Question: Should I focus on the commercial sector?
Steve’s solution: Maybe but only if you can ‘git the work’! And there is an even better SFS option…
Would my time would be best spent concentrating on getting steady commercial cleaning accounts as opposed to residential carpet cleaning. Sometimes I wish all I did was commercial cleaning! (With the exception of some really “sweet old lady” residential accounts.)
Steve, I typically charge less for maintenance commercial customers. But I know who I’m dealing with and I’ve been there enough times so things are done more efficiently, etc. So I am considering going the commercial route more fully. (And either quitting residential or at least bumping my rates up dramatically!)
Dreaming of Commercial in Charleston
Thanks for writing in, Dreaming.
Your visions of success in commercial cleaning may likely come true. In my humble opinion, the typical low-ball, price-oriented residential carpet cleaning so common in our industry is the hardest money to be made in the cleaning business. Constant price pressures, one time jobs, transient customers, picky people, scheduling problems AND you are re-inventing the wheel on every single job.
Once you move into making Cheerleaders through Value Added Service and then when the loyal repeat cleaning jobs come in it gets so much better … but residential is never easy.
But commercial … aaaah regular contract commercial accounts. Such sweet sounding words to my ears!
1. Regular, almost guaranteed cash flow. (This is HUGE!)
2. A job you (and even better your technicians) ‘know like the back of your hand’! (And people that know you too.)
3. Much, much faster production. (And especially with encapsulation cleaning!)
4. My recommended ‘Open Access’ strategy gives you the keys to the business that let you do the job at your convenience instead of being slaves to their schedule. (Within reason.)
5. Much easier planning and scheduling.
6. If you have a crew out there at night you have much more flexibility on responding quickly to emergency water losses.
Don’t get me wrong, Dreaming. I loved the residential market. After all, our Strategies for Success Training teaches your techs how to build a relationship with homeowner. BUT I gotta tell ya, Dreaming- the ‘easier money’ is in commercial.
Sure, many complain that the hours are bad. That’s why there is something called “employees”! You didn’t mention if you are going solo or have others working with you. In any case there are good people out there who actually like working at night. (A highly paid, part time position is best while they keep a regular job.). But wait, there is another big advantage to commercial work…
Plus dream about ‘double-dipping’ with your equipment. Many a day one of our trucks would pull in from a full day out doing residential jobs, get re-stocked by the night crew waiting to receive it and roar away 15 minutes later for an 800.00 to 1,000.00 night of regular, contract commercial work! WOO-HOO!
So Dreaming, the question to me is not so much which is better. Rather I would ask, “Do you have the fire in the belly to get out there and get commercial work”? My Special Report on Selling Commercial Maintenance Accounts can give you a jump start on this but at the end of the day it has to be you!
Now that I’ve given you the big ‘rah-rah’ on commercial work (which is all true) I must mention the Gold Standard for many is to build the SFS recommended ‘3-Legged Stool’ Business Model!
P.S. If you really don’t like night work and you really don’t like having full time employees (I disliked them both!) then focus on my Creative Commercial Scheduling strategy! (Heck, CLICK HERE to watch my video on how to get businesses to let you do the work during ‘normal’ working hours!)
NOTE #1: Remember that lots of restaurants and bars that don’t open till lunch can be cleaned and dried early in the morning. We would often start our residential techs at 6:00 AM to bang out a monthly $300.00 or $350.00 restaurant or bar and then begin on residential work by 8:00 or 8:30. It will give your day a nice kick in the old profit pants!
NOTE #2: Do you struggle when you get face to face with a commercial prospect? Then download my free Commercial Carpet Analysis form!