[TomCrowther]

Richy, don't jump into spending £20k on a truck mount top of the range cleaner. I had some great advice just today about buying new equipment. He said rent/borrow/hire a number of machines over a period of time that you think are suited to your needs. Analyze which one is best and then keep hiring/borrowing until it's no longer viable as you are using it full on, then buy one. You won't lose much money this way and it is much safer for the business. As soon as you spend £20k on anything {apart from columbian marching powder} it's depreciating fast, so you have to be 100% it's the right thing and will serve you well over the next 3/5 years whatever.
These truck mounts clean faster than the portable machines but what if you get lots of apartments to clean and the hose won't reach? See what customers you win before investing.

[richywilts]

before we even think about buying the machine we are going to contact all our regular window cleaning customers and see how many definate jobs we could get out of them first and see how viable the idea is, we actively promote our services and we feel that we wouldnt struggle to pull in work if we market the way we have with the window cleaning.

the benefit is that there is not one real major force in our area for carpet cleaning ya get ya guys with rug doctors etc offering it on back of other services but we really want too push it hard like the window cleaning.

[supernova77]

because of our past experience of hiring staff i know we went down a different route this time and advertised in the job centre, we carried out 30+ interviews and got 10 back for second interviews where we did role plays and taught them to squeegee etc to see how they picked it up, we then narrowed it down to final 4 who all had day trials to see how they worked, with surprising results we took on a fit young man with no window cleaning experience, hes now completed two days out with us and performed well, arriving on time etc.

Blimey! It sounds like The Apprentice! 

Andy

[richywilts]

haha it was a complete shock that so many of them actually seemed liked quite good candidates for the job we just couldnt make up our mind, last four we had 2 experienced and 2 without, 2 experienced were slow n sluggish n wfp techiques werent great the 2 without one was an iraqi n didnt impress on day trial other lad made real big effort picked it up quickly and listened to evfin we told him

[Steve Sed]

In my first week I had a customer ask me if I cut grass. I said no. If I can't make money out of window cleaning I am f----- . You have clearly decided which way you want to go, but be cautious. If you can't make money out of window cleaning before expanding into carpets......

[ronnie paton]

richy i believe.......and please dont take this the wrong way.......u need to walk before you can run.

we have spoke and i have said this to you before, i mean you have had the pressure washing set up and gutter vac that both went no were all i big expense.

you dont have 72k worth of work but have i think two employess maybe 3 and i manager?? also your self. then there is the canvasser bringing in £400 a week of new work?? your head is getting carried away with its self.

you need structure and stability and if your canvasser is that good every 4 months he will have provided enough work to support a new van why go in to carpet cleaning?? diversify when you have exhausted the window cleaning or spread your wings into different areas.

we started not far off the same time and i make i very good profit from my business and have done from early days ......but you saound like you have very little profit??


like i said dont take the wrong way and even give me a call if you like

[richywilts]

I understand what ya saying ronnie but i cant handle the pressure of juggling everything on my own, i prefer to delegate etc and be more prepared for growth albeit for less profit now, you are right i am exhausting all my profit into the business at minute and you are right about the fads of pressure washing and gutter vac.

you are lucky you have a nice few contracts which is what we are trying to win and they are prob easier to organise and paperwork is less time consuming chasing a few larger debts than many smaller ones, but on a different note iv got less chance of losing loadsa work like you iv got a large domestic base to fall back on.

the idea of the carpet cleaning is due to our large customer base if we dont get the interest we are after we will not pursue it, i wont be rushing out buying 18grands worth of kit with out researching the idea first!!!!!!

hows it going anyway mate

[Nameless Drudge]

Your going to lose your domestic base to your employees,slowly but surely or perhaps overnight when you can`t pay their wages,soon as they realise that your business ideals are more important than them.

[ronnie paton]

its ok apart from my well publicised problems

richy i didnt always have large clients and i may not always have but i feel you COULD go around withoput ever really making a profit, for example i presume you mustnt be making more than 10k at the mo if that?

it can not be difficult to run 2/3 staff so your manager is wasted money at the mo, and has you dont do much on the tools you have pleanty of time to do the things you need to, ie schedule work, do quotes, quality contol reply to emails , banking and pay wages.

i hope it works and your right about gambles but they have to have the odds truley in your favour to take that gamble!!

