Episode 338 – The Pros and Cons of Buying a Franchise vs Doing it on Your...
Today we’re talking with Norbert!
Norbert wants help moving to a new city and starting a new cleaning company at once. He’s moving to Omaha, Nebraska and he wants to establish his cleaning company when he settles in.
The first step in starting your own cleaning company is to define your goals.
What does a successful cleaning company look like to you?
For example, Norbert strives to make $3,000-$4,000 per month. Since he’ll be in a new city without any contacts, his next question is, should I buy into a franchise?
RESOURCE ALERT: The Pros and Cons of Buying a Franchise vs. Doing It On Your Own
Franchising is a tricky business. As much as it may seem like the get rich quick answer to all of your problems, it can be the opposite. Most franchises will ask for $50,000-$60,000 upfront and then 10% of all profits. Others may ask for a smaller upfront fee but then take 20% of all profits.
Another option is to look at your goals and work backwards. Reverse engineer your $4,000 a month goal to figure out exactly how many customers you need to get there. To do this, you have to define your ideal customer. Do they own a bowling alley, a bank, a car dealership? Define your customer to figure out how many you’ll need to hit your goals.
For example, a commercial building can pay $4,000 a month for cleaning. This would meet Norbert’s goal but it would also mean he would have to do all of the cleaning on order to keep all of his profits in his pocket.
This might not be his ideal plan or yours.
If you would prefer to run the business and not be the one putting their elbow grease into cleaning, it’s crucial to set your goals and define your customer at the very beginning. Then, work backwards to build the right cleaning business for you.
RESOURCE ALERT: Clean Profit Method
Best advice you’ve received either personally or professionally?
Never say never.
What’s the biggest mistake you’ve made in the cleaning business we can all learn from?
Not having a clear line of communication between clients.
What is your favorite book?