Starting A Janitorial Business

Starting A Janitorial Business - Background Info:

A janitorial business lacks glamour and may seem "mundane", but it has proven to be a lucrative business for those who start the business with strong attitude and the will to work hard.

There is a good market for cleaning services, in both residential and commercial sectors. As the owner of a janitorial business, you'll be cleaning offices, businesses, schools, hospitals, stores, and more.

More and more businesses outsource these services, so the potential client base is quite large. As you grow, you can always add more employees and specialize in certain areas, like carpet, tile, or window cleaning or pest control.

A janitorial service is a well paying, steady business that involves mostly night work on a contract basis. You agree (contract) to perform certain scheduled actions and the client pays you on a monthly basis.

Normal services are sweeping, dusting, emptying ashtrays, pencil sharpeners and wastebaskets, refilling soap and paper dispensers and buffing and/or vacuuming the floors. Waxing might be done every third night; stripping once a month.

A beginner can start with ordinary household tools (and buy more as they are needed), plus some cleaning supplies. To start, find a small store or business that needs cleaning at night and offer your services. Do all the work yourself for a while. Learn first hand how long it takes to do each job, which techniques work best, and the type and amount of supplies that are needed.

If you love cleaning and keeping things spic n' span, an excellent home business you can start is a janitorial service business.

While maid services typically clean households, janitorial services clean commercial buildings such as businesses, hospitals, schools, retail stores, warehouses, manufacturing facilities and even parking lots. Your "normal business hours" will begin when the staff and workers in the commercial facility that you will be cleaning have finished their work and gone home.

Starting A Janitorial Business - Tasks And Skills Needed:Business

Specific Tasks:

If you are planning to do all the business tasks or hiring or subcontracting tasks, here's a list of tasks that need to be attended to when it comes to the business side of running a janitorial business:

Computer literacy

Answering machine/good customer service skills

You must know how to schedule, allowing for time to get to the site plus the cleaning work.

You must be good with managing money and cash flow

You must deal with cleaning solution and equipment suppliers

You must make sure everything is done in lawful and ethical manner

You must know how to properly market and promote your office cleaning business

Industry Specific Tasks:

Same as above if you plan to do everything yourself or get help, here are some of the tasks necessary to operate a janitorial business:

Ability to do physically hard work

Ability to stand for long periods of time

Knowledge of cleaning solutions and what to use on particular surfaces

Ability to work equipment like floor waxing machines if necessary

Dispose of garbage and other waste lawfully

You must make sure you have all necessary supplies (inventory)

You must be able to sometimes lift heavy items

Ability to handle supplies and equipment

Ability and know-how to bid on jobs

Starting A Janitorial Business - Approximate Daily Hours Needed:

General Hours of Operation: - When your business is open - These services are normally performed at night when the business is closed, which gives the janitorial crew a time span of 12 to 14 hours. If the jobs are relatively small, one crew might do several businesses a night.
Hours Needed to Prepare - Before Opening and After Hours Activities - Plan to spend about an hour to load equipment and get to your destination. At the end of the day, plan on closer to two hours to clean and store equipment and chemicals properly.

Number of Employees Needed To Run This Business:

Minimum Number of Employees -During the Start Up Phase: You can start this business yourself on a full-time basis.

Number of Employees - Once Your Business is Up and Running Successfully:

Website maintenance

Record/Bookkeeping

General office

Customer Service

Crew

Lawful debris/garbage disposal

Inventory supply

Skill Requirements for This Business:

Commercial/office cleaning

Carpet cleaning

Drapery, window, shade cleaning

Calculate estimates

How to make natural cleaning solutions

Ecological knowledge, reducing waste

How to use the proper products to match the chores

Licenses:

Different states have different requirements when it comes to business licenses. Contact your state or county office to check on the proper licensing. Also, consider getting both insured and bonded. Being bonded is one of the measures that will help clients feel more at ease - it guarantees payment for or replacement of items that are accidentally or intentionally damaged by you or your employees.

Though each state/province city and town have different laws, you must contact your local office to get the proper permits to operate a residential cleaning business. It is also recommended that you are bonded and have liability insurance coverage.

Like any other business, there are various steps to starting a business. You need to decide and register your business name. Get the appropriate business registrations and licenses by visiting your local county or city hall and inquiring on their requirements for starting a business. If you intend to work from home, you need to consult the zoning guidelines governing your residential area to check whether starting this business from home is allowed.

