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If you don’t plan and track your cleaning service budget properly, you're setting yourself up for failure.
When we developed our strategy pack for cleaning service providers, we saw a lot of business owners struggling with finances and planning.
They were disorganized, had no grasp of cash flow, and were drowning in financial troubles despite having a steady stream of clients.
Don’t let this be you—stand out and succeed.
We’ve created a small, free tool to help you get started: our Budget Tracker and Planner. Let’s turn your cleaning service's finances around and set you on the path to success!
Get the budget tracker tailored for cleaning services
Most cleaning service owners don't know how to plan and track their budget. This spreadsheet will help you.
Example of a full budget for cleaning services
Here is an example of a (very) detailed budget for a cleaning service company, to give you some inspiration
1. Rent and Utilities
| Item | Description | Monthly Cost | Annual Cost |
|---|---|---|---|
| Rent | Lease for office and storage space | $2,000 | $24,000 |
| Electricity | Power consumption for office and equipment | $300 | $3,600 |
| Water | Water usage for cleaning and office | $100 | $1,200 |
| Internet & Phone | Internet service and business phone | $150 | $1,800 |
| Waste Removal | Garbage and recycling services | $100 | $1,200 |
| Insurance | Property and liability insurance | $400 | $4,800 |
2. Salaries & Wages
| Position | Number of Employees | Monthly Cost per Employee | Total Monthly Cost | Annual Cost |
|---|---|---|---|---|
| Manager | 1 | $3,500 | $3,500 | $42,000 |
| Supervisors | 2 | $2,500 | $5,000 | $60,000 |
| Cleaning Staff | 10 | $2,000 | $20,000 | $240,000 |
| Administrative Staff | 2 | $2,500 | $5,000 | $60,000 |
3. Cleaning Supplies & Equipment
| Item | Description | Monthly Cost | Annual Cost |
|---|---|---|---|
| Cleaning Chemicals | Detergents, sanitizers, etc. | $1,000 | $12,000 |
| Cleaning Tools | Mops, brooms, dusters, etc. | $500 | $6,000 |
| Protective Gear | Gloves, masks, safety goggles | $300 | $3,600 |
| Equipment Maintenance | Regular maintenance of cleaning equipment | $200 | $2,400 |
| Vehicle Maintenance | Maintenance and fuel for service vehicles | $500 | $6,000 |
4. Marketing & Advertising
| Item | Description | Monthly Cost | Annual Cost |
|---|---|---|---|
| Online Advertising | Google Ads, Facebook Ads, etc. | $300 | $3,600 |
| Social Media Management | Managing social media accounts | $500 | $6,000 |
| Print Advertising | Flyers, posters, newspaper ads | $200 | $2,400 |
| Website Maintenance | Hosting, domain, updates | $100 | $1,200 |
| Email Marketing | Email campaigns and newsletters | $150 | $1,800 |
| Promotional Events | Special events and promotions | $200 | $2,400 |
5. Miscellaneous Expenses
| Item | Description | Monthly Cost | Annual Cost |
|---|---|---|---|
| Uniforms | Staff uniforms and protective gear | $200 | $2,400 |
| Licenses & Permits | Business licenses, permits, etc. | $100 | $1,200 |
| Office Supplies | Stationery, pens, printer ink, etc. | $100 | $1,200 |
| Staff Training | Training programs and materials | $200 | $2,400 |
| Contingency Fund | Emergency repairs and unexpected costs | $500 | $6,000 |
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What are the biggest expenses for a cleaning service company?
Be mindful of these pitfalls. Here are five major costs every cleaning service company needs to consider, along with some tips on how to manage them effectively.
- Cleaning supplies and equipmentThese can take up a significant portion of your budget. You're dealing with consumables, and prices can vary based on quality, brand, and bulk purchasing options. To keep these costs in check, focus on buying in bulk, negotiating better prices with suppliers, and using supplies efficiently. It's easy to overspend by purchasing too much or opting for premium products that don’t add enough value.
- Your cleaning staffYour staff is your backbone, but paying for their wages, benefits, and training can be costly. This expense is always high because you need a certain number of employees to provide quality service and maintain client satisfaction. You can optimize labor costs by scheduling efficiently, cross-training staff, and monitoring productivity. However, be careful not to underpay or overwork your staff, as this can lead to high turnover and poor service.
- Office rent and utilitiesPrime office locations come with high rent, but they can enhance your company's image. Utilities like electricity, water, and internet are essential but can add up quickly. To optimize these costs, negotiate favorable lease terms and invest in energy-efficient appliances and lighting. Overspending often happens when you choose an office space that's too large or too luxurious for your needs.
- MarketingYou need to get the word out about your cleaning services, but advertising can be expensive, whether it's online ads, social media campaigns, or traditional media. Optimize this expense by focusing on cost-effective methods like the ones we provide in our package. Overspending can occur if you invest in flashy campaigns without a clear return on investment.
- Vehicle and maintenance costsThis includes everything from company vehicles to maintenance tools. These are expensive because reliable transportation and well-maintained equipment are crucial for efficient operations and client satisfaction. Optimize by investing in durable, fuel-efficient vehicles and maintaining them regularly to avoid costly breakdowns. You can overspend by going for the latest high-tech vehicles or tools you don’t really need.
How to spend less with your cleaning service company?