[Mike #1]

its all very well gaining nice contracts which will pay well but if someone else gets the contract from you in future its a big loss in one go or 2 or 3 , then your earnings will really drop i have lost some good contracts due to business closure or been undercut and its harder to take than losing a couple of £5 houses,

But i wish you the best of luck

[Paul Coleman]

I wouldn't use that money to buy top notch equipment rich. I would advise using it to grow your business though. When you have the profit there then upgrade the equipment.

The biggest problem people seem to have is employing. Now i'm gonna throw a little spanner in the works here. If people downsize it will be down to staff issues mostly.

A couple of paragraphs defining an entrepreneur

As any leading entrepreneur knows, you must care, not scare, to get people motivated. Using fear as a motivational strategy may get short-term, temporary results, but future resentment from angry employees positions you in a very bad place of distrust, where that employee not only becomes unenthusiastic, but eschews any kind of commitment toward you or your business. On the other hand, when workers perceive that you care about them and respect them as valuable associates of your organizational team, they are much more likely to express cooperation, enthusiasm, and commitment for your small business.

In a small business, the proper environment for expansion promotes motivation, encouraging it to blossom and grow. When employees sense caring, appreciation, respect, and acknowledgement, almost all of them return these attributes with total effort, commitment, and loyalty. In a workplace environment where open, honest communication exists, creatively solving problems is part of day-to-day business. And entrepreneurs who provide sincere recognition for employees’ efforts and successes are way ahead of the game.

I have found this to be true. Treat people with respect and you will get the best from them

This is so true.  I have worked in "scare" and "care" environments (as an employee) and I know which tactics got the best out of me.  If I ever make the move into expansion (probably won't as I don't cope with stress too well), I know what sort of employer I would want to be.

[Steve CM]

I wouldn't use that money to buy top notch equipment rich. I would advise using it to grow your business though. When you have the profit there then upgrade the equipment.

The biggest problem people seem to have is employing. Now i'm gonna throw a little spanner in the works here. If people downsize it will be down to staff issues mostly.

A couple of paragraphs defining an entrepreneur

As any leading entrepreneur knows, you must care, not scare, to get people motivated. Using fear as a motivational strategy may get short-term, temporary results, but future resentment from angry employees positions you in a very bad place of distrust, where that employee not only becomes unenthusiastic, but eschews any kind of commitment toward you or your business. On the other hand, when workers perceive that you care about them and respect them as valuable associates of your organizational team, they are much more likely to express cooperation, enthusiasm, and commitment for your small business.

In a small business, the proper environment for expansion promotes motivation, encouraging it to blossom and grow. When employees sense caring, appreciation, respect, and acknowledgement, almost all of them return these attributes with total effort, commitment, and loyalty. In a workplace environment where open, honest communication exists, creatively solving problems is part of day-to-day business. And entrepreneurs who provide sincere recognition for employees’ efforts and successes are way ahead of the game.

I have found this to be true. Treat people with respect and you will get the best from them

This is so true.  I have worked in "scare" and "care" environments (as an employee) and I know which tactics got the best out of me.  If I ever make the move into expansion (probably won't as I don't cope with stress too well), I know what sort of employer I would want to be.

i seem to gain respect from my guys but i try to talk to them on a level. were a team and we need each other!

i worked for a tool for 6 months and it was the best thing for me to learn how not to be. i didn't want too work in them conditions. he just pushed me to the brink until i snapped. that ain't no way to get the best from people

[mikecam]

key issues that will in a fundamental way effect success of your venture ?
Not knowing whether we are window cleaners or carpet cleaners, which is the best direction to take?
Will my manager pay his way in the first month or do i subsidise him after that?
Whats my own role in the business given some one else is doing the labour, someone else is doing the managing ,someone else is doing the finance and i'm asking for advice from numpties?

Just some random thoughts to play with !!!!!!!

[johnd]

.Staff are a major key to your success ,getting the right men and keeping them happy is fundamental.

.making sure that you price your work right.
 
.Never take on more than you can chew it can shoot you in the foot.

.Communication with your clients if its one thing ive learnt through management is that no matter what keep you clients in the loop with everything from booking in or just to see if they are alright believe me it makes a significant difference.

I could go on forever but every business is different and its down to yourself and your approach to your business on how it will succeed.

