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Roy Harding

  • Posts: 1987
How much do you expect each year to increase
« on: November 01, 2013, 07:52:05 am »
At the end of next month I finish my financial year. What percent increase do you find you are getting each year?
This is for those established a few years.

Through natural growth with out canvasing, we have grown 25%

Roy

dazmond

  • Posts: 24483
Re: How much do you expect each year to increase
« Reply #1 on: November 01, 2013, 08:00:02 am »
im happy to earn an extra 3 or 4 grand a year year on year.its been working for me for the last 4 years.no canvassing and very little leafleting.

mind you my round was not in very good shape 5 years ago and i nearly jacked it all in!!glad i didnt though!
price higher/work harder!

Carl2009

  • Posts: 806
Re: How much do you expect each year to increase
« Reply #2 on: November 01, 2013, 11:46:43 am »
I'm at the point where i'm happy where I am, so am perhaps not the best person to comment, but will take a risk.

I started in 2009 and set out to achieve a full round as soon as possible. I was 70% there by the start of Year 2 and would have been there within a couple of months of Year 3 except I broke my thumb and had to take 7 weeks off. I've been as full as I want to be since, but I stress I'm not the usual window cleaner - I've no rent or mortgage and no kids and have no desire to build an empire. Business-wise this is what I suggest any WC at least considers as it will in my opinion grow you business organically:

1. It's profit that matters, not revenue. You need to maximise profit however you can do it.
2. I raise prices every 2 years; a failure to do so will see your income eroded twice - once for your business expenses and then again when you spend whatever profit you make on day to day living. I raised prices on average 7.5% each time I've done it - last time this year. Next rise will be in 2015 all being well.
3. I price so I can take days off when its wet without worrying. See my post here: http://www.cleanitup.co.uk/smf/index.php?topic=176256.msg1489911#msg1489911
4. I also price on the high side, but I am totally professional and don't let people down, do a great job, every time, am happy and smiley and - importantly for my business model - unusually flexible. See 5.
5. I am flexible with my custies, allowing what I think are reasonable reasons not to clean - builders coming, am going on holiday etc. "It's going to rain" is NOT a reasonable reason, but see 3. I also allow some of the customers I know are regular as clockwork in the summer to break for the winter. There's less hours for work and given my location I get a hell of a lot of heavy rain and snow. Winds where I live regularly gust at 80mph with rain to match, so having a few less custies to worry about in winter is fine - especially as I price them accordingly  ;)
6. I do a 5 year cash flow to analyse costs in advance - no surprises.
7. I never skimp on buying new equipment / spares - that way you are rarely down to equipment failures. However I don't buy equipment I don't need - whatever I buy has to earn its keep.
8. Get a good accountant.
9. Get good round management software and always aim to be as efficient as possible.
10. Do your books nightly.
11. Pursue all bad debts where it is efficient to do so - if you don't it has actually COST you money to do the clean that you are not getting paid for. Don't stress about it though (though I don't take my own advice here).
12. Analyse what the profitable elements of your business are and grow those. If it's domestic interiors - do em. Same if it's commercial work - target it and do it. You can only do this by analysing what you are doing.
13. Look at what people on here say, enjoy it and only believe a quarter of what you read. You'll soon see posts from the people who know what they are doing. When you do, ask their advice in a PM.
14. You can canvass any other windies' "patch", but only quote if the custie you approach is genuinely unhappy with the service they are getting - don't deliberately target someone else's work. Be friendly to all other windies you meet. You'll get more business by doing so.
15. Look and dress professionally.
16. Keep your vehicle clean, inside and out. Maintain your vehicle and your gear.
17. Say good morning to everyone who passes you.
18. Get your van professionally sign written.
19. Be prepared to work your so-called days off. Difficult if you are a family man though.
20. Decide what income you want and plan just what steps you need to take to get there. Mostly it's a case of canvassing, correct pricing and hard work.

There's probably more, but doing all this will, in my opinion, get you to where you want to be faster than anything else, and when you are full it's just a case or maintaining it, unless you want to franchise or employ which a whole different ball game I know little about.

Good luck.

Ian_Giles

  • Posts: 2997
Re: How much do you expect each year to increase
« Reply #3 on: November 01, 2013, 02:53:35 pm »
Wow Carl  :o
That is an absolutely top bit of posting and I for one cannot find fault with any part of what you had to say....which is really annoying  >:( as it's way more fun picking holes holes in a post than finding no option but to agree with it!  :-\

Having said that, half of your admirable advice I never follow....but that's just one of many character flaws I have to deal with....sigh   8)

Hiya Roy, my apologies by the way for not replying to an email you sent a couple of months ago (er, or it might have been even longer)
Roy is another of the window cleaners I know of in person who I take my hat off to in admiration, we both became window cleaners around about the same time some 29/30 years ago and has the kind of round - all built up from his own hard work I might add- that most on here would give their right arm for.

