[Timmy Boy]

Hi all
I have been tendering for some work recently through local councils and housing associations. I nearly won a contract locally (came 3rd) but apparently my pricing was not competitive as the second and first place. The rate I went for was £10.50 per hour basic (office cleaning) which I felt was a fair hourly rate. Am I being unrealistic to expect this sort of price? I know that I was speaking to someone who worked for MITIE and he said that they would go in at 10% profit so surely I am only about 50p per hour more than them ?
I look forward to comments
Tim

[clarkson]

Hi Tim
I am hearing the rate of 10.50 per hour a lot but fail to see where the profit is.  I certainly cannot see how you can go lower.

if you examine it closely. So living  wage at 7.20 set to rise way above inflation over the 3 year life of the contract.  Then 12% for holiday entitlement, 2% for pension plus kit costs if it is included.  then indirect costs admin, management , insurance , vehicles(assuming  a large council contract would need at least one van for support etc.

at best your making 20% but i think in real terms it would be less. i know the argument that the sheer volume of hours of contracts this size make up for the small return but still you have to go some to make 1.00 or 2.00 pounds an hour mean anything.

I suppose mitie , initial etc are dealing with literally 1000's of hours a week so then adds up. difficult for smaller independents to justify even trying.

So much for procurement getting easier, easier must mean doing it for free.

cheers
john

[Timmy Boy]

Hi John
Thanks for the repose. The extraordinary thing is that we were the only company from the local area tendering as it showed the scores of all the participants of the tender. Mainly from London, Uxbridge, Kent etc. I also noticed that the company who won scored the same amount as me when it came to regional office location! It's obvious that 'best value' is also a myth as the council will skew the answers to get the cheapest company over the line

[gordonswindows]

Hi Tim

You will also find the staff "working" for the nationals are often 'self employed"  which reduces overheads massively plus they do a lot of ghosting, where two staff begin with the contract but get worked and treated harshly until one leaves they then continue charging for two staff when in fact only one is doing all the work. This is highly profitable especially when a contract demands 12 staff yet only 7 are provided.

Local workers for Initial even have to buy their own cleaning products and then re-claim the costs back..........this is not an employee and does not work within the employment guidelines but hey thats what you are up against.

Regards

Gordon

[Vicky henderson]

We have never won a council cleaning contract in 7 years,I think it's corrupt tbh,I think that your price was very competitive you will find they paid more
Graham

[Matt.]

I have 2 x cleaning jobs which have now served there purpose and not looking to do work in this area anymore. Have managed to line up other work that's more suited to myself.
Both sites are in the Liverpool area and within a few miles of each other and have no probs with them at all.
Given the right offer I would seriously consider letting both of them go.
Site 1 is 30 hrs per week 
Site 2 is 44 hrs per week
Windows on both sites could be cleaned within half a day and I do them twice monthly within price,
Both sites excellent payers never waiting more than a week from Invoice

Anyone interested let me know an we will go from there

Matt

[Craig A Moore]

bit of a late reply new to site Mitie used to charge coop £35 an hour per person and say 2 doing job and send one that's happening all over think of the profit their on

[baxey cleaning services]

Hi mat do you still have work for sale in liverpool ? If yes email me on baxeycleaningservices@yahoo.co.uk
Mite be interested can you send me what you won't for it ? Thanks Anthony