[richywilts]

i dont understand why people jump down ya throat if you want to diversify into a different area,

if some one wanted to setup in carpet cleaning with no customer database or a window cleaner with over 500 domestic customers built up over three years who would you expect to grow a business.

carpet cleaning and window cleaning can go hand in hand and give you an advatage when quoting for commercial jobs i.e throw in say a free carpet clean but increase your quote.

people like things for free or like to think there getting a good deal.

[supernova77]

Ritchy,

My advice:

> Sell all your lower priced work.
> Keep all the good paying work.
> Keep 1 good member of staff.
> Get back on the tools.
> Work as a two, 4 days a week.
> Turn over £400 (as an example) a day between you.
> Pay your worker £100 (as an example) a day.

The result would be less stress and more money for you!

Andy

[Rob_Mac]

Richy

I know of more than one person that has subbed out all parts of their work, sub contracts their core business and one in particular that has a turnover in excess of 3 million (doing it the way you are doing it). I don't know whether you are the same person as them.

Doing it the way they have done it, has earned them less gross profit but long term it is looking like it will be the right way for them.

They were able to work on business relationships, build on them and were in a closed market. The field I work in is through high level invite and you see the same faces, time and time again. There is a lot of trust.

I had a sizable window cleaning business when I started with the supermarkets but struggled with keeping the two going, so got rid of the windows For me it is starting to pay off.

One thing you have to have is a middle and long term vision of where you see yourself, you need to have drive and determination to get there. You need to shrug off the issues and problems and keep moving forward. Keep reviewing the end product, changing, tweeking & adapting.

Never take your foot off the pedal.

The biggest attribute in my business is me, people see me on every single job and the end product is going to increase turnover by 75% (conservative) this year.

There is nothing wrong with having a structure in place as long as you are prepared to not make a lot of money in the short term.

I still do not buy new gear. I don't borrow money, have no debt and I would grow my core business before I diversified. Is there an angle on the core business that can be capitalised on.

I know of one but am keeping it to myself as it is definately an avenue I want to utilise in the future. For now I need to keep at the core business, growing it and working on the relationships that are becoming established.

Success beyond the norm requires a different mentality, the headaches only get bigger as you grow.

Ask yourself whether you can handle all of that!

I was in Halifax yesterday for a meeting, worked a night shift last night in Swindon and am back in Halifax for this afternoon.

How badly do you want it Richie and how far are you prepared to push yourself!!!

Rob

[H S and Son]

i dont understand why people jump down ya throat if you want to diversify into a different area,

Its because you say ya instead of your. Simple mistake to make 

[Helen]

hi helen main chunk of that money will be used to invest in a truckmount carpet cleaning machine and a hot water window cleaning system, we should be turning over near vat amount but not actually cleaning that much at minute, been advised by bookeeper and accountant not to register just yet.first few months of this tax year have taken bit of a hit due to break in and vehicles breaking down etc

I'm not knocking you and it's good you have so much enthusiam to expand.

You figures don't add up for the vat bit and as for the bookeeper/accountant saying don't register yet, I would consider getting new ones!
The £400 per week average your canvasser is getting in is on target for £20800.00 per year turnover alone. Add this to your existing turnover and you are over vat threshold. You have to vat register as soon as you know you will go over threshold. Why wait anyway, you know where you want your business to be and it will be over threshold so the advice of "not to yet" that you have been given is not so good.

Carpet cleaning.......I have done a quick search in your area and at least 10 Carpet cleaning businesses come up. The internet is  not the only place to do research and I think you ought to look at this more carefully. The last 2 years has been harder than for a long time to get carpet cleaning work in (not impossible, just harder). Why borrow money that you really can't afford to borrow, for work that is "hard" to come by.......stick by what you know for a while and consolidate and expand that, then start adding other elements (someone else has gone through this as well)when the window cleaning can run and support itself fully, which with your staffing level already it must be struggling to do so.

You say last year that stress etc, brought your life to a halt...........be warned expanding like you want to do will be much more stressful, don't take it for granted that you can leave your manager to run the business for you........why should he, afterall if he's doing it for you, he could be doing it for himself. You have to be the hub of this business and lead by example, nit sit in the background and have someone else do it, you have to direct which way it is going etc etc etc.