Pick One: Commercial or Residential?

[TheCleaningDude]

The easy answer is of course 'both'.

But at the end of the day, you're most likely not going to have a 50/50 business. The hours alone make this very difficult to do. In fact most guys claim 70/30, 80/20 and other such numbers which makes sense.

So if you could go 90/10 or even 100%, which way would it be?

[encapman]

Commercial for me. Hands down.

Take a look at this EncapBlog article that I wrote...
http://www.excellent-supply.com/Top-Ten-..._b_20.html

[Lefty724]

I am 90/10 commercial to occupied residential. I plan on doing more residential in the future but I'm good for now...

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[MikeHabib]

How are you guys getting commercial accounts ?

[Lefty724]

How are you guys getting commercial accounts ?

I should clarify. I do mostly empty homes, Apts, and office buildings. So everything is empty or a vacation rental. I consider this commercial.

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[TheCleaningDude]

Great article. I read it a couple of months ago when you originally wrote it.

Rick, at your peak, how big was your CC company (number of vans, techs, sq. footage cleaned on average, etc.)?

Was it strictly commercial or did you do some residential as well?

Did you offer any HWE service or any services other than carpet cleaning?

Commercial for me. Hands down.

Take a look at this EncapBlog article that I wrote...
http://www.excellent-supply.com/Top-Ten-..._b_20.html

[encapman]

Yes, I did offer HWE. In fact I utilized every method of cleaning since I started out back in 1982. We also did a lot of floor care through the years, especially VCT work.

At our peek we were running 3 trucks in our commercial carpet cleaning business. We had part time techs going out nightly. We were especially doing a lot of retail work - lots of mall stores. We weren't huge by any stretch, but we were making a very comfortable living doing commercial only.

I ventured into residential briefly at the tail end of the 90's. I didn't care for it, for the reasons mentioned in that blog article. So after a couple of years I got out of it. I had begun to build up a nice group of residential customers, but I just let them go.

One beneficial thing that came from getting into residential is that I had to learn about marketing. It was during that era that I bought Joe Polish's package. I also attended a Howard Partridge seminar. And I began reading books on marketing. So I have residential to thank for giving me the push to learn about marketing.

Today my full attention is on Excellent Supply, so my old cleaning business Kleenstep isn't my top business priority like it once was. [You can't ride two horses with one butt] Yet Kleenstep is still running (www.Kleenstep.com). We still service a few accounts each month. And I still get to go out and clean carpets fairly often, which I still enjoy as much as I ever did (for some crazy reason I love carpet cleaning).

So if I had to choose between putting my efforts into building a residential or building a commercial enterprise, I'd invest the effort into building a commercial business. I feel the investment has a better long term pay off.

[rlord]

I'm 100% commercial now several reasons why.
1. Easier, the heat in Atlanta started really getting to me during the summer doing
residential. Commercial I go in and with Cimex or T&G porty and spend the day
typically in one place with AC.
2. More predictable recurring business
3. Cheaper, my method of getting accounts has been meeting with them, once you
once you get them their more likely to stay with you if you do a good job and
maintain a relationship. Low marketing costs than mailing info weekly/monthly
or other advertising methods
4. Typically business people not "weird" or standing over you every second of the job

Cons
1. Everything gets 1099 no walking around money if you know what I mean
2. Waiting for money for work performed up to 30 days or longer

[jtmellon]

"4. Typically business people not "weird" or standing over you every second of the job."

Rick, I love it when you say it like it is. You made me laugh, esp when I think of the losers I get on Craigslist.

[TheCleaningDude]

Good stuff.

What porty are you using for t&g?

Are you only offering carpet and t&g or other services as well?

I'm 100% commercial now several reasons why.
1. Easier, the heat in Atlanta started really getting to me during the summer doing
residential. Commercial I go in and with Cimex or T&G porty and spend the day
typically in one place with AC.
2. More predictable recurring business
3. Cheaper, my method of getting accounts has been meeting with them, once you
once you get them their more likely to stay with you if you do a good job and
maintain a relationship. Low marketing costs than mailing info weekly/monthly
or other advertising methods
4. Typically business people not "weird" or standing over you every second of the job

Cons
1. Everything gets 1099 no walking around money if you know what I mean
2. Waiting for money for work performed up to 30 days or longer

[rlord]

I use a US Products Terminator and Turbo Tile Spinner, Gecco Wand, small turbo spinner, and hand held Cobra. I bought the whole package from a guy here in Atlanta that had not liked the business and did something else $2500 for everything.
I only do T&G and Carpet now, the wanted me to do VCT, (which they have a literal Ocean of ). I tried subbing it out, that was a nightmare, did some myself, decided this was to much work for me, didn't need the headaches. So told them I couldn't do it anymore.
BTW the equipment, when I bought looked like it had never been used

[MikeB]

My plan is to move more toward commercial and eventually be around 80-20 I'm considering realtor and property management work as commercial and occupied homes residential.
Home owners are generally fine to deal with but I do get the occasional weirdo.

[TheCleaningDude]

That's cool.

Is that the model with the reel on the front?

What hose length do you run?

It's a dual cord machine I assume. Any issues popping breakers?

I use a US Products Terminator and Turbo Tile Spinner, Gecco Wand, small turbo spinner, and hand held Cobra. I bought the whole package from a guy here in Atlanta that had not liked the business and did something else $2500 for everything.
I only do T&G and Carpet now, the wanted me to do VCT, (which they have a literal Ocean of ). I tried subbing it out, that was a nightmare, did some myself, decided this was to much work for me, didn't need the headaches. So told them I couldn't do it anymore.
BTW the equipment, when I bought looked like it had never been used

[encaprodney]

I agree with the focus on commercial carpet. I have found it to be easy to do (with the right equipment and chemicals) and very few issues. When I was in the Automotive electronics business a number of years back, I always preferred doing work for the dealerships over retail. The average retail customer was much more likely to be "fickle" and standing over me and price,price,price. In the commercial dealership setting I was able to develop relationships with managers and thus have more stable, regular work with the focus on service and reliability. Also these managers (and or building maintenance personnel in the case of commercial carpet cleaning) know a lot of people and change jobs and often take you with them). Any loss in price is usually made up in volume with commercial work.

[rlord]

I will run 75' ifI need to but usually just the hose that's on it 25'.
Yes it's the one with the built in hose reel.
Never had an issue popping breakers because it's got a light on it that tells you when your plugged into the same socket. The US Products is strictly commercial don't even think about getting up some real stairs. I think they state that in there advertising.
But I never would of bought it if I hadn't gotten the great deal I did.
I had the Olympus 1200 quite a while ago and liked it better for maneuverability and the suck was better, but missing a lot of the other features.