Here are practical tips to help you, as a cleaning service company owner, optimize your budget and manage expenses more effectively.
| Expense | Tips to Optimize |
|---|---|
| Cleaning Supplies | Buy in bulk and partner with suppliers for discounts on eco-friendly products. |
| Labor Costs | Use scheduling software to optimize staff hours and reduce overtime. |
| Utilities | Invest in energy-efficient equipment and use programmable thermostats. |
| Marketing | Run social media campaigns and collaborate with local businesses for mutual promotions. |
| Equipment Maintenance | Set up a maintenance log for regular checks and servicing of cleaning equipment. |
| Rent/Mortgage | Negotiate lease terms during renewal or consider moving to a less expensive location. |
| Insurance | Regularly review insurance policies to ensure they meet current needs and compare rates annually. |
| Transportation | Plan routes to maximize efficiency and reduce fuel costs. |
| Uniforms | Choose durable, easy-to-clean uniforms and offer staff a stipend for maintenance instead of using an external service. |
| Office Supplies | Purchase supplies in bulk and go paperless where possible with digital systems. |
| Staff Training | Conduct regular in-house training sessions and use free online resources. |
| Waste Management | Implement a waste tracking system to minimize waste and recycle where possible. |
| Technology | Invest in multi-functional cleaning equipment and utilize management software for scheduling and invoicing. |
| Licensing and Permits | Stay up-to-date with local regulations to avoid fines and costly renewals. |
| Client Retention | Offer loyalty programs and discounts for long-term contracts. |
| Inventory Management | Use inventory management software to track stock levels and reduce waste. |
| Pest Control | Schedule regular pest control services and maintain cleanliness standards to prevent infestations. |
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Expenses that are just useless for a cleaning service company
Yes, some expenses for your cleaning service company are just unnecessary. They don't contribute to increasing revenue or improving customer satisfaction.
| Cleaning Service Expense | Reason It's Unnecessary |
|---|---|
| Luxury Cleaning Products | High-end cleaning products often don't offer significant benefits over standard options and can be a drain on the budget. |
| Excessive Marketing Materials | Overproducing flyers, brochures, and other marketing materials can lead to waste and unnecessary costs. |
| Premium Uniforms | Expensive uniforms don't necessarily improve customer perception and can increase operational costs. |
| High-End Equipment | Top-of-the-line cleaning equipment is not always necessary and can be cost-prohibitive. |
| Paper Advertising | Traditional paper ads often have a lower return on investment. Don’t include them in the marketing strategy of your cleaning service. |
| Multiple Vehicle Types | Maintaining a diverse fleet of vehicles increases costs without adding significant value to the service. |
| Excessive Staff | Overstaffing leads to higher labor costs without necessarily improving service quality. |
| Premium Subscription Services | Expensive subscriptions for industry magazines or software often go unnoticed by customers. |
| Exclusive Cleaning Agents | Using rare cleaning agents can inflate costs and complicate supply chains. |
| Costly Office Furniture | High-end office furniture is not always appreciated by clients and can be a significant expense. |
| Custom Printed Supplies | Personalized cleaning supplies are a minor detail that most customers overlook, and they can be expensive. |
| Unnecessary Software | Paying for software with features you don’t use is a waste of resources. |
| Premium Water Brands | Most customers are content with filtered tap water, making expensive bottled water unnecessary. |
| Extra Service Vehicles | Maintaining a larger fleet than needed increases operational costs. |
| Excessive Membership Fees | Paying for multiple industry memberships often yields little benefit. |
| Overly Frequent Office Renovations | Constantly updating office decor and layout can be costly and disrupt operations. |
| Expensive Office Decorations | Elaborate office decorations are often ignored by clients and add to the cost. |
| High-End Office Supplies | Luxury office supplies are prone to damage and expensive to replace, often going unnoticed by clients. |
| Excessive Staff Meetings | Too many meetings can reduce productivity and increase labor costs. |
| Expensive Marketing Designs | Frequently redesigning marketing materials is costly and often unnecessary. |
| Unused Promotional Materials | Ordering more promotional items than needed leads to waste and unnecessary expense. Get our marketing budget planner template. |
| Paid Directory Listings | Many free listing options are available, making paid listings often redundant. |
| High-End Cleaning Equipment | Specialized cleaning equipment is often unnecessary and adds to costs without a proportional benefit. |
Stop working with a tight budget for your cleaning service company!
Managing a budget for a cleaning service company when funds are tight can feel like a nightmare. It's like being trapped in a cycle where any unexpected expense can overwhelm you.
This constant pressure makes it nearly impossible to invest in growth projects, leaving you always chasing after expenses. It's a life filled with stress and sleepless nights.
Yes, you can continue down this path, scraping together pennies and barely making ends meet. But there's another part of the equation you might be overlooking. Instead of just trying to cut costs, you can focus on growing your revenue. More income means more breathing room and more money to invest in your business.
And no, you don't necessarily have to spend money to grow. There are plenty of zero-cost initiatives and strategies that can help you increase your revenue by 10%, 20%, or more. We've detailed all of these strategies in our guides, after studying dozens of cleaning service companies just like yours. Get them now!
Make your cleaning service company more profitable
We have studied the strategies of the best cleaning services in the world. All their tactics are explained in our pack!