A 25% increase then Roy? Phew!
I wish I could say them...alas I cannot, I may know an awful lot about this job but I'm guilty - as many other well established window cleaners no doubt are - of having some prices that have not changed for several years  :o and let's face it, if you do not put up prices and you are a one man band with a full round...well, you may grow your business in regards that the number of jobs you have increase and it may take you 6 weeks instead of 4 to get all this extra work done, the net result however is no increase in turnover...ok, you may put in more and more hours and no doubt over time you will have dropped duff accounts, picked up better priced work or simply got faster and more efficient with your existing work...which pretty much describes me to a tee (almost).

I think that if you take out increases in your own efficiency and not take into account any increase in the number of jobs you may have or extra hours you may work to get your work done bang on schedule, then even a modest net increase in turnover of as little as 5% is acceptable, especially if it year on year.

The more of the boxes you can tick off in Carl's business model the better you are going to do and hats off to you guys that have the drive and the determination to do so...
Ian. ISM CLEANING SERVICES

Roy Harding

  • Posts: 1987
Re: How much do you expect each year to increase
« Reply #4 on: November 01, 2013, 03:38:13 pm »
What a great post Carl.

There is only one thing on your list that I feel that I could address. And that is regular price increase every 2yrs.
As a lot of my work is 8wkly and 12wkly, so you only clean 6 or 4 times a year, hence I feel I cannot do it annually, so tend to let it run for a few years.

Ian glad to see you back posting, as for the email only checking how things were going.
We have a second van going as my son is now helping. However we are now at a crossroads, as working is pouring in £10,000 annually in four weeks. And had to refuse the Royal of Dean collage as we don't have the man hours to do it.
it.

Do we employ?
Do we Sub?
Do we franchise?
Do we take more on and sell some?

Roy   

Carl2009

  • Posts: 806
Re: How much do you expect each year to increase
« Reply #5 on: November 01, 2013, 04:38:54 pm »
Cheers lads. This is just that which works for me - everyone's business is different.

Roy, if you have that much work coming in and your VAT position is taken care of then i'd be tempted to employ, as long as you know what the hassles are. If not, my second choice would be to franchise it - Ian Lancaster knows a bit about this.

Could Tosh take on the College? Aren't you neighbours as it were?

G.W.C

  • Posts: 185
Re: How much do you expect each year to increase
« Reply #6 on: November 01, 2013, 04:52:13 pm »
I'm gona have a real push next year aiming to add another 500 customers on. canvassed 300 this year by june and took my foot of the gas (wish I never) so im confident I can do 500 next year

deeege

  • Posts: 5115
Re: How much do you expect each year to increase
« Reply #7 on: November 01, 2013, 04:57:48 pm »
I tried following your advice Carl, but I got some funny looks at 4pm this afternoon when trying to follow number 17 (say good morning to everyone you see) :)

Good post though!
"....and it's lend me ten pounds, I'll buy you a drink, and mother wake me early in the morning."

Carl2009

  • Posts: 806
Re: How much do you expect each year to increase
« Reply #8 on: November 01, 2013, 05:01:29 pm »
I tried following your advice Carl, but I got some funny looks at 4pm this afternoon when trying to follow number 17 (say good morning to everyone you see) :)

Good post though!

Nice one!

Ian_Giles

  • Posts: 2997
Re: How much do you expect each year to increase
« Reply #9 on: November 01, 2013, 05:24:00 pm »

Could Tosh take on the College? Aren't you neighbours as it were?

Sod Tosh! Besides I'm closer (by about half a mile!) and I could do with more work! (Before anyone wonders, health issues ended with me giving up on a lot of work)

Seriously though, employing is no easy thing but at least you have worked priced in such a way that you could employ if you so wished.
That's another reason why pricing cheap will mean those who do so will never be more than a one man band as their work just won't generate enough wonga to be able to be in a position to employ somebody.

Subbing work out can work too and means you don't have to worry about paying their tax, national insurance, equipping them with a vehicle, equipment, associated insurances and have to put up with a good 3 months of training - is they are newbies - and so on before they are able to be trusted to do a consistently good job to whatever standard and speed they need to work at for it to be profitable...

Can't comment on franchising as I know sod all about it  :-\

Selling work is always an option but once it's gone it's gone....

Ah the headaches of being successful....
Ian. ISM CLEANING SERVICES

dannymack

  • Posts: 1624
Re: How much do you expect each year to increase
« Reply #10 on: November 01, 2013, 05:57:24 pm »
Never really look into it, as long as all wages are paid, mortgage and everything else gets paid and have money left in account each month I'm happy 😀