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Friday, October 24, 2014

Question

What is the difference between starting a cleaning business on your own and starting with a franchise? Which is better, money wise and educationally? I have a year’s experience and my wife has 12.


Answer

Normally franchises that do not procure accounts for you, charge a low monthly royalty (often below 10%). They can be high-profile companies that generate leads with ongoing TV advertising.

Franchises that secure accounts and resell them to you, typically charge three times the monthly gross for the acquisition fee. And, their monthly royalty can run 20%-30% on top of that.

The problem with allowing someone else to bid the accounts for you is that you could purchase an account and then end up earning minimum wage for all of your hard work. So, if you do sign up with a franchise, make sure you purchase janitorial bidding software to determine in advance if the account is under-bid.

Even though the franchise brokers may take a majority of your profit, they do offer the service of procuring accounts for you. If you lack marketing skills, business skills, or have a challenge with the English language, then a franchise broker could be an option. You can always Google “litigation” followed by the franchise’s name to discover if they are experiencing integrity problems.

Most contractors who invest in a cleaning contractor training program and secure their own contracts, immensely enjoy keeping 100% of the revenues. With this scenario, you answer to no one except the customer. To obtain training on starting your own business, Google “cleaning contractor training programs”. These programs can help you with the marketing, bidding, and management.

Gary Clipperton
National Pro Clean Corp.
(719) 598-5112
www.nationalproclean.com