Among all the businesses in the service sector, cleaning is an activity that is rarely talked about but generates a very significant annual turnover and employs many people. For this reason, today, we will present the most relevant business plan elements for a cleaning company. One more explanatory article belongs to our information section on the business plan. We offer many more examples of business plans on the summary page of the blog.
Presentation of the cleaning service business idea
When an entrepreneur has the idea of setting up a cleaning company, they must first define the services very well. Then, the business can be approached in multiple ways, from classic concepts such as cleaning homes, communities, and companies to niche markets such as cleaning windows in high-rise buildings, to give an example.
In our example of a cleaning services business plan, we will assume that we are talking about the traditional company dedicated to cleaning homes, common areas, and offices or businesses.
But, beyond the service everyone knows, it is interesting to consider some elements that provide added value compared to what other cleaning companies offer. It can be flexible schedules, more efficient equipment and products, or any interesting innovation.
This added value is important if you do not want to compete solely on price, which usually happens in the sector.
Cleaning company plan business model
One of the advantages of a business like a cleaning company is that you usually sign long-term service contracts, which resemble a subscription model. The client pays a monthly fee, and the company provides cleaning services for stipulated hours, with a daily, weekly, or monthly frequency, depending on the case. In addition, extra work can be invoiced when circumstances require it. For example, a company hosting a party may need an additional service after the event.
The ideal profile for a person who wants to launch a cleaning company is someone with many contacts and experience in the sector. The entrepreneur does not have to dedicate himself to cleaning, he can have a coordination role, but he must have experience in this service business.
The contacts, which I have mentioned before, play a very important role in this type of activity. For example, a person who has worked in the property management sector will already have many community contacts, which would be a good starting point for a cleaning service specialized in this type of client.
Customer segmentation for a cleaning business
One of the important pieces of the business plan for a cleaning company is the definition of strategic clients. Of course, it will depend on the approach of the business idea, which is usually closely related to a type of client. For example, a high-rise window cleaning business will work with office building managers and, perhaps marginally, some residential buildings.
For more traditional cleaning businesses, the most common customers are:
- Hotels, for rooms and common areas.
- Hospitals and clinics.
- Supermarkets, hypermarkets, and shopping centers.
- Service companies for their offices.
- Neighborhood communities, for common areas.
- Small shops.
- Industrial companies for cleaning warehouses and production areas.
- Particular houses.
Competition analysis in the business plan of a cleaning company
When considering this type of business, it is very important to analyze the current competition. In most cases, direct competition will be other companies with similar services, which can be easily found through an Internet search. However, there are also some indirect competitors, depending on the type of customers.
- Private clients are the most likely to hire cleaning services from people who work without declaring their income. It’s tough competition to identify, competing primarily on price, and making it difficult for a cleaning company to engage in the retail market, except for high-income customers.
- In communities, it is usual that, to save the cost of cleaning, the neighbors organize themselves to do it on their own. It can be by rotating the responsibility among all the neighbors or by choosing a person who, in compensation, pays fewer community expenses.
- In some companies, managers ask some employees to take charge of this task to avoid having to resort to an external service. It is a strong trend in times of crisis.
Marketing strategy for a cleaning company
Definition of the product (service)
It is a very important element of the strategy. For example, a very professional service can be proposed, with advanced cleaning equipment to clean floors and quality and ecological cleaning products. With such an approach, the service is very different from the typical manual cleaning with a mop.
Following the above logic, the service price would be higher than average, targeting a customer who values quality and is not just looking for the cheapest service.
Aggressive commercial prospecting is mainly aimed at clients with large areas of land, which is where the machinery would be most profitable. In addition, of course, the company will have a web page describing its services so that any interested potential client can contact and get a quote.
To publicize the services of the new cleaning company, it will be necessary to employ various communication strategies. Bearing that most clients will be companies and perhaps neighborhood communities, specific communication is sought, and issuing advertisements on media such as television or radio is ruled out.
- Online advertising, through sponsored results from One of the best ways to find information, is to use search engines such as Google to get customer contacts quickly. In parallel, work will be done to improve organic positioning and, in the medium term, not to depend on advertising. It will also bet on social networks and ads optimized based on users’ interests.
- Another strategy that may be interesting is to publish advertisements in the specialized press, for example, in industrial publications. In addition, the presence in some sectorial fairs can allow contact with potential clients.
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SWOT analysis in the business plan for a cleaning company
- Forces. Have experienced staff. Ecological professional material and products. Initial financing.
- Weaknesses _ Costs higher than the competition. High prices.
- Opportunities. The business trend in outsourcing non-strategic tasks. Concern for the environment.
- Threats. Competence. Economic crisis.
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