START & RUN A HOME CLEANING BUSINESS

HCPrelim.qxd8/10/20063:31 PMPage iSTART AND RUN AHOME CLEANING BUSINESSSusan BewseySelf-Counsel Press(a division of)International Self-Counsel Press Ltd.CanadaUSA

TOC.qxd8/10/20063:32 PMPage vCONTENTS1234INTRODUCTIONSHINING IN THE SPOTLIGHT1. Before you get started2. Is this the business for you?3. Filling in the vacuum4. You’re on your waySWEEPING THE NATION: GETTING STARTED1. Targeting your market1.1 Assess your market potential1.2 Identify your customers2. Assessing the competition3. Legal requirements3.1 Zoning3.2 Insurance3.3 Licenses3.4 Business taxes4. Choosing a business name5. Choosing a business structure5.1 Sole proprietorship5.2 Partnership5.3 Corporation6. Professional services: your lawyer and your accountant7. Purchasing an existing business or franchise?8. Leasing versus purchasingSETTING GOALS AND FINANCING1. Your mission statement2. Forecasting your needs2.1 Analyzing your costs2.2 Your cash flow projection2.3 Calculating your break-even point3. How much should you charge?4. Keep your forecast up-to-date5. Raising the money6. Your business 1818191920POLISHING YOUR TECHNIQUE: GETTING ORGANIZED1. Knowing your business1.1 A little clean fun1.2 What you’ll need on the job2. Organizing your headquarters2828282931v

TOC.qxd8/10/20063:32 PMPage vi2.1 The home office2.2 Locating away from home2.3 Arranging your office2.4 Site security2.5 Vehicle2.6 Telephone and answering machine3. Organizing your banking and business records3.1 Your billing/payroll system3.2 Your bank statement3.3 Your B/F (bring forward) system4. Working with suppliers4.1 Making contact4.2 Getting the best price313131313132333333343434345MARKETING1. Visibility: Let people know you are here2. Creating your image3. Advertising strategy4. Yellow pages5. Promoting your business at trade shows6. Direct-mail marketing7. Cross promotions8. Timing9. Gain maximum interest10. Using color in your promotional materials36363637373740404041426RAGS TO RICHES: PRICING YOUR WORK1. Your goals2. Estimating and quoting techniques3. Markup procedure4. Tenders and bidding on contracts5. Save money for your client; save time for you6. Quoting basics6.1 Always visit the premises6.2 Have information ready for the client6.3 Always visit the client in person7. Forms of paymentGOING SOLO1. Do you want to go solo?2. Research, research, research2.1 Know yourself!3. Strategic planning434343454546464646464754545555557vi

TOC.qxd8/10/20063:32 PM3.13.23.33.43.53.63.7Page viiMarketing plan: What advertising will you need to do?Production Plan: What tools of the trade will you need to be ready to “spring” into action?Cash/Profit PlanFinancial Plan: How much money do you want to make?Time Plan: What amount of time are you going to use to generate income?Human Resources Plan: What will you do if you get sick or injured?Succession Plan: What to do when it’s time to leave the business?565658596061618GOING INTO LABOR: YOUR HIRING AND STAFFING NEEDS1. Your goals for hiring2. Analyze your staffing needs2.1 Who is your ideal worker?2.2 Attracting your staff3. Break down what the employee must do4. Interviewing4.1 Where4.2 The application form4.3 What you need to know4.4 Designing your interview questions4.5 The interview5. The trial period6. Uniforms7. Legal requirements7.1 Know what’s required7.2 Notify the tax department7.3 Other requirements7.4 Additional steps to take8. Benefits and incentives9. Termination of AINING1. Fundamentals2. Setting up a training facility3. Meeting company standards3.1 Encourage employees to learn by doing3.2 Try to keep it simple4. Tips for the trainer4.1 Tell or describe the task in detail4.2 Show or demonstrate how the task is done4.3 Have each employee try the task4.4 Observe the trainee’s performance4.5 Praise the employee or offer redirection5. Incentives80808082828283858585858586vii

TOC.qxd8/10/20063:32 PMPage viii6. Scheduling6.1 Balancing different needs7. Injury and first aid8. Breakage10 CLIENTS AND HOW TO KEEP THEM1. Meeting with the client1.1 Appearance and grooming1.2 Turn on the charm2. Good clients and bad clients3. Saying goodbye or withdrawing services from a client4. New clients: when to say no5. Special concerns5.1 Children5.3 Tradespeople5.4 Damages5.5 Valuables5.6 Breakage5.7 Running out of product5.8 Inadequate client equipment6. Security7. Special services7.1 One-time or seasonal jobs7.2 Assisting personal domestics7.3 Pet 98989811 THE DAILY RUN1. How it all comes together2. Keep your staff up-to-date3. Handling complaints10110110210312 CLEANING “FUN”DAMENTALS1. Cleaning tips2. Time-saving cleaning tips3. Tips for home cleaning teams4. Tips for window washing5. Tips for wall washing6. Tips for cleaning new building projects7. Tips for cleaning offices8. Know your products9. Inventory control9.1 JIT inventory9.2 Labeling your bottles10. Product safety105105107108110110110111111113113113114viii

