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Spursboy1972

  • Posts: 679
Revenue Expectations?
« on: March 26, 2008, 12:39:24 am »
Hi

I am toying very seriously with the idea of putting a second van on the road.

I have someone who is very experienced and a good worker to boot . I also may have someobne to work with him who has a very limited experience.

I know all the pitfalls of employers contributions etc, etc.

M question is this. Allowing for the fact that I budget on a 45 week year (allowing for hols and bad weather days) What can a 2 man operation REALISTICALLY (yes the caps were deliberate) expect to generate in revenue per week?

I am thinking of putting them in a larger van with a 3.5t gvw so I can put 1000 ltr tank in.
Clear Vision~"The Difference is Clear"

Southampton- Hampshire

Spursboy1972

  • Posts: 679
Re: Revenue Expectations?
« Reply #1 on: March 26, 2008, 12:40:16 am »
Meant to add that I do have an idea of a figure but wanted some reassurance!
Clear Vision~"The Difference is Clear"

Southampton- Hampshire

Ian_Giles

  • Posts: 2997
Re: Revenue Expectations?
« Reply #2 on: March 26, 2008, 06:11:21 am »
Well 2 men working together, even once fully to to speed will not generate the same turn over as 2 men working separately...it's a time and motion thing.

however, just how much they will do is going to depend on your prices for one thing and how well organised they are in their method for another.

If - for the sake of argument - doing the same work they will be doing you can turn over £200-250 a day, it would be unrealistic to expect them to do the same per person, but they should be capable of getting within 25% of your own figures. (per person).

How much is impossible to say, but if you are going to be employing people, all legal and above board, and supplying them with a van and WFP equipment, then they are going to need - once trained and up to speed - to be turning over £200+ per day....thats an awful lot of work.

If your round is of the kind that realises £100+ per day (just you by yourself) then you would not benefit from the cost of investment and running costs involved in employing.

Of course, if you already work as a two man outfit, (and you seem to indicate that in your post) out of a single vehicle, then it is reasonable to expect that if you have a new guy working with him (once up to speed) to to be within 5-10% of whatever you can do.

You are the boss, so you are going to be pushing harder and setting targets when it is you doing the work, so you can't expect employees to have the same level of motivation as yourself.

To be honest, there are so many variables that you need a lot more knowledge of your round and the returns it already generates to know what kind of returns you can expect if you send a pair out unsupervised to do the work.

Presumably you must have very well paid work already and plenty of it or you wouldn't be considering it!

It will be interesting to read others take on this.

Ian
Ian. ISM CLEANING SERVICES

Spursboy1972

  • Posts: 679
Re: Revenue Expectations?
« Reply #3 on: March 26, 2008, 06:54:52 am »
Thanks for the sensible reply Ian. I am loathed to put down exact revenues I achieve by myself because that brings out the moaners and those that say liar!

needless to say I am a little bit above where you have indicated.

I am in the process of purchasing an extra 100 houses that I have cleaned with the person who owned them. This is being purchased to provide the platform to employ another person. It has a core revenue of between £1200 to £1500 every 6 weeks and is nearly all well priced work.

This work means that I do not have to split too much from my existing round in order to make it work.

This is the theory anyway.
Clear Vision~"The Difference is Clear"

Southampton- Hampshire

gordonswindows

  • Posts: 563
Re: Revenue Expectations?
« Reply #4 on: March 26, 2008, 08:56:12 am »

The many reasons explained earlier re costs of employing, is it worth it?

Profit wise to begin with no its not, but being an employer of 28 staff it gets better

While making money off your own sweat is more profitable, there is nothing to match and please forgive the description, there is nothing to match the feeling of sitting on the loo at ten o'clock at night and realising that in  the time you have sat there you have made a £1.00

My reason for employing was through the result of a fall, i was bruised, sore and embarrased but able to continue and from then on i worried what would happen if i became unable to work.

Yes its less money to start with but you get there and now i make more daily than i could ever have managed, even on my best days, on my own.

Easy  ???? No
staff ???? aaagh
Worth it ??? yes.
Don't Give Up
@askforthemoney

Helen

Re: Revenue Expectations?
« Reply #5 on: March 26, 2008, 09:16:02 am »
As you have one "good" person with you already, why not use him as a guinea pig, so to speak. You can then issue him/her a days work (based on your expectation of one worker) Do this a few times so that you can cover really good areas and also the not so lucrative areas. You will be able to judge then if your expectations can be met or not.
You should be able to work out a good average figure of what one person can do. I believe you have to work on averages as no days work is the same and no-one perfoms the same each day, so you have to have a minimum and maximum figure to work on.
Once this is established you can then work on what your % will be for 2 man working. Personally I would want the lower end to be 1.5 times the one person rate and higher end of 1.75 time the one person. (hope that makes sense) You already know the pros and cons of employing so we needn't go there, but be prepared to extend your patience threshold and sanity levels as you employ more people.  ;D ;D  good luck
Also good on you for not publishing figures as this always takes things off at a tangent. You are in the same part of the country as us and that makes a difference to what you can achieve daily too.

Spursboy1972

  • Posts: 679
Re: Revenue Expectations?
« Reply #6 on: March 26, 2008, 03:34:28 pm »
Thanks for the replies. I do have an idea of what I think can be achieved. No I will not post figures,just dont think I should. I have had a lot of experience in employing people through my past job so I know it will not be easy but I know exactly what I want and am prepared to be patient to find them.
Clear Vision~"The Difference is Clear"

Southampton- Hampshire

ducky

  • Posts: 600
Re: Revenue Expectations?
« Reply #7 on: March 26, 2008, 04:49:02 pm »
gordonswindows  u can get good staff....eh ;)
if it cleans we will clean it

ducky

  • Posts: 600
Re: Revenue Expectations?
« Reply #8 on: March 26, 2008, 04:50:11 pm »
 i would want £125 each man wfp
if it cleans we will clean it

sherco

  • Posts: 1041
Re: Revenue Expectations?
« Reply #9 on: March 26, 2008, 04:57:11 pm »
A mate of mine has four employees, one has been off work for 12 months with migraines, and he has to still pay the statutory sick pay, and he cant sack him, and another guy been off for six months due to car crash, and cant sack him. He said it was the worst thing he had ever done was employ people. I had ten guys working for me, but now i work on my own.
Natural stone floor restoration service.
Natural stone fixing and repairs.
www.poshstonefloors.co.uk

peter holley

Re: Revenue Expectations?
« Reply #10 on: March 26, 2008, 06:16:25 pm »
the answer to the figure has to be an amount that can be achieved day in day out ....
you would want a minimum of £250 a day for 2 men in a van...of course most days that figure will be much higher......£250 is easily acheivable with one man....so 2 men can do it day in day out...... i would expect them to reazch £350 + on some days.....

maybe give them a little insentive on hitting targets

ducky

  • Posts: 600
Re: Revenue Expectations? New
« Reply #11 on: March 26, 2008, 08:33:41 pm »
£340 was me and the lad i had working for us thats what the boss wants day in and day out no matter what we were doing.7 hours  8 till 3..some days we only did £300.i was on £11.50 an hour  the lad was on £55 a day? i dwas the driver did all the books and the collecting....
if it cleans we will clean it