Bidding and Estimating
Where is the Big Money at in Cleaning?
That’s a fairly common question I get from both those just starting and those who have been operating a cleaning business for some time. As a consultant, I have researched, studied and worked with many different types cleaning businesses. I also have attended 100’s of conventions and tradeshows for many different specialty segments of the cleaning industry. So I do have a pretty good idea of who’s making the big bucks when it comes to cleaning.
In general, the higher paying jobs are those that involve a specialty type of service that requires more detailed training, where the risks a higher and where the number of competitors is limited. Other factors that drive up costs and profit include; providing services that are dangerous, hazardous, uncomfortable, offensive, repulsive, and nasty, off hour’s work and those that no one else wants or knows how to do drive up the price and opportunities for higher profit. When you have these factors involved, it’s generally work that pays better than the run of the mill services such as cleaning homes or offices on a daily or weekly basis.
Even when it comes to basic office and house cleaning, if you specialize, the chances are better that you will make more money than someone that doesn’t have a specialty. Examples would be if you specialize in cleaning expensive private homes or condos, you make more than if you do apartment and rental home turnovers. As a cleaner, if you specialize in hard floor care, carpet cleaning or window washing, you’ll earn more than if you clean restrooms or offices.
Now let’s talk about where the really big money is at for self-employed cleaning contractors, but not always for those who actually do the work.
Restoration, (Fire, Water, Smoke and Odor)
Anytime you have insurance companies, government and software bidding programs involved it’s going to drive up costs and profit. I once wrote that restoration work is about as close as you can get to stealing, without riding in the back of a police car and I stand by that quote. Although I’m sure those in the restoration business and making the big bucks would deny it and have some choice words for me.
This work is often done under pressure of getting it done and controlling costs, at least that is what the insurance company would like to see happen. There are risks of lawsuits, slow paying insurance companies, favored contractors, messy work, 24 – 7 demands and lot of storage space needed.
Restoration work is often bid using the “Exactimate” software program, although there are other programs and guides that list average times and prices for everything you can think of related to restoration work. The bid is often based on replacement, but the actual work ends up a repair or a correction, with the replacement price still being charged. You can expect to charge 2 to 10 times more for this type of work than normal cleaning, repair or construction.
Resources: www.restorationindustry.org, www.exactimate.com, www.experiencetheevents.com, www.aramsco.com, www.uphelp.org, www.rsmeans.com, www.crassociation.org, www.craftsman-book.com, www.bluebook.net
Trauma and Crime Scene Cleaning
Highly profitable, close to bank robbery because most people don’t want to do it and for good reason. If you have ever done this type of work, you know what I’m talking about. The work is hot, smelly, uncomfortable, and hazardous (if done improperly) due to possible exposure body fluids and blood. Special training, a poor nose and a strong stomach are required.
Other examples that include work that no one wants to do or know how to do; this includes cleaning up Meth labs, drug manufacturing sites, and hazardous and infectious materials such as Anthrax, Ebola, and norovirus, etc. In some extreme cases, price may not even be discussed, just clean it up as fast and as safely as possible and send the insurance company or government the bill.
Resources: www.aramsco.com, www.amdecon.com, www.americanbiorecovery.org, www.nidstraining.com
Specialty Services
Options include repairs to the surfaces we clean, such as stone, tile and wood floors, walls, doors, furniture, cabinetry, and tables. The same is true for repairs to high pressure laminate surfaces (Formica) and leather, vinyl and fabric upholstered furniture. Other examples could include any of the below listed specialties.
Resources: www.konigtouchup.com, www.woodrepairproducts.com, www.mohawk-finishing.com
High End Accounts and Homes
When you deal with high cost properties and surfaces, there is greater risk because the surfaces you are cleaning are more delicate and costly and higher prices go along with the increased risk and time it take to do the work properly. If you want to earn more money, focus on the customers who have more of it and you’ll earn more and their checks don’t usually bounce.
