Janitorial Services
Essential Information on Janitorial Services
The janitorial service business is an essential service that primarily ensures commercial establishments are kept spic and span.
Janitorial services are also referred to as cleaning services and housekeeping services. Janitorial services include cleaning several commercial buildings like businesses, hospitals, school, warehouses, retail shops, parking lots and manufacturing facilities. This business can also be expanded by not only providing cleaning services but also carpet cleaning, drapery, window cleaning, lighting, green plant maintenance, security, landscaping and even pest control services.
According to researches one can have a janitorial service business with $5000 as start up cost. Annual revenue of such business can go as high as $500,000 with minimum of ten full time workers. Break even period is 1-3 months.
When starting a janitorial service one must obtain essential equipment and supplies: telephone, means of transportation, cleaning supplies and equipment, customers and marketing flyers. Usually, owners are in charge of scheduling, handling customer relation issues, ordering supplies, answering the telephone, payroll, and billing, while the workers execute the actual cleaning. Normally working hours start when commercial office hours end and that is why operational managers should be able to delegate tasks to workers since it deals with large work areas and spaces. This is also to lessen intimidation on the part of the workers.
Janitorial services can also be franchised. The process involves paying the franchisor a package fee for the cleaning accounts that are being offered. Fee is normally one half of the income to be generated. For instance the franchisor gets $10,000 from your $20,000 account. Also in most cases it’s a must to continuously pay for management and royalty fees to the franchisor.
Other franchisors offer financing aid so one would not encounter financial problems during the investment process. Franchisors are expected to offer the cleaning accounts and in case those accounts are being refused then it would definitely affect the income of the business franchise.
Studies in US Janitorial Services in terms of risks that affect the industry reflect that there are 3 risks involved: structural (within the organization), growth (future performance of the industry) and sensitivity risk (external forces impact). Success in businesses such as janitorial services is affected by several factors since it is indeed a business solutions industry. (more…)
