Clean It Up
UK General Cleaning Forum => General Cleaning Forum => Topic started by: Prestige1 on September 10, 2005, 09:49:28 pm
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Whats the average weekly turover out there? I am just trying to get a guide. it would also help to know how long you have been trading and how many staff, and the last one are you making any money?
I am just starting my 3rd year, I clean mainly domestic with 5 comercial weekly contracts. I employ 9 staff on varying contracts, turn over arround £2500-£3000 per week., the Vat is killing me at the moment and I am in the black but dont draw as much as I would like. I would like to know your oppinion of the above is it good or average or low? when you started paying vat did this happen to you for a while? your thoghts are very much appreciated. kind regards Phil
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Paying VAT is a killer, someone is bound to say that you shouldn't spend it because its not yours in the first place, but the reality is different.
Your poll needs to go higher :P
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hi there,
with nine staff you need to be achieving a higher weekly turnover. as a starting block for you i look to achieve in excess of 3k from 6 staff, and thats every week, and just on run of the mill work, then when we add in our emergency reaction work, and our weekly contract work, then the sky is the limit.
this week for instance, was a good week, then on friday night we got a call to clean out a flooded school, we were on site from 6.00pm on friday straght through till saturday night, then drying equipment installed, and management of the situation now till tuesday.
Well thats more than doubled the weekly invoice value. FABULOUS.
our management strategy, is we know what each vehicle costs, and what we need to turnover from each vehicle, and then we always WANT more..
any questions please ask.
but i agree your survey figures need to go higher, especially for your 9 staff.
regards
martin
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hi all ,am i right in saying martains turnover like others on this forum would be a lot higher because of the type of cleaning they take on compared to others , floods, builders cleans V office, homes big difference in price ::)
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Phil
Do ou not charge VAT to your customers.
In my opinion you are fooling yourself if you count VAT in our turnover.
VAT is a Sales Tax
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hi there,
you never count VAT in turnover,
i would be concerned if VAT is killing you in year three of business, most people find VAT is a problem in the first year,
from what you say about having 9 full time staff ans that VAT is killing, i would make the following assumption.
the VAT element is being used to support the business, cause your survey weekly turnover level does not go high enough in my opinion to cover your full operating costs, and the profit element ( that we are all in business to achieve) therefore when that happens the VAT is pumped into the business and not to the VAT man.
i would also wonder where you are with your PAYE.
its just an opinion i could be totally wrong.
i would take the business by the scruff of the neck, and start to either turn up the business levels, or alternatvely scale back the operation, so that the turnover is achieved with less resource.
regards
martin
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Hi
Thanks for your replies, I think some may have got the wrong end off the stick. Vat is not included in the figure I quoted, it is that plus VAT, and I dont spend nor have a problem paying it, when I said its killing me its my domestic jobs which are the bulk of my work, I am expensive to start with £14 per hour when I add the vat on that it can price me out the jobs this is where VAT kills me the most, also I am still doing lots of regular customers who I quoted before I became VAT registered and i have taken the decistion to only increase by 10% to those customers. on commercial jobs its not such a problems cos these type of jobs can claim it back. allthough I employ 9 staff 5 are full time 4 do two days a week 1 off my full time staff is my secretary/receptionist. I just feel I should be able to take out more £ for the hassle which we all know about.
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hi there,
dont say expensive,
a competitive priced quality service, and if the customer doesnt want to pay then they will make that decision.
eveybody in the world needs cleaning, the only decision that the potential customer has to make is WHO DOES IT.,
themselves, or do they get somebody in to do it, irrespective of whether its is domesticv or commercial cleaning.
i agree with the line about taking out more money cause of the hassle. we dont do domestic cleaning as a core business, but we get the same problems.
i look at it in a totally different way, if the client weant s to pay the price then we will do the job. and thats how we quote.
good luck , and keeping going
regards
martin