Starting a Janitorial Business: How to Set Your Prices

When starting a janitorial business, you need to be careful about how you set your prices. Price your services too low, and you will not make the money you deserve. Price them too high, and the competition will pass you by.

Labor and Materials

When setting your prices, you should consider labor and materials above all else. How many employees will you need to complete each job? Along with this, you must know the cost of the supplies that you and your workers will use.

Overhead

There are some janitorial supplies that you can buy as you go along, as well as others that you must keep on hand at all times. The lower your overhead, the more you will earn in profits.

Residential or Commercial?

Before you get started, you must determine if your business will focus on residential or commercial properties or both. Generally speaking, you will charge less for homes because they are smaller areas and do not need the same level of attention due to the way in which the property is used.

Operating Costs

Your operating costs will vary from month to month but will always be in effect to a certain degree. These expenses include driving time, gasoline, advertising and employee payments.

When starting a janitorial business, consider these details as you set your prices.