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Karl Wheeler

  • Posts: 377
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #40 on: March 24, 2008, 02:40:13 pm »
Hi
I answer to your question i employ 4 staff working 16 hours each and 6 part-time staff working between 2 and 10 hours per week and of course there is myself. So in reality I am operating with probably 4 full-time staff. I hope this answers your questions about profitability.

Regards
Karl

groundhog

  • Posts: 1806
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #41 on: March 24, 2008, 02:45:53 pm »
Thanks Karl, that helps a lot! I can see a profit in it now!!!  :)

NWH

  • Posts: 16952
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #42 on: March 24, 2008, 06:24:51 pm »
Whether there working part time or full time you still have a lot of overheads when you add it all up,this is what makes you think when you weigh it all up.I would expect a fully experiened WC to do at least 50k a year for me working a 30-40 hour week at least on there own,with a kitted out van holiday pay and all the other insurances etc that go with it he`s got to be around that figure for it to be worth while.I don`t know how much you pay and what work you do but as you know employing costs you money as well as makes you money.

Karl Wheeler

  • Posts: 377
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #43 on: March 24, 2008, 06:29:12 pm »
Hi NWH
My staff are charged out at £20.00 p/h and i pay £8.00 p/h

Thanks
Karl

NWH

  • Posts: 16952
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #44 on: March 24, 2008, 06:49:24 pm »
Based on your figures it sounds like your making the same if not slightly more than your paying which is the figure i would base it on,if i`m paying out £10 in wages i would expect the same amount for me for doing nothing ie employing them and providing equipment van etc.I think people under estimate what you need to earn in order for it to be worth while.

Karl Wheeler

  • Posts: 377
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #45 on: March 24, 2008, 07:08:47 pm »
Hi
I agree i was given a great costing template which calculates all your staffing and overhead costs and profit margin you require when quoting for a job. If you get the job then you know all your overheads etc have been accounted for.

Regards
Karl

dave0123

  • Posts: 3553
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #46 on: March 25, 2008, 01:14:33 am »
Quote
Hi
I agree i was given a great costing template which calculates all your staffing and overhead costs and profit margin you require when quoting for a job. If you get the job then you know all your overheads etc have been accounted for.


Would you be able to send that to any of us including me :) im looking at taking someone on in the next 8 weeks this would help me out alot.
Dave.

groundhog

  • Posts: 1806
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #47 on: March 25, 2008, 09:39:48 am »
Hi
I answer to your question i employ 4 staff working 16 hours each and 6 part-time staff working between 2 and 10 hours per week and of course there is myself. So in reality I am operating with probably 4 full-time staff. I hope this answers your questions about profitability.

Regards
Karl

Hi Karl,

I am interested in your reasons for employing part time staff as opposed to full time, do you find that part time staff are more reliable, or is it easier to find staff to work part time?

 

bluez

  • Posts: 519
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #48 on: March 25, 2008, 09:48:25 am »
Groundhog,
I have found that it is necessary in service businesses to be able to scale up or down your capacity when your business demand it.

If I run a business that sell labour, which most of us do, at say 100 hours a week on average then I need two full timers and one part timer. But what happens when someone goes out sick or is on holidays or a client rings and says the want an extra done.

The right way to set your self up for 100 hours imo is 5/ 6 part-timer, they will all want more hours so that when you need them they are likely to say yes and if you lose one then no big deal get another one.

This means that you have a pool of available resources that can stretch or shrink as the circumstances require. Instead of you working for the staff they are working for you.

hi

geefree

  • Posts: 6180
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #49 on: March 25, 2008, 03:26:41 pm »
Hi Bluez.

Do you have any problems finding part-time window cleaners?

Cheers.

Gary

Karl Wheeler

  • Posts: 377
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #50 on: March 25, 2008, 04:03:59 pm »
Hi Groundhog
I guess i have been lucky with staff and have a network of mums who only want to work 16 hours per week.This gives them flexibility in the school holidays and i have adhoc cleaners who will cover for them if the kids are off sick etc. They are all friends and when i need another cleaner i just ask and they recommend to me another mum who is lookin to earn some money. Tap in to the school mum network its a great source  ;D

Regards
Karl

bluez

  • Posts: 519
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #51 on: March 25, 2008, 05:43:01 pm »
Cas- man

My response was theoretical based on the question posed which was not just window cleaning based but contract cleaning as well.

I do however practice what I preach to an extent. I have 3 full time window cleaners who do Commercial work mainly and then I have a pool of part timers about 8 at the moment and I find it fairly easy to replace when necessary. Some weeks they all work full time and some they only have a few days depending on what is on. I try to spread the work as fairly as possible.

