How to Bid a Cleaning Job
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- Опубликовано: 23 июл 2017
- One of the biggest mistakes owners are making is bidding too low! Follow Mikes step by step guide on how to bid, and you will be sure to succeed! Everything good that happens in your business comes from your margin. If there is not enough margin you can't do things like buying new equipment, surprise and delight your customer or pay your employees well. Everything right for your client comes from the margin, so it is vital that you get your customers to understand the importance and in return they will want to pay for a great experience and service.
As an owner, you will want to conduct a yearly review of your accounts and overview which ones will need price raises. You will want to send out an email or letter explaining why you have raised prices, what the price will now be and utilize the excellent opportunity to thank the customer for continuing their business with you and let them know you are thankful for their continued loyalty. As you analyze your account, you will notice that maybe some of them do not need price raises. For those who don't you can still take the time to send out a thank you letter explaining that you had a price rise within the company but that they are such a valued customer that you are rewarding their loyalty and business with not raising their rates.
RESOURCE ALERT: How to go about doing the bidding www.growmycleaningcompany.com/...
A popular question amongst cleaning nation followers is whether or not you should bid in person, and most of the time the answer is Yes! We break it down according to residential and commercial accounts below.
Residential - You must decide what kind of business you want to be if you want to be a brick and mortar cleaning business especially if you do not have a lot of online traffic you want to bid in person. The reason being is that you can have a conversation with the potential clients and target their particular pain. During the bid, you can ask questions like; why they are reaching out to you, how you can best serve them and make their life better. You are going to close a lot more bids when you go out in person. When going to meet potential clients have it in your mind that you are planning to leave that appointment with a signed credit card authorization form and the first date scheduled or a no. The worst mistake you can make is to go to an appointment look over the property and not give a bid right then and there! In the initial phone consultation, set the tone that you are coming out expecting to be able to hear of their troubles and that at the end of the appointment you are either going to come to the agreement that you can and will solve their pain or that you are not right for the job and leave.
Commercial - You always bid in person! No matter the size of the account you will still want to expect to leave with a signed credit card authorization form and a signed service agreement with the first appointment scheduled. Again, at no point do you email the bid! If you need to go back to the office and figure out some numbers, make a second appointment.
While some companies such as franchises like to do everything
RESOURCE ALERT: What to charge and how to calculate cost of goods sold
• How to Increase Your C...
How do you know how much to charge?
For residential clients be sure to figure out what they want. The customers do not need you to sell them what you think they need; they want you to listen and explain how you can best solve their pain.
For Commercial clients, you may need to customize your services for them dependent upon the type of building, how often they need cleaning, and what kind of service they want. After you have received that information, you will then be able to come up with a bid keeping those things in mind.
1.Calculate man hours, how many man hours it's going to take per month to clean. Remember to not talk about dollars per hour when selling, never have those types of conversations with external customers.
2. Determine average hourly pay for employees and add the other cost associated with having employees (social security, workman’s comp, etc.)
3. Once you have the total cost, divide that by the cost of goods sold that you want.
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Leave a comment below!! We want to know what you think and we do respond to all comments!
Great video, Mike! Thank you for explaining. I too like to bid in person. It gives it a personal touch and I can also see how much work will actually need to be done. The bidding tool seems simple however I don't know why this is my biggest obstacle. I will get over this and I will be a much happier person. Thank you, Mike.
So Thankful that I found this channel. 👏👏🙏🏾
Us too!
10mins in and I'm already feeling myself😉💯🙌
This guy is awesome I called he called me didn’t try and sell me anything and gave me great advice
So glad I could help!!
BTW - Thank you so much for all your time, energy, and wisdom you put into these videos. I recently discovered you through podcasts and I have a new spark of passion and motivation to get my cleaning business to new heights and to quickly achieve my goals.
I dont mean to be off topic but does any of you know a tool to get back into an Instagram account..?
I somehow lost the login password. I would love any tips you can offer me
Great video!! Thanks for the awesome tips and info!
This was so helpful !! Thank you !!
You're so welcome!
Thank you for your service , You've been extremely helpful.