When hiring help, you will probably need to bond them (as well as yourself. Many businesses will not deal with janitorial companies unless they are bonded, because they have access (often, a set of keys) to their buildings and offices when no one else is there.

A bonding service also helps protect you: if there is a question, the bonding agent arbitrates. Since most of the work is done after normal working hours, it is not difficult to find helpers. Many students and day workers are happy to "moonlight" to make a few extra dollars.

To make your business legitimate, you will also need an LLC business license and tax i. d. number.

Approximate Minimum Start up Cost:

Bare essential: - Starting a janitorial business doesn't have to be an expensive undertaking. You can get started for about $5,000, if you already have a vehicle.

Minimal exposure - There are several ways to advertise for free. you'll need to buy basic supplies to get you started, as well as things like business cards, fliers, ads, and more. To get started with heavy-duty equipment may mean that you have to spend upwards of $40,000. If you are on the lower starting end, you can always build as you go.

Necessary Equipment to Run this Business:

Necessary Start-Up Equipment & Supplies:

Computer

Printer

Cell phone

Website

Brooms, dustpans

Mops, buckets

Cleaning rags or paper towels

Vacuums

Cleaning solutions

Rubber gloves

Scrub brushes

Floor buffer

Carpet shampooer

Supplementary Equipment: - Equipment or helpful products that you can acquire to once your business is off and running:

Uniforms: modern, with pockets and company logo, hats, shirts, overalls, etc.

Dedicated van(s) or truck(s)

Steam cleaners for different types of floors

Filing cabinet

Printer

Fax

Bid software

Warehouse or other storage for equipment and supplies

Dumpsters

Dispatch units and service

Monthly Expenses To Consider:

Wages
Phone/cell phone
Internet access
Permits
Electricity
Water
Water
Rent
Phone (some prefer a toll-free number for business-only)
Internet access
Business insurance
Advertising, including website design and hosting
Vehicle insurance
Gasoline/fuel
Cleaning products and disposable gloves and paper towels
Professional Fees - accountant or bookkeeper

Special Requirements and Considerations For This Business:

Find out all you can about the trends in the industry. Know your competition, in particular, their strengths and weaknesses. This will help you identify your competitive advantage. In other words, this will help you figure out what you can give your customers that they're not getting from the other businesses. And keep from emulating the competition's strategy. Instead, make the most of your own advantage points.
You may decide to obtain additional certification in proper disposal of garbage and use of chemicals.
Keep in touch with your clients. Give them many opportunities to rate and comment on your services. This will help you discover the services that clients value and you can adjust your service packages accordingly – flexibility and adaptability are key when learning how to start a janitorial business.
On your first few jobs, take notes of the workload and time it takes for each operation, so you will know what to consider when bidding on future jobs, and how long it should take your helpers.
Most janitorial contractors have checklists that they use when walking through the job with the prospective client, so they can find out (and record exactly what is wanted -- and bid accordingly. The objective is to bid the amount that will satisfy both you as a business person and the client.
Before making your final bid, check the outside of the building to see if there are additional chores that could or should be included, such as sweeping a parking lot, straightening the trash bin or washing the outside windows. Also check the general appearance (which will tell you the quality of work they expect), and see if there is someone that may be hard to please.
You'll also need to be in good shape because janitorial cleaning is physical work. Keep in mind working indoors and outdoors, you're exposed to dust, noise, pests, weather, etc.
When you are just starting, it is a good idea to tell the client that you are learning, that you want to do a professional job, and that you might have to adjust your rates when you learn how much work and supplies are required. Be sure to ask them to advise you of anything they think you can do better -- and thank them when they do.
A beginner can start with ordinary household tools (and buy more as they are needed), plus some cleaning supplies. To start, find a small store or business that needs cleaning at night and offer your services. Do all the work yourself for a while. Learn first hand how long it takes to do each job, which techniques work best, and the type and amount of supplies that are needed.
If operating from home is not an option, choose a location that allows your customers to easily visit you. Rent or lease a space with adequate parking space and with enough space to allow you to efficiently and safely store your equipment and supplies. Your office need not be extravagant or lavishly furnished; the main consideration should be to have a space that will allow you to operate your business cost-effectively. You may also want to think about the potential of your office space to accommodate a growing business.
If you plan to start small, consider the following factors:
- Start small and keep things as simple as possible.
- Know your limits (what services you want to offer), and how you will go about getting and keeping accounts.
- Understand the requirements and capital necessary to succeed in the industry, and be prepared to expand your business with more expensive equipment as the need arises.
- You must have working capital to give yourself a realistic chance at surviving in this industry.