I dont think it is any harder to get part time window cleaners than any other job. Hope that helps.
hi

groundhog

  • Posts: 1806
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #52 on: March 25, 2008, 06:13:28 pm »
Hi Groundhog
I guess i have been lucky with staff and have a network of mums who only want to work 16 hours per week.This gives them flexibility in the school holidays and i have adhoc cleaners who will cover for them if the kids are off sick etc. They are all friends and when i need another cleaner i just ask and they recommend to me another mum who is lookin to earn some money. Tap in to the school mum network its a great source  ;D

Regards
Karl

Great idea Karl, do these Mums clean windows or are they office cleaners? as most of the Mums I know are far too
posh to be seen cleaning windows!!!

You say that you charge your staff out at £20, is this for window cleaning, as to me it seems quite a low hourly rate!!

Karl Wheeler

  • Posts: 377
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #53 on: March 25, 2008, 06:17:18 pm »
Hi Groundhog
No these girls don't clean windows, but do EOT Cleaning, office cleaning, call centre cleaning, communal way cleaning etc.

Karl

groundhog

  • Posts: 1806
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #54 on: March 25, 2008, 06:24:33 pm »
Groundhog,
I have found that it is necessary in service businesses to be able to scale up or down your capacity when your business demand it.

If I run a business that sell labour, which most of us do, at say 100 hours a week on average then I need two full timers and one part timer. But what happens when someone goes out sick or is on holidays or a client rings and says the want an extra done.

The right way to set your self up for 100 hours imo is 5/ 6 part-timer, they will all want more hours so that when you need them they are likely to say yes and if you lose one then no big deal get another one.

This means that you have a pool of available resources that can stretch or shrink as the circumstances require. Instead of you working for the staff they are working for you.


Thanks for that bluez, I don't know why I hadn't thought about employing 2 or 3 part timers instead of a full timer before! I think this is were many have gone wrong who have had problems with employing staff in the past.

Skyglide

  • Posts: 198
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #55 on: March 25, 2008, 08:48:05 pm »
I totally agree with NWH.  We took on loads of work and our employee knocked in £44K. He was on 45%.Got rid because quality of work was up and down.  If he was at £50K we might have put up with it, but if you sit down and work out all the costs of employing £50K is a must in my opinion.
Chris

Wayne Thomas

Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #56 on: March 25, 2008, 10:07:42 pm »
I totally agree with NWH.  We took on loads of work and our employee knocked in £44K. He was on 45%.Got rid because quality of work was up and down.  If he was at £50K we might have put up with it, but if you sit down and work out all the costs of employing £50K is a must in my opinion.
Chris

Just out of curiosity, when you got rid of your employee, did he set up in business for himself afterwards?

geefree

  • Posts: 6180
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #57 on: March 25, 2008, 10:43:03 pm »
Hi all again..

sorry  i have changed my name back again,  ::)..

similar question to waynes really, but do any of you have your w/c s sign a contract , saying they cannot approach your customers, for 1.../...2 years etc....after leaving your company, or ever.

Cheers

gary.

NWH

  • Posts: 16952
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #58 on: March 25, 2008, 11:01:26 pm »
I totally agree with NWH.  We took on loads of work and our employee knocked in £44K. He was on 45%.Got rid because quality of work was up and down.  If he was at £50K we might have put up with it, but if you sit down and work out all the costs of employing £50K is a must in my opinion.
Chris

Just out of curiosity, when you got rid of your employee, did he set up in business for himself afterwards?
If you have a hard working sensible bit of brain about him window cleaner he`s gonna want £500 a week,take off all the other costs van- insurance-public liability-sick pay-holiday-extra nat ins-extra employers tax the list goes on, he will need to earn you at least what your paying him otherwise you might aswell be on your own.

nat

  • Posts: 993
Re: Business thinking guys.. do you Employ to build or build to employ.
« Reply #59 on: March 25, 2008, 11:07:41 pm »
I totally agree with NWH.  We took on loads of work and our employee knocked in £44K. He was on 45%.Got rid because quality of work was up and down.  If he was at £50K we might have put up with it, but if you sit down and work out all the costs of employing £50K is a must in my opinion.
Chris

Just out of curiosity, when you got rid of your employee, did he set up in business for himself afterwards?
If you have a hard working sensible bit of brain about him window cleaner he`s gonna want £500 a week,take off all the other costs van- insurance-public liability-sick pay-holiday-extra nat ins-extra employers tax the list goes on, he will need to earn you at least what your paying him otherwise you might aswell be on your own.

i would want 3 times that to cover his costs and deductions