Thanks so much Omar! It's an honor to serve such a cool community!
Thank you sooo much for this video! May God bless you this helped soo much!
Hello, I just found your channel and got hooked right away. This in particular is a great video. Thank you for sharing !
Got another one hooked ;) Welcome to Cleaning Nation Imelda!!
Subbed, Liked, And Shared. I Learned so much in this short video, and I happen to work in a different industry! (Painting) Thanks, Man, for teaching me about COGS and how that can be used in the bidding process...
You are my new hero Jeremy! Love that you are getting training from all sorts of sources even outside of your industry!!
When i say this was some inspiring stuff. WOW!!! thanks brother. Im about to start a cleaning company in a new city and this was an amazing walk through on the bid process..
Thank you so much this is very informative and helpful am getting more clear everyday 🙏
This is very informative and helpful thanks brother👍🏾
This was a very informative video! Thank you
This was the best vid I seen. Thanks
Love making a difference- so glad you are getting value!
Wonderful, my only sorrow is that I didn’t find you before. Thank you Thank you for providing valuable information
Thanks very much Mike, you explained it perfectly.... Thank you
Great to hear from you again Abraham- hope all is well with you!!
Thanks very much Mike, 2018 will be our year good sir. Planning on landing some contracts in 2018 and eventually making enough to afford joining your mastermind group which I believe is a great investment. Happy Holidays to you and your family, God bless you...
Great video! Thank you for sharing your knowledge.
Glad you enjoyed it!
Loved it. Thanks a lot!!
This info is priceless
Thanks for the information
Raquel Lopez . Thanks you so much for all your time and your energy. is good
Thank you this was so helpful ☺
Glad it was helpful!
Hi Mike, I understand the above podcast and it was very informative. I am a very small residential company (9 months) based on Long Island. I'm 56 years old and do not have time to make so many mistakes growing my business. I pay my cleaner a percentage of each job, ex. 6 jobs or less a week earns 42%, 6-9 jobs 45%, and top pay earns 48%. I pay $12 an hour during my two weeks of training. Thus far I have paid my cleaner(s) off the books because I don't have enough jobs to keep cleaners. I do use Launch 27, but do not have the traffic yet to utilize it to it's fullest. I do prefer in-home estimates.I have also never paid myself for fear of splitting the percentage pay would turn off my employee from earning a livable wage. Yes, my overhead is ridiculously high. I'm stuck on the rollercoaster of not having enough jobs, one cleaner -having more jobs not enough cleaners. I have basically no money for paid marketing and the no cost marketing , like facebook groups, instagram, car magnets just isn't bringing leads in for me. I need some guidance. Please contact me if this is something you will do at ruthie@mammaclean.com. I want this business to truly work for me. Thank you Ruthie Chatalbash/Mamma Clean, Inc
Hey Mamma Clean- that is a LOT to cover on a RUclips post- reach out to support@growmycleaningcompany.com and we will see what we can do to help :)
This is gold
THANK YOU SO MUCH FOR SHARING THIS KNOWLEDGE!!
My Wife and myself are starting a cleaning company thank you for your tips :)
Glad to hear you enjoyed the video! For more tips and help make sure to check out www.growmycleaningcompany.com/
Thank you Mike for an informative video, it helps me while trying to start up a cleaning business. I'm still having some questions tho please. How to get COGS.
I'm glad to hear you enjoyed the video Toia. Please feel free to check out my website for more information about bidding and pricing. www.growmycleaniningcompany.com.
Helpful thanks
We are here for you!
@@GrowMyCleaningCompany being a new start up I have not starting getting clients. I'm stuck on business plan. How do I forecast my earning if I have not made any?
Thumbs up! 👍
Back at you jtc ;)
This is a great video and I wanted to ask how to determe how many hours will a Job/Janitorial account will take per day ?
