How to Sell A Cleaning Business?
Sell A Cleaning Business
Cleaning businesses are generally sold in one of two ways, either to an individual wanting to enter the marketplace, or, a competitor wishing to expand their existing portfolio so that they can leverage their resources. Your business is only saleable if you can show a history of continual profits, your clients are happy with the service you provide, and you are charging market rates.
Maximising Profit Before Sale Process
- Ensure all clients are profitable.
- Raise prices of underperforming accounts.
- Your business will be worth more if you are the organiser, not the worker!
- Fully systemise your business.
- Try to increase sales 10-20% in the year preceding the sale.
- Keep up to date with lead generation
- Increase Client base.
- Find ways to differentiate yourself from competitors.
- Don’t allow labour costs to get out of hand.
- Only take on jobs that you know will give you a good profit.
- Review all contracts and make sure they are up to date. Diversity is the key here.
- Drive new sales.
- Have a favourable location.
- Evaluate your market position.
- In the majority of cases, a purchaser will require a non-compete clause in the contract.
- The value of the business increases if the website and telephone numbers are included in the purchase price.
- Supply tax figures for the past 2-5 years.
- Have all systems up to date and well documented
- List all physical assets
- List all tangible assets
To learn how to sell your cleaning business effectively
and maximise your profits