How is the cost of cleaning services calculated? All aspiring entrepreneurs who decide to open a cleaning company like crime scene cleaning company or fire damage cleaning company ask this question. There are several ways to calculate the cost. Let’s start with the most common among novice businessmen.
• A method based on the analysis of competitors’ prices. When an entrepreneur has no experience, no technology, no permanent suppliers of cleaning products, it is difficult for him to calculate the price for a certain cleaning service. Therefore, they look at their main competitors, another crime scene cleaning company in their neighbourhood, study their websites and price lists, make calls and find out everything by phone. But this method has a significant drawback, which is, how can an entrepreneur know whether his competitor calculated the prices for cleaning services correctly or not.
• The second method is based on the cleaning company’s own regulations.
• The third method of calculating costs sums up all the costs associated with a specific order being executed by a crime scene cleaning company. But here, too, there is a drawback, which consists in the fact that the resulting price can be very different from the prices of your competitors.
So what is the best way to calculate the cost of cleaning services?
Cost calculation and cost optimization
The main question here is not how to sum up all the costs for a certain type of service, but to what extent the amount received will correspond to the realities of the modern market. Therefore, not only the calculation of the cost is important, but also its optimization. Usually company managers, when they hear the word “optimization”, immediately perceive it as a signal to lower the cost of the service. For some reason, first of all, managers decide to reduce the number of cleaners, thereby raising the production rate to 20-30%. However, the effect of this measure is negative, as the quality of the work performed decreases and labor costs increase.
It is necessary to correctly understand the word “optimization” which means a competent selection of cleaning equipment and cleaning products which are used in a crime scene cleaning company.
For example, a crime scene cleaning company has received an order and after the managers calculated the cost of this service, they offered a price that is 10 percent higher than its competitors’. After visiting the site, the manager began to consider alternative ways to optimize costs and turned to an organization specializing in the sale of cleaning equipment. The managers of this company solved this problem by suggesting the use of scrubber dryers with a large grip, thereby reducing costs without resorting to an increase in the number of machines, personnel, etc. The efficiency of using the equipment has increased, thereby reducing the labor cost.
It’s possible to draw a couple of important conclusions.
• Always cooperate and consult with suppliers of cleaning equipment and cleaning products because they can recommend the best solution for the particular task.
• The number of cleaning equipment and personnel is not always a guarantee of the desired result.
The main factor in pricing is the frequency of services.
Crime scene cleanup is considered a one-time services, which is easy to calculate. Here, the price is calculated on the basis of constant indicators (for example, square meters) and does not vary significantly because the cost level of this service will be approximately the same. Also, when calculating the cost of one-time services, a crime scene cleaning company must take into account the deadlines – the price for urgent orders performed on weekends and holidays, as well as at night, will be higher than usual.