Thank you for your kind words! Determining the hours for a job or janitorial account depends on factors like the size of the space, specific cleaning tasks, and the frequency of cleaning. If you'd like personalized guidance, feel free to reach out to us at support@growmycleaningcompany.com. We're here to help you optimize your cleaning business! 🌟
Hi Mike, some great advice! I had a few questions for you however. I own a fairly new starting cleaning company but I've been stuck debating on how to go about this. My business is located in the Los Angeles area and were a commercial cleaning company.
I know there are standard prices for hourly rates but how do I find out my hourly that I should be charging? Or better yet how do I come about finding out how much to exactly charge each individual potential customer? Is there a formula I may use to figure out how to calculate that? On that note, how do you figure out what your minimum should be to charge per hour for each bid and to grow as a business?
Also, do I incorporate my own pay as overhead or is that included as labor, that is as an owner to run the business and if I have cleaners and/or supervisors performing the cleaning/working?
In reference to cost of goods sold, where did you get the percentages from and how do you figure out the percentage (the 45-65% for commercial)? Cost of goods sold just to confirm takes into account profit, overhead, and direct materials?
Appreciate your time and advice and any help will be beyond appreciated! Thanks Mike!
That is a pretty tough. question to answer over email ESR- I would encourage you to join the Grow My Cleaning Facebook group and/ or the Clean Profit Method www.growmycleaningcompany.com so we can give you more in depth help :)
Thank you Mike for all of your info.
We just started our business 2 months ago. Commercial . We dont have any customers yet. We had a chance at one customer about 6 weeks ago but unfortunately we just found you on RUclips a few days ago and didnt know then what we just learned.
I'm going to call some doctors and lawyers office plus day cares using your example on finding out their pain. My question is, how do I get past the receptionist who answers the phone? Chances are I may run into that roadblock with most calls. I may get vm. They may tell me they will give them the msg. I wont hear from them again.
So, the bottom line question is, how do I get to speak to a decision maker over the phone?
I appreciate your help Mike.
Your welcome! Talking to the person in charge is important in order to get your bid in front of the right person. The key is getting the contact information of that person. That might mean scheduling an in-person meeting. :) I would actually recommend that if you can get that. The more you know about that key person the more you can create what I call a "shock and awe" package. For more resources make sure to check out my website at www.growmycleaningcompany.com/
@@GrowMyCleaningCompany thank you Mike this helps🙂
@@kymfjohnson1 You are so welcome!
Hey great video I have question though. What is FUTA and SUTA and how do I find more info to pay them for my payroll.
Federal and State Unemployment tax- I would reach out to a payroll company like ADP for details in your area Tyler :)
Who do you talk to when bidding on a commercial property?
How do you know how many hours it’s going to take?
Where do you place bids?
Hi! Can you help me in how to bid medical offices?
how do you add floors
My dad has been in the business for decades but sort of had a language barrier, would it be considered informal for me to do most of the speaking and have my dad there for the actual proposal?
i have a small cleaning business in Australia , my cost are in the middle of my competitors , we clean mostly house and i like to get the bigger contracts and when i give them a quote (BID) i get told straight up my cost are way to high our prices start from $35 an hour ( 25.68US an hour)
and after i do the costing on the hours they want and we supply everything it works out to be less then $15 an hour (11.01US an hour) and i find this with the bigger contracts they think we should work for nothing
I feel your pain Stanefree- focus on understanding their pain first and price won't matter as much
Great onfo..
Thanks Gionni!
I want to start doing post construction clean ups in North Carolina. But I don't know where or how to start for making bids for company. Any idea where can I look for? thank you
Hey Bianca- I definitely do NOT coach to do ANY one time cleans (move in/ construction clean up, etc) so I wouldn't be the guy to ask...
Mike ... I know how important it is to get a commitment from the decision makers. What do you do or how do you respond when the client is reviewing proposals of several cleaning companies and tell you "we will get back to you" how do you combat that and not start chasing the client?? -
Thanks for your question. The follow-up process is a crucial piece of getting commitments from potential customers. Check out my playlist for more resources on this topic. ruclips.net/p/PLREqv8ptf12TVUdwFkUVyvmHhMxEE6wmB
Hi Mike, I have newbie question about the pricing, at the above example $700.00 price, do I have to bid for $700.00 or $700.00 plus tax?
