Janitorial Competition and Fair Market Pricing

Ask Drake

President and Co-founder of CleanGuidePro

With the truly, humbling success of CleanGuidePro, we’ve received great questions by companies all over the world about varying topics in the janitorial industry. Allow me share one of them with you.

Dear Drake: I own a start-up janitorial business in a large U.S. city and I have to compete with large companies to win bids. How does CleanGuidePro Janitorial Bidware address this issue as well the concept of “fair market pricing”?

Answer: First of all, there is no real “set market” or “fair price” chart – i.e. Dallas vs. Chicago – to go by. That’s the wrong way to think anyway…

You need to think in terms of what’s the fair market costs associated with your area. For example, what are the minimum hourly wages, chemicals, state and local payroll tax rates that you have to pay. (By the way, our bidware does all this for you in Step 4 of the bid creation process, the Workloading and Pricing screen.

All size companies (especially the large national and regional ones) have to calculate/count their monthly costs to clean a building FIRST! Only then do you add a fair profit price (which is also suggested by the software).Remember, the bigger companies will always have higher costs than the smaller companies, because they have higher overhead, More mid level supervisors, higher liability insurance, etc…, therefore slimmer profit margins.

Don’t be intimidated by the bigger companies, but rather focus on constantly improving your own company! Keep in mind that the “big companies” were all a start-up once.


CleanGuidePro Successful Residential Cleaning bidderDrake