Resources: www.arcsi.org
Stone and Wood Floor Care
These are specialties that require special training, equipment, and chemicals so they demand a high rate that other types of floor care. Prices range from $2.00 to $30.00 per sq. ft., depending on what you are doing, the surface you are working on, the size of the job and competitiveness in the market place.
Resources: www.mia-institute.com, www.nwfa.org, www.iicrc.org, www.stoneproonline.com,
www.maplefloor.org, www.innovativesurfacesolutions.com
High Tech and Bio Tech
Cleanrooms, computer rooms and controlled access areas are normally bid at a premium rate.
The risks are higher, special training and materials are needed. Required clothing and procedures are often restraining, uncomfortable and confining. Billable rates are normally in the $35.00 – $45.00 per hour range.
Resources:
www.iest.org, www.liberty-ind.com, www.cleanroommanagement.com
Food Processing
Any time you have laws, regulations, inspections and the government involved, costs and the importance of cleaning will increase, along with the price. Add an extra $5.00 -$10.00 per hour your billable rate.
Resources: www.neha.org
Search: FDA, USDA,
Union vs Non Union
When you can take over an account that was previously cleaned by union staff, the chances are good that efficiencies can be found, production rates increased and hourly wages reduced. The end result is often a substantial saving for the customer and a higher rate of profit for the contractor.
Inspections, Corrections and Repairs
Floor coverings (carpet, wood, stone, concrete, and laminate, laminated), fabric, odor, mold and other types of building surface and specialty inspections pay well when compared to doing the actual cleaning of these surfaces and areas. This comes into play when there is a complaint or claim regarding performance, installation or manufacture of the product or surface. Several thousand people in the country provide these services to attorneys, Govt agencies, insurance companies, retailers, dealers, manufacturers, installers, contractors, as well as home and building owners. Special training, background checks and certification is required. Fees per inspection range from around $100 to $1000 or more per inspection and you can normally do 4 to 8 inspections per day, if you have the clients in your local area. There are many specialists in this field, with some traveling nationwide and internationally to deal with claims resolution. The pay is not always about how much time it takes, but more importantly, how much money you save the client.
Resources: www.iicrc.org, www.nicfi.org
Expert Witness
If you have established yourself as an expert in the field, you may qualify to be an expert witness in legal cases. This can be accomplished by speaking, teaching, and writing about a specific subject over a period of years. Some examples of specialty subjects are slips, trips and falls, cleaning procedures, floor and carpet care, pricing and production rates, bidding and estimating, IAQ, Mold remediation, and the list goes on.
I like the work as I often get a retainer of $2000.00 to $5000.00 and an hourly rate of $250.00 – $350.00 per hour, plus room, board and travel and most cases seldom end up in court. When depositions or court testimony are involved, you definitely earn your money. There are some legal tests that may be applied to determine if you are qualified be an expert witness in a case.
Resources: www.tasanet.com
Education, Training and Consulting
This is a growing field of expertise and service in the cleaning and maintenance industries. There are thousands of people around the world who earn money providing training services and consulting services regarding cleaning and maintenance related topics and specialties. It’s easy to start in this field, but earning a good living or providing this service on full time basis can be a challenge and take many years. Most people doing this type of work specialize in a specific market segment and work as geographic areas and either sell something or work on a part time basis. Rates range from $25.00 per hour on the lower end to $150.00 to $250.00 per hour on the high end.
Resources:
www.issa.com/ice, www.custodialadvisorsnetwork.org
Green and Sustainable Cleaning
We used to charge more for this type of cleaning, that’s not the case today. In most metropolitan areas the customer expects and in some cases demands that the cleaning contractors to use green processes, equipment and chemicals.
www.usgbc.org, www.greenseal.com, www.issa.com/CIMS-GB
Search: LEED
Day Cleaning
We used to charge 15% – 30% extra for day cleaning, but that’s no longer the case, an exception maybe if you do most of the work on the night shift but provide day porter service to the building. The most common approach these days in full service accounts is to provide services on both shifts and there is no extra charge for day cleaning.
Resources:
www.daniels-worldwide.com