Not a newbie question at all :) Sales tax varies by state- check with your "friendly" city and state government taxing agencies :)
I am starting my own cleaning buisness so far i only have houses ... I would like to lock in a steady contract but i only want to work for myself no other employes so you have any advice on locking in 1 or 2 steady contracts and how much to charge say a bar or resturant i would clean dailt
Welcome to the cleaning business Stacey :) We have an entire playlist devoted to getting cleaning contracts- I would start there :)
How much should i ask for down on a 500 rooms to clean they provide the equipment so how much per person for a 10 day contract and i Have 13 employees working with me
My area is not a huge city everyone is pretty cheap- I would like to know what the going rate for commercial cleaning would be for a commercial cleaning that is 40k (yes, 40 thousand sq feet) and it'll be 5x a week 4 staff cleaning for 3-4hrs. Please help I don't want to blow this estimate
Thanks Red 04 for your comment! Please check out my website for more information. www.growmycleaningcompany.com/ or reach out to support@growmycleaningcompany.com.
Do you still offer free resources on your website?
A friend referred your RUclips channel to me and I'm grateful he did. I have one question for you regarding the bidding video I just watched. I offer residential and office cleaning services, and in both situations the client provides all tools & cleaners except rags and scrubbing tools. So, I have no COGS. Can you confirm what the process would be for that scenario please?
YDB
Hey Yolande, glad you are getting value from the channel :) Your COGS is what you would pay your labor :)
When I asked a customer what's their budget, she chuckled at me and said....I'm not going for that, what will you charge me....
What do you do when you are giving raises to workers.? And what if your doing 1099’s, will the bid process follow the same steps?
Hey Lori- always start with your Cost of Goods Sold- if you have enough margin to give raises- fantastic. If you don't, raise prices before you give raises. You can't run a business with out margin :)
The bid process is pretty much the same using 1099 or W-2 employees :)
I have many questions
Need help in drawing up a bidding document please!!!!
Hi Low Key2. Having the right bidding proposal is a crucial part of attracting the right clients for your business. If you're looking for help with this I would recommend checking out my website for more information. www.growmycleaningcompany.com/
Is there some kind of software that calculates the COGS per job? You said we had to review the COGS per client each year to see if we needed to raise their rates, but what if you grow to say, 300 clients, you need to go through each one by hand to find out the COGS?
We are actually working on that exact software Jessica- check back in a couple of months :)
Grow My Cleaning Company sweet! What other software do you have available?
The Clean Profit Method includes a Client Profitability Spreadsheet that will calculate your COGS per job :)
PERCENTAGE OF WHAT? TOTAL
PRICE OR???
I love you guys knights kleaning service buffalo ny
Your damn awesome!!! Omg your the bomb
You're making me blush Am Kni...
What if you're the only one who is working? What's the formula/calculation?
Hey Karin, I would coach you to get out of the field ASAP, but the formula is the same even if you are doing the work. Base your numbers on what you WOULD pay an employee :)
I went and looked at a building yesterday 8 storys, the lady said they had a cleaning lady that worked a few hours a week but this place didnt look like it had been cleaned in 3 years it was SO DUSTY AND DIRTY i couldnt even tell what the lady was cleaning. She was fine with my rate of $95/hr she wanted the floor waxed and all. She looked at the contract and called changing her mind. The contract was very simple i wont apologize for having a simple contract but she changed her mind i definitely felt dumbed
Hi! Why do you suggest to only bid in person for commercial? So you would make two trips? One to asses/interview and another just to tell them how much? Why not just an email?
I am from Nigeria, i wanna go into full time cleaning business. I want you to help me suggest a good name for the company
Glad to hear you're making the leap to join the cleaning industry. :) Pick a name that inspires you. After that comes the fun part of getting your cleaning business started. ;)
Hi Im using your method Im bidding on 15 Libraries Is to possible to charge $160,000 a month
You go this Garon!
45% OF WHAT
How about they give you their budget, and extremely low because they want YOUR price first... So their testing you in other words...
Must be from NY. He talks extremely fast.