Have you ever wondered why cleaning service quotes vary so much in price? It’s common to receive bids that look completely different from one another. But what’s behind the disparity?
Often, the biggest driver of the price difference is how each company calculates the staff hours needed to clean your facility. Beyond that, there are several other important factors that influence the pricing. To evaluate cleaning proposals effectively, look for these six essential elements:
Wages for Cleaning Staff
Labor costs usually account for the largest part of a cleaning service’s pricing—about 60% of the total. Cleaning companies need to answer two key questions when preparing their bids:
Providing detailed information about your facility can help vendors give accurate estimates.
Tip: Vendors that spend time gathering details and measurements often provide more realistic quotes. Regional providers, in particular, tend to have a strong understanding of local wage conditions compared to larger, nationwide companies.
Employee Taxes and Benefits
Aside from wages, other direct employee expenses should be included in the bid. These might include payroll taxes, benefits such as healthcare and retirement plans, background screenings, drug tests, and uniforms. These costs can vary depending on the vendor’s benefit offerings and local tax requirements.
Tip: Vendors that offer attractive benefits packages often have happier employees, which can lead to higher-quality service and lower turnover.
Cleaning Supplies and Consumables
Another key cost factor is supplies, which can be divided into two categories: (1) cleaning supplies like chemicals, cloths, and pads, and (2) consumable products such as hand soap, paper towels, and toilet paper.Most bids include cleaning supplies in the base price.
Tip: Ask for a breakdown of unit costs for consumables. Many regional cleaning companies can secure competitive wholesale prices and may also manage inventory for you, saving time and money.
Equipment
The equipment needed to clean your facility is another consideration. The amount and type of equipment required will depend on the size and complexity of the job. Vendors should include the cost of equipment depreciation in their pricing.
Tip: Look for companies that use modern, well-maintained equipment. Proper tools make work more efficient and contribute to better outcomes for both staff and clients.
Overhead Expenses
Indirect costs—also called overhead—are expenses that aren’t tied to a specific job but are essential to the business. These might include administrative tasks, HR, insurance, and management. Overhead costs are typically applied as a consistent percentage across all clients.
Tip: Local or regional vendors often have leaner overhead costs compared to large national chains, which can make their pricing more competitive.
Profit Margins
A sustainable profit margin is essential for any cleaning company to stay in business and deliver high-quality services over time.Companies that calculate a fair profit margin are more likely to provide consistent and reliable service.
Tip: Avoid companies offering unusually low bids.These vendors often fail to include all costs in their estimates, which can lead to unreliable service or financial instability. Look for vendors with a solid track record and strong client references.
When reviewing cleaning bids, ensure each one accounts for these components. If a proposal seems incomplete or vague, ask questions to clarify. By understanding what’s included in each bid, you’ll avoid falling for unrealistic offers and make a choice that ensures long-term satisfaction.
