they were not !
and if we had'nt been more than adequately financed, we would have failed !!!



 

 Sorry but your points are not valid Rob,

By the way the price of £7.50 does include equipment and materials, the consumables (toilet rolls, hand towels, hand soap) you mention for these 150 clients generate at least another £15,000 per month with another £900 profit weekly, this excludes profit on sanitary units, air fresheners etc.

All staff wages are accounted for in the £7.50 hourly rate Rob.

Regards

BSF

[Ian Gourlay]

BSF

Do you run a Bella Casa or similar.


I think their model requires the Franchise to have lots of individual clients.


I am not convinced this gives the Franchise the opportunity to deal with complaints.
Due to the number of cleaners etc.


Robs model makes more sense but on the other hand Selclene Bella Cassa appear to be able to find customers.


But I know nothing about it at all.

[BSF]

Hi Ian,

No I don’t, I joined in this discussion to answer the question, how can a company make money by charging £8.50 for commercial and £7.50 on domestic cleaning, I have tried to explain, it’s on the volume of work provided and yes they do make money.

Members come on this forum telling others of their charges for office cleaning, £12-£30 per hour, yes on small jobs, all I’m pointing out is that, the big company’s can afford to charge a lot less for the service because of the number of clients.

Also I am pointing out that if a company quoted on a large contract of 40 hrs plus the hourly rate charged is reduced considerably.

Rob showed his concern about customers paying and this affect on a businesses cash flow, this as well as finding good reliable staff this is of course the most important thing in business, sending the invoices out on time and getting paid when they are due, this should be obvious to any person/s starting/taking over a business.

A lot of people on this forum would be surprised at prices charged for large office contracts, but profits are made in more ways than one.

Regards

BSF

[IdentiClean.co.uk]

I personally would not want to bring in a contractor that could do the job that cheaply, you can't expect the job to be done properly for that price, but I know from experience that the bigger the company the bigger the discount they want and they still expect the preferencial treatment just because they are a big company. It is this kind of company that reinforces the idea that the job is only worth 7.50ph and lowers the going rate for the cleaning industry as a whole. IMO the cleaning idustry doesn't need cheap cleaners it needs contractors that do the job properly and asks for the money they deserve. I don't think this kind of company does much for the reputation of the cleaning industry at all.

[BSF]

Thats Life Identiclean, customers want value for money,  large customers will only pay a certain hourly rate for cleaning. The decision maker has a budget, I'm not saying they always go for the cheapest quote, but they will only pay so much per hour.

Please read my posts, these companys do make good money and do the job properly.

Regards

BSF