TOC.qxd8/10/20063:32 PMPage ix13 QUALITY CONTROL1. Make one staff member responsible for each job2. Adjust work and team schedules3. Your collections policy4. Client problems5. Employee theft6. Be available for clients11511511511911911912014 YOU’RE ON YOUR WAY121CHECKLISTS123Pricing: ResidentialPricing: CommercialFinal walk-through4952116WORKSHEETS1234567Determine your goals and needsCharacteristics of successWhat type of service should I offer?Your competitionMy goals for my businessSteps to achieve my goalsTiming your cleaning tasks35610212230ix

TOC.qxd8/10/20063:32 PMPage 627xStart-up costsCash flow forecastReceipts and disbursements journalYour advertising messageTrade show contest ballotInvoiceBulletin board advertisement for employeesJob descriptionEmployee application formSuggestions for interview questionsSuggestions for troubleshooting sessionsEmployment agreementTermination letterTraining agenda and memoThe lighter side of trainingTraining program guidelineTraining certificateAvailability listCalendar/scheduleIntroductory letter to clientsPet-watch estimate and waiverDaily run sheetClient record systemClean your way from top to bottomOffice floor planQuality control cardQuality control 2104106112117118

Chap01.qxd8/10/20063:33 PMPage 1CHAPTER 1SHINING IN THE SPOTLIGHT1. BEFORE YOU GET STARTED I just got fired.Starting a home cleaning business is an attractive idea,but before you plunge ahead, consider carefullywhether you have the proper skills and attitude. Beingyour own boss and setting your own hours sounds fun,but the reality is that when things go wrong, you are responsible for putting things right. I need more personal achievement.The early stages of a business venture always require long hours from the boss. Depending on your financial goals for your business, other personal goalsmay never be realized because you may have to commitso much time to running the business. I just want to work alone.To find out if you have the right attitude, examineyour reasons for wanting to get into business foryourself.I want to start a home cleaning business because: I just want to make money. I need to have more time with my family. I hate my boss. I just think it would be fun. I need a more fulfilling lifestyle. I need a challenge. I believe I can provide excellent service. I need to control as much of my life as possible. I believe I can better use my skills on my own.If you picked reasons that started with “I just,” youare headed in the wrong direction. However, if youwere attracted to reasons that started with “I believe”and “I need,” you are on the right track.These are the reasons to get into this business: tochallenge yourself, to provide the best service, to improve your personal and working life. If you start out1

Chap01.qxd8/10/20063:33 PMPage 2thinking negatively, you won’t have the proper motivation to make things happen. Be realistic and do itbecause it’s what you want to do.that can support a home cleaning business. Is there anycompetition? For more about assessing market possibilities, see chapter 5 on marketing.In Worksheet 1, write down your wants and needsfor starting your business. It’s okay to have “wants”;they are the fuel that sustains you on your journey.Have you got what it takes to get your cleaning business up and running? Worksheet 2 will help you decide.3. FILLING IN THE VACUUM2. IS THIS THE BUSINESS FOR YOU?You don’t have to love housework and cleaning to startup in this business, but if you do, that’s an added bonus.What you do need are top-notch cleaning skills and thewill to do the job well. The ability to be an efficient organizer is also a plus. You don’t have to be a “neatfreak,” but you do have to have the energy and the desireto make order out of other people’s chaos. It’s a hardjob, but it is one that people appreciate and will pay for.If you’re going to be successful at providing acleaning service for people’s homes, you’ve got to beable to deal with your clients. This is a demanding service that depends on repeat customers. If your customers don’t like what you do, they’ll let you know. Ifyou can’t provide what they want, they will go elsewhere. Sometimes, wearing more than one hat in abusiness is extremely difficult, especially when you’restarting out. Can you be the person who cleans and theperson who handles customers’ complaints and concerns, as well as the person who follows up and makessure the bills get paid?Being your own boss is great, but your cleaningskills and experience only get you so far. If you’re reallydetermined to go ahead, consider getting further training to help beef up your entrepreneurial side, or find apartner who can handle the customer-relations side ofthings. Community colleges and small business centersoften have courses and seminars on customer serviceand bookkeeping.Starting a home cleaning business requires an investment of both your time and your money. You’ll needto assess the potential market, purchase equipment,and advertise. Consider whether your location is one2 Start & run a home cleaning businessCleaning services come in all sizes: there are independents, agencies, franchises, and corporations. There arethose who dabble and those who devote their lives tothis market.How far you want to go in this industry depends onyour ambition. Remember, demand is high due to overworked, dual-income couples, homes being built, andan aging population in search of less work and moreleisure time. American figures compiled in 1991 indicate there are over 102 million homes and 476,349cleaning services registered with the census bureau.For Canada, there were over ten million dwellings and6,312 cleaning services. Not included in these figuresare the countless people in hotels and motels performing cleaning functions. Also missing from the above figures is the underground economy servicing homes andoffices throughout North America.Many services are included in the home-carecleaning industry and new ones are added all the time.The following is a general list of services offered: General house cleaning Spring cleaning Window cleaning Blind cleaning Chimney cleaning Wall and ceiling washing Post-disaster cleaning (fires, floods) Post-construction cleaning Post- and pre-party preparation House watch Pet watch

Chap01.qxd8/10/20063:33 PMPage 3WORKSHEET 1DETERMINE YOUR GOALS AND NEEDSShining in the spotlight3