Bidding a custodial job

steve_64

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An auto dealership I clean for called and asked about nightly cleaning so Genny and I went up today and looked it over. It will be about a$40000 plus a year job if we get the bid.

They are having quality and trust issues with the current cleaner who is the daughter of the cleaner they had for years. I'm sure our bid is about double what they were paying so I'm not sure we will get it but am pretty confident.

This will be a huge account for the Clean Team! We are growing fast even if we don't get this but if we do look out.
 

Jimmy L

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Having been a custodian many years ago for a large school district I cringe at the name.
Absolutely hated it.
 

DAT

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An auto dealership I clean for called and asked about nightly cleaning so Genny and I went up today and looked it over. It will be about a$40000 plus a year job if we get the bid.

They are having quality and trust issues with the current cleaner who is the daughter of the cleaner they had for years. I'm sure our bid is about double what they were paying so I'm not sure we will get it but am pretty confident.

This will be a huge account for the Clean Team! We are growing fast even if we don't get this but if we do look out.
How big is it? Square feet? You cleaning everything: carpets, floors, windows, crappers, desks, etc? Whats the frequencies?
 
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steve_64

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I was a school Janitor at 16 for three years I'll I went in the army. Got out and did it a few more years. Had my own school at one time. But this will be handled by Genny not me.

I have been cleaning the carpets for about 5 years and recently started doing the tile. Not sure of the total square feet off hand but it's a Ford dealership.

The work is nightly and pretty much cleaning five bathrooms taking out trash spot cleaning glass and mopping floors and dusting. We are figuring three to four hours a night. Already lining up employees if we get it.
 
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Desk Jockey

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If you can get past the monotony it is steady, easy money.

When my father first started in the business he had a handful of accounts and eventually had three fairly large buildings. It was great money that supported this business as it grew.

Eventually over several years it became more headache that it was worth and he scaled back to just a few smaller accounts that could be managed by relatives. When they got tired of it we got out completely.

We are still asked quite often but its just no longer who we are.
 
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FB7777

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Follow up and let us know if you got it

Dealerships are 7 days a week, they are getting a great price now . Even at your rate , the profit margin out here would be about $20-25 per night
 
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Just like carpet cleaning, there are a wide range of qualities and prices. Our janitorial business makes more per hour than many low end carpet cleaners. And just like you, we have found that people will pay big money for trust. Some people knock it, but what is wrong with 60-70 per hr, no people to deal with, steady checks every month year round, and easy work. I understand that many markets and areas janitorial is done for pennies by non insured workers. I'm not talking about those jobs.
 
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FB7777

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$60-70 per hour is phenomenal, out here those rates are typically achieved by companies that promise 2-3 hours per night but scale the quality way back and bang out accounts in under an hour :biggrin:
 

steve_64

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I figured 5 hours a night 6 days a week x $30 an hour minus $50 because I thought $900 sounded to high. Two employees at $10 an hour and Genny most of the time so $200 for labor. Comes to $650 a week for Genny and the biz.

I will only help get things going then I won't be too involved. I hope.
 

steve_64

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Steve is that 5-hours for each person nightly? If so thats 60 hours a week labor.
I know, it's 30 hours a week divided. It's just how I came to a price and I know we may pay more labor. Even at $300 for labor we still do pretty good.

Genny has a lead girl and I'm sure arrangements can be made for those issues.
 
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I have had many of the same accounts for over ten years. A couple of them tried companies for about half as much, but after they were either robbed or unimpressed with the work they understood my prices. Sell yourself on things like cross contamination training. It keeps sickness from spreading as much, helping their employees. Use disposable wipes and professional chemicals to speed things up/make yourself look more valuable. Use quality vacuums. Learn to clean what is dirty, not things that don't get touched on a nightly basis. There are ways of making good money in janitorial. Combination of getting good prices/ doing quality work faster than others.
 

Jimmy L

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It will get old after awhile. A burden when people get sick and you have no time for yourself. Will wear you out.
 
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DAT

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I hate janitorial...its what i have been doing since i was 8. But, money is reliable and they like me. I have about 2-3 jobs per night, starting at 5, i finish around 1130. Very boring, since i do mostly by my self. That why im trying to shift to carpet cleaning.
 
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smastio

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What am I missing here? $40,000 / 365 days (assuming open 7 days) is $110 a day. If you think it's going to take 5 hours that means that you are getting $22 an hour. I don't know what you pay your people, but if you don't want turnover it has to be decent like $12/hour. So now your down to $10/hour profit. Start taking off expenses like chemical and supplies (maybe 3%), payroll taxes, insurances, etc. Is it worth it? What am I missing, or is everyone telling you to run correct? I had a Commercial Cleaning company for 10 years, I stayed so far away from dealerships because they were soooo cheap. Also, I can tell you that the smallest margin accounts take up the majority of your time. Think hard about this one! Unless I am missing something....
 
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FB7777

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Apparently this on is 6 days a week, doesn't effect the math much.

Not Missing anything Steve, I see it the same way
 
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steve_64

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850 a week 6 days paying $10 to $12 per hour two employees and Genny. Probably an hour and a half to two a night times two.

850 x 52 is $44200.

I'd be ok with three employees and us just billing it weekly and taking care of payroll. Or two working 30 to 35 Hours a week total.

Not big money but easy and steady. Helps the employee who want more hours. Not a big loss if we don't get it.

Knowing my area and customers I bet they were only paying $300 to $400 a week. That's just a guess though.
 

Old Coastie

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Cut all gross figures by 25% for withholdings. Carry 2 million liability, minimum. Wait 60 days for payment, then try to track which check is for what period. Do a zillion bullshitty callbacks which only increase in number, while they ask to postpone or cut services.
Remember the receptionist has a cousin who "does cleaning" and only charges half. She is banging the sales manager, who is married to the comptroller. Replace things that go missing even though you never saw it. Remember to add the "while you're at its" to your load just to be a good guy, only to find they somehow become expected. Etc, etc, etc..

Aw heck with it, just clean Chinese restaurants instead.
 

DAT

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Thats why i do not do big accounts...just dentists, shops and small engineering firms. They are nicer and pay well. I prefer cleaning shops, they pay the best and easiest to do..i think.
 

steve_64

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I was lucky to break $40,000 working 50 plus hours a week in another life. This would be a piece of cake.
 
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steve_64

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I don't see this place being like all that. Not that some things won't happen but I'm really not concerned. I probably won't even get it lol.
 

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