In this article, we will cover the average cleaning business success rate. Both the logistics and the reasoning for a cleaning business success are similar to all other businesses, yet specific to cleaning in certain areas.
Fifty percent of new businesses fail in the first five years, according to the Small Business Association, (SBA). However, the cleaning business success rate is very fluid and based upon work ethic and many other variables. The average cleaning company loses up to 55 percent of its customer base every year because of a lack of service quality. You are the determining factor when it comes down to your cleaning business’s success.
You can prevent business failure and beat these odds through means such as having a steady business plan, having a ready marketing plan, growing at a steady rate, knowing your competition, becoming knowledgeable in the cleaning industry, and properly training your employees. In this article, we will also address other ways to prevent your cleaning business from failing.
There is a risk when starting your cleaning business. There is a lot that has to go into your planning and preparation for your business and the first five years in business are crucial to your success.
Factors that go into your cleaning business success rate:
- An efficient business plan.
- A well-thought-out marketing plan.
- Growing your business at a steady rate.
- Knowing your competition.
- Becoming an “expert” in your cleaning field.
- Training your employees professionally.
- Estimating your businesses’ individual start up costs.
- Managing money well.
- Managing your time well.
- Providing excellent customer service and going the extra mile.
North America has the largest market for cleaning services. In the cleaning industry, there is a predicted growth of 10% in the U.S. This is higher than the current average for all industries in the U.S, which comes in at 7%.
In 2016, there were approximately 2.3 billion cleaning service jobs available. By 2023, the prediction is for 236,500 more jobs to be created in this field.
In addition, there are twice as many commercial cleaning jobs as residential jobs to be fulfilled, and in the United States; California, Florida, and Texas are in the lead for the top employer of residential cleaners (in that order).
SBA success predictions
As an overall average for small businesses, ⅔ of these startups with employees survive two years with about ½ lasting five years.
Also, there is a constant between these ambitions with volatile beginner years and then a flattening of business success rate.
Believe it or not, most businesses are similar in their success journeys in this way.
Effective planning is essential to a company’s growth. The management team creates the vision for a larger and more profitable corporation, with an attitude of never being satisfied. The team as a whole should be aware that continual growth is not only beneficial but necessary for success. This will greatly improve your rate of accomplishment and further proves that your business’s future is in your own hands.
There is a business plan and a marketing plan. Now both of these plans should include thoughts and insight into your competition. The reason for this is that your marketing messages can showcase your competitive advantage over other companies by assessing said companies’ strengths and weaknesses. This we can refer to as strategic positioning, and this will accelerate your potential successes.
Being a Leader
Focusing on the big picture while at the forefront of a small picture can be done well by a true leader. This leader can always direct this smaller picture with the company first in mind, without personal turmoil or bias, and with great ambition.
As a leader, if you see mistakes as damaging to your self-worth, then your employees will see their errors the same way and this will greatly affect success. Mistakes are opportunities to improve and create. Confidence is key, as well as being the change that you wish to see. Implementing everything by this standard is wise entrepreneurial thinking.
Sign of the times
One professional cleaner that has been in the business for 24 years reminded me of the ways cleaning now is much easier compared to say, back in 1996.
Vacuums are lighter. This is a big plus when needing to take care of larger areas. Also, you have more selection when it comes to products that are better for both you and a client. Smartphones also make everything much easier. Contacting and scheduling are very much at the tip of our fingers these days. So I would keep these factors in mind when starting a cleaning business because we can imagine what will change in the next 10 years. At the rate that we improve our technology and ease of access, even five years in business could become easier and easier. Stay positive and hunger to improve with the times and that is an ingredient for excelling in your startup.
Security and Skills
As much as things will change with the times, cleaning itself is not something that goes away. There’s really nothing that will take away your occupation unless we build robots that clean. There is job security in this field.
However, as much as we need people to clean, we need people to clean right in order to get off the ground. We can say for certain that the rate of success in the cleaning industry is directly proportional to effort and skills.
There isn’t necessarily a problem with cleaning to get by, but there is a difference between well-trained employees and untrained workers. The desire to help people and excellent customer service skills are necessary to gain clients and build trust and a positive reputation along the way. Attention to detail is very important, and for some, I think this comes more naturally than others. This is specific to cleaning. I think putting passion behind your career and taking pride in what has been completed is going to change your company’s outcome for the better.
Obstacles to success
Finding talent is a bit of a challenge for new business owners. 56% of these owners settle or go through the extended effort to employ given talent.
On average, it takes six days to open a new business. This isn’t bad, though opening and profiting are very much different.
Small businesses are targeted in 43% of cyberattacks. This is inside security. This is something to watch out for as you build your success; though there is always a risk of scams, computer hacking, and other threats to maintaining this success. After a cyberattack, 60% of businesses fail.
Quick scaling accounts for 74% of failure in startups. Cognitive load results in loss of concentration and will.
The evolution of your ambitions certainly revolves around desire. The desire to ‘get it right,’ to never settle, and to move at a wise pace will get you far. The rate of a cleaning business’s success, on the other hand, will combine both the market with this strength of will and with resources, employees, leadership, and extended effort. There are many facts, but the statistics say the most. Tread lightly, and work hard.
Profitable success may be right around the corner.
What is the most effective marketing tool for my startup?
92% of business owners agree that a website is the most effective way to market a brand. However, the time that it takes to load the website is prevalent as well. ¼ of visitors will leave if your site does not load in four seconds, so maybe light on advanced content will be best. Simplicity is key. Most small businesses spend less than two hours a week on marketing. The most important detail on your website will be your contact information. Over half of users won’t recommend you as a client if you have a bad website.
What is the best way to find talent to work for your company?
There are many resources when it comes to finding talent. One website that I use often is Thumbtack. You can read reviews on each candidate and get their going rate upfront and see if it contrasts with your ideas for pay or not. If you search google for cleaners near you, options will pop up. You may call or visit their website. Again, in this media age, finding workers is a bit simpler than it used to be. Just make sure to check and recheck their background, as this is a job that requires a lot of trust,s and breaching that trust could be detrimental to your business.
What are some niche cleaning areas? Do I need to apply them?
There are many specialty jobs in the cleaning industry. Some of these include window cleaning, disaster cleaning and restoration, cleaning restrooms specifically, polishing floors, chimney sweeping, and ceiling and wall cleaning. Think of what the competition in your area is providing and also evaluate your talent. You don’t need to perform a specific niche but keep in mind that the more that you are able to provide, the bigger the margin for potential clients.
Please note: This blog post is for educational purposes only and does not constitute legal advice. Please consult a legal expert to address your specific needs.
Are you satisfied with your business’s trajectory? Make more out of your cleaning business with our startup documents.