[blacksheep]

i have to put in a quote for the 3 buildings separate plus one overall for the 3 . they also want one for the deep clean, the first i can do but the deep clean how do you guys go about pricing that please

[blacksheep]

the client wants the walls in all buildings washed, there magnoila matt . i thought a good dust , if i wash these walls there going to look worse marks every where any thoughts. i have had a look on search for price will charge £25 per room

[CMS]

As I've said before, I can't comment on the timings as I've not seen the job. But I've just put the 25 hours per week into my cost calculator and I would be charging almost £14,000 per annum.

It would give me a budget of £1811.00 for equipment (spread over three years) but this also includes repairs and replacements.

With regards to the initial clean - if the client is 'almost there' and about to sign I sometimes offer the initial clean for free just to swing it.

Otherwise, as a general rule of thumb, I normally find that an initial clean (a really good one) works out at about 1 months billing.

What I've done in the past is put in a high price for the initial clean but offer to waive the charge if you get the contract.

Have you ever put in a low price for a deep clean and then had that accepted but not the contract? I have - got my fingers seriously burnt. I had to do it.

[blacksheep]

i worked mine out as equipment £984.53 no vacs using theirs wages £7800 profit £10 per building per week comes to£10,344.53

[CMS]

You can't do that! Your wage bill is £160 per week. How can you have a gross profit of only £30 per week?

It's up to you, of course but your wages are running at 80% of the charge. To be profitable they need to be about 57% of the charge, certainly no more than 65% if it's a big contract.

80% on a contract of this size is commercial suicide.

You'll win the contract of course but you'll never be able to service it at that price. Not properly anyway.

[garyj]

Its said often on the carpet cleaning site to charge what you are worth, Barbara has  :

[CMS]

Barbara?

[CMS]

"It is unwise to pay too much, but it is worse to pay too little. When you pay too much, you lose a little money that is all. When you pay too little, you sometimes lose everything, because the thing that you bought was incapable of doing the thing it was bought to do. The common law of business balance prohibits paying a little and getting a lot - it cannot be done. If you deal with the lowest bidder it is well to add something for the risk you run. If you do that, you will have enough money to pay for something better"..........John Ruskin 1819 - 1900

[garyj]

Barbara Blacksheep  :

[CMS]

Ah! I see. Thanks 

[garyj]

There is sense in the way she has worked it out, it still brings in a profit of £130 per month and more if she does some cleaning too.

[CMS]

You can't do that! Your wage bill is £160 per week. How can you have a gross profit of only £30 per week?

It's up to you, of course but your wages are running at 80% of the charge. To be profitable they need to be about 57% of the charge, certainly no more than 65% if it's a big contract.

80% on a contract of this size is commercial suicide.

You'll win the contract of course but you'll never be able to service it at that price. Not properly anyway.

Look at it this way............

Suppose the Client takes 6 weeks to pay their first bill by this time you have run up about £2000 incosts (wages and equipment). It will take you 70 weeks to get that back @ £30 a week profit.

[CMS]

Well, if you insist..........I'll say no more but I'd like to see what some of the other experienced Contractors think of wages @ 80%.

I'll wait and see.......................Martin? Timbob?

[garyj]

Shame someone hadn't taken the bother to create a cost type calculator to help her. Wonder if something like that would work.

[CMS]

Lol @ Garyj

[blacksheep]

right i made a mistake you lot ,dont milk it :

[garyj]

Are you goin to use a ganger for the illegal Eastern European workforce, don't forget to cost that in. Add another £1.00 per week per building, that should do it.