Pros And Cons of Opening A Janitorial Business:

The Pros of Running a Janitorial Business:

Good market for services

A wide range of facilities that need janitorial services

Good pay

Not dominated by one big company - small janitorial business have every chance to succeed

You can work in solitude

You set your daily, weekly, and monthly work schedule

You can offer additional services such as before- and after-party clean-up

One of the lowest-cost businesses to start

Supplies and mileage are tax deductible

This business is completely expandable.

The Cons of Running a Janitorial Business:

Long hours

May have to work weekends, night hours

Work may be monotonous

Physical exertion

High turnover rate for employees

Clients can hover over you as you work

You need to have a good customer base or you'll find yourself broke

You can be held liable for stolen or broken items (hence being bonded and insured).

Wear and tear on your vehicle and tires

Some types of garbage might be hard to deal with: toilets, refrigerators, food that's been left out for a long time, urine and other excrements that cause stains.

Type of Customers You Need to Attract:

Banks and schools are great customers. An abundance of customers exist in this business such as apartment buildings, restaurants, corporate buildings, etc.

The cleaning industry consists of approximately 17,000 commercial cleaning franchises but there is plenty of room for your company. Before considering how to start a janitorial business, survey your market.

How many cleaning services are there and what size are they?

How many businesses or potential customers are in your target area?

What business types are being undeserved?

Janitorial Business Statistics:

Because the janitorial business varies according to different niches and parts of the country, see Valuation Resources for current statistics, trends and outlooks.

This business has shown remarkable growth in the last few years. It has benefited from corporate downsizing and increased reliance of businesses to outsource cleaning services. Contracting private firms to perform this service has also become the best option for many businesses given the high turnover rate of employees in this business. After all, it may not be easy to find a person who thinks that pushing a broom for the rest of his or her life is the best career of all.

According to the Building Service Contractors Association International (BSCAI) http://www.bscai.org, the business of cleaning and maintaining America's office buildings, retail, commercial, industrial, educational, and healthcare facilities is huge business, and is estimated at $94.5 billion in 2003. Using data from Market data Enterprises, it is estimated that the cleaning industry will be worth approximately $128 billion by 2008 with an average annual growth rate of 7%.

BSCAI provides below other characteristics of this growing industry:

No companies truly dominate the industry. Rather, it is populated by more than 56,000 cleaning contractors, mostly small "mom and pop" operations. This figure includes roughly 16,800 commercial cleaning franchises and 2,100 residential cleaning franchises.

In 2002, non-employer establishments – small sole proprietorships without payroll or employees – according the US Census Bureau and the IRS, number approximately 427,553 and represent receipts of over $5.9 billion.

This is a "low tech" business characterized by ease of entry. Competition is intense, holding down contract prices and, ultimately, profitability. However, the industry receipts have grown 6-11 percent annually since 1994. Cleaning worker wages are low, contributing to high turnover.

Revenue:

According to the book "101 Best Businesses to Start", first year potential earnings for this business can be $40,000. Break even time in the business can be rapid, and you may be able to achieve profitability within three to six months of operations.

The U.S. Census Bureau has up-to-date revenue for various service industries and specific home-based janitorial statistics as well.

Janitorial Business Resources:

Industry-Specific Websites:

Cleaning-Tips

Valuation Services: Janitorial and Cleaning Service Websites

IbisWorld

Courses:

Jump Into Janitorial

Equipment and Supplies:

Clean Freak

Janitorial Supplies Co., Inc.
Monster Janitorial

Forums:

Global Cleaning Association
Janitorial Cleaning Business

Franchises:

Franchise Gator

Associations:

International Janitorial Cleaning Services Association

Global Cleaning Association

Books:

Start Your Own Janitorial Service

Inside the Janitorial Business: How to Start from Scratch and Succeed in Professional Cleaning

The Janitorial Store

Comprehensive Janitorial Guides

Software:

Software Systems

BookFresh

Businesses To Related to a Janitorial Business:

Party planning
Catering
Party setup and take down
Write and sell ebooks on cleaning and janitorial techniques
Making your own natural cleaning solutions
Carpet cleaning
Steam cleaning