I have read allot about service/maintenance contracts on the board and it has help allot. This is the question.
When I give a bid for the carpet, let’s say for a 5000 sq ft Restaurant. I will charge $.12 per sq ft = $600. If I give a bid for a monthly service/maintenance, do you all charge the same or do you give 10% or 15% discount for the service/maintenance? Or am I going to cut my own throat? I want to be able to set my self in the right direction as a NU-BEE in the commercial world.

Thanx,

Mark Anthony
Afterglow Services
Carpet Cleaning in
Commercial/Residential
"We just don't Clean Carpets, We get Carpets Clean"

PS: This saying has got me allot ears opened to here what I have to say. Thanx to who ever said this on the board, you are a great help.

hiyas Mark

i wont comment on the 12 cents cause that is your personal decision on pricing and only you know what you need to make to live on, none of us do.

so lets say on a 5000sq.ft prospect i were to bid 15 cents/sq.ft. for a 1 time cleaning. what i have done in the past is this :

i give the prospect a written quote for a 1 time cleaning (let's use 15 cents as an example), this would equal $750.

on that quote, i also have a price for :

yearly / once per year @ 14 cents = $700 per cleaning. (so for a 1 year service period i make $700 annually)
semi-annually / twice per year @ 12 cents = $600 per cleaning. (so for a 1 year service period i make $1200 annually)
quarterly / 4 times per year @ 10 cents = $500 per cleaning. (so for a 1 year service period i make $2000 annually)

the amounts per sq.ft. above are just an example, charge whatever amount you need to, to keep your family well fed.

hope this helps --- Derek.

Mark - Yes, we do discount the 'one time' price for contract work. My logic is that we get more revenue so why not give an incentive to the customer?

Just don't discount it so much that you hope they won't go for it!!

On any one time bid, whether they ask for it or not, be it janitorial, floor care, carpet cleaning, I always include continued service prices. 10% discount usually with a contract. anything over 6 months goes back to original price or usually +10% next time they call.

Brian

on commercial usualy 50% of time on a one time cleaning, I'll get a maint program going for them.