What's In A Rate?

Why do cleaners charge so much? That's more than I expected to pay! I've been quoted less before! My previous cleaner finished in less time than that! I often see comments like this online directed at other cleaners or cleaning companies (and sometimes aimed at me too). But have you ever stopped to consider what goes into setting the price for a small business? If you've never been self-employed or run your own business, it's easy to forget or not realise, how many costs and overheads need to be covered. When you receive a quote from a sole trader or small business, you're not just paying for their time or 'wage'. That price includes a variety of factors, so what you pay them isn't their entire take home pay. Keep this in mind next time you question the pricing of a small business or sole trader.

What do cleaners really do? Yes, we clean, but there's so much more to it than just that. Alongside cleaning, we have extensive knowledge of products, chemicals, techniques and much more. Cleaning isn't just physical labour - it's also about running a business. This includes marketing, bookkeeping, managing appointments, responding to enquiries and more. So when you hire a 'cleaner', you're hiring a professional. Someone who understands the best products and techniques to keep your home or business safe from bacteria and control infections. Someone who knows how to make your chrome shine and keep mould under control.

There are plenty of cleaners in the local area, and pricing can be competitive, so how do you know if you're getting real value for your money? Some may charge lower prices, which might seem great, but are you truly getting a service you can count on? Are they insured? Do they have an up to date DBS check? Have you done your research and checked for honest references? When you break it down, I make such a small profit considering the amount of time, effort and stress that goes into running a successful business. A lot goes into the work I do. I pride myself on providing the highest quality service, backed by both passion and professionalism. I'm fully registered, DBS checked and fully insured, all of which factor into my pricing.

A lot goes on behind the scenes of a small business so when calculating my rates, I need to take various factors into consideration including.....

• Accounting and banking fees

• Class 2 and Class 4 National Insurance contributions

• The cost of business and public liability insurance

• Fees for a valid DBS check

• High quality equipment costs including multiple vacuum cleaners, cloths, mops, steamers, scrapers, blades, brushes, tools, PPE, etc (my vacuum cleaners alone cost almost £500 each)

• Vehicle expenses including servicing, annual MOT, maintenance, tyres, business insurance, fuel, parking charges and road tax

• Legal expenses cover

• Monthly phone contract costs

• Professional cleaning products and sprays

• PAT testing fees

• Professional membership costs

• Uniform, workwear and footwear expenses

• Waste carrier's licence fees (if a cleaner takes away any of your waste for you without a valid licence, they are actually breaking the law)

• Holiday pay (as a self employed individual, I don't get this paid for me so I have to set money aside for it)

• Income tax

• Marketing, advertising and graphic design costs (including time invested)

• Ongoing professional training to improve my skills

• Website hosting, design and maintenance costs

• My time and effort spent providing a high quality and reliable service

• My wage

• Office related costs such as computers, electricity, printing, internet, stationery and software

• Pension contributions

• Sick pay (as a self employed individual, I don't get this paid for me so I have to set money aside for it)

• Time and money spent researching and replenishing supplies

• Washing and drying cloths and uniform each day

• Equipment maintenance and servicing time

• Time spent on administration including invoicing, bookkeeping, banking, diary management and chasing payments

• Time dedicated to risk assessments

• Social media management, content creation and branding

• Time spent providing excellent customer service and responding to emails, messages and enquiries (clients and potential clients can and do contact me 24/7 and responding to those messages can take several hours a day)

• Time spent on consultations and quoting new jobs at client's homes

• Stocktaking time

• Time spent travelling to jobs and quoting

• Wear and tear on my body and ensuring sufficient rest and recovery time between jobs
  

As a small business owner, I have to cover a lot of costs, so when you really think about it, I'm actually offering pretty good value. Not every day is just a cleaning day when you're running your own business. As a sole trader, I'm the one who does everything - from the cleaning to the paperwork. I work incredibly hard. During my workday, I don't take breaks and I keep going non-stop. I go above and beyond, often staying a little longer to make sure the job is done right. I pushed through a pandemic, and every night I go to bed with a stiff back, only to wake up with the same. I don't have a day off where I don't end up doing something for my business. Behind the scenes, I work late and get up early, seven days a week. I'm constantly working to improve systems, making sure I'm using my time as efficiently as possible to provide the best value for my clients.

When you pay for my service, you're paying for the skill and quality I bring - not just the minutes spent. I take pride in maintaining the highest standards. I don't receive any company sick pay, holiday pay, workplace pension or blue light discounts. My income is unreliable, there's zero job security and I don't receive any income support or tax credits - yet my rates are often undercut by cash in hand cleaners who don't face these same challenges.

I know I'm not the cheapest cleaning service in my local area, but my work, reputation and reviews speak for themselves. I won't apologise for my pricing because I don't need to. No small business should. My pricing allows me to make a modest profit, which helps me pay my bills and, most importantly, keeps me in business - because that's the whole point of a business, right?

My pricing ensures I can pay myself for the countless hours I work. I'm never truly 'off the clock'. It keeps a roof over my head and food on my table. I own a small business, and as the CEO, I know your name and genuinely care about you. I'm not the cheapest, but I'm also not the most expensive. My prices are what they are to keep my small business running, which enables me to continue making a positive impact.

I hope this post helps you understand the costs behind not just my business, but other small businesses as well. We're not being greedy. All small businesses are feeling the pressure and are doing everything they can to survive.