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Wednesday, October 22, 2014

Question

I have been asked to submit a contract proposal to provide training for industry based commercial cleaning/small business management for approximately 20 persons. I have 4 yrs experience as a licensed instructor. What would be the best route to approach this issue? Based on what I currently know and have researched, the business aspect could be based on local colleges fees (I studied management in college); as for the commercial cleaning aspect, would I price per hour/student or use another method?


Answer

Many of the instructors in the industry use a fee per student method, such as $475 per person for a two day course. Of course, it could be higher, $1295 for three or four days, or it could be lower to attract folks with lesser means. Even at $245 per, 20 students would give you $4900 for a dayís program.
Charge whatever you need to cover your expenses and make a decent return on your time without pricing yourself out of the market you are seeking to attract. The fact that you have a solid amount of training and experience will make your offering attractive to anyone needing the course, but be aware that start-ups in most business usually donít have a lot of free cash.
Of course, a lot depends on your arrangement with the folks who asked for the proposal. Do they need money for the use of the facility, registration management, and advertising? If so, your fee per person will be added to their investment costs and the total cost may escalate beyond the means of many in the early stages of business.
You may have to consider that or these may be students already enrolled in a program and the above elements donít enter into the equation. In that case, your service fee is whatever, within reason, you wish it to be, given your background and capability.

Lynn E. Krafft, ICAN/ATEX Editor
lekrafft@juno.com