independent contractor cleaning company’s

[kerensa]

What percentage do you pay your workers per job or do you pay them hourly?

 

[despondent]

@kerensa I worked for one in the past, their subs typically got 65-70% of the contract value.

 

[comics1996]

@kerensa Varies but for the few subs we use we pay 70%-80% contract value

 

[pastorpontibus]

@kerensa Late to this party and expect down votes. However, don't call yourself "cleaning company" if you outsource the labor to other companies. You are a facilitator. In the U.S, if you're working with individuals and paying as "contractors", you're likely at risk for misclassified workers. True contractors must have their own businesses, set the rates they will work for, must be making profit and work for others. Additionally, if you're only selling cleaning services and nothing else, you're still at risk for misclassification. A "sub" contract is one part of a bigger job NOT the entire job. For example, you secure an contract providing janitorial and maintenance services for a building and you provide the HVAC, Plumbing, and Electrical but outsource the janitorial.

 

[kerensa]

@pastorpontibus They have to set there own rates ? I couldn’t just tell them it’s 70% of the cleaning fee

 

[pastorpontibus]

@kerensa 70% of what? They also have to be able to make a profit and have financial control of their business. There are two way to handle this, 1. You know the rates and bid based on that + 30%. 2. You provide the details of the work and they agree to an amount based on a scope of work. If that works out to 70%, good for you.

But again, if you're in the US and say you're a cleaning business and those workers are not their own self sustaining businesses, the the IRS considers them to be employees.

edit: Some might have the contractor estimate the work for themselves and provide you a bid. You then pass than onto the customer with your fees.

 

[kerensa]

@pastorpontibus 70% of what I charge the customer that books through me or my website . What else would I charge lol

 

[pastorpontibus]

@kerensa The amount matters but ok. Residential house cleaning? How do you manage your “contractors “? Have any employees or are you on day 27 of the “remote cleaning company” course you bought?

 

[kerensa]

@pastorpontibus Dude calm down a bit. I have set prices for the customers house size on my website where they can instant book the contractor than logged in through their login on my website and accept the job. It’s a flat rate and they make 70% of it. My booking platform lets me set the amount % that the providers get paid from the amount of the job No reason to be rude man.

 

[pastorpontibus]

@kerensa You opened the door on sarcasm, dude. I guess day 27 hit too hard. It's clear, you've gotten yourself into a business you know nothing about. Sure, a marketplace (at least I'll assume that's what you're describing) is a way to get around the "rate" conversation. I said it in my first comment, you're not a cleaning company if this is how you operate. If you want to do this right, you should be asking : "How much is a fair commission or service fee for connecting the customer and the cleaner?". I suggest you look around at some of the big players in the game. All of them clearly state that they are referral services.

 

[kerensa]

@pastorpontibus Hey man that’s why I started this thread! Only one way to learn things hope you have a good one you cranky piece of shit hope this treat you well in life!

 

[jc44]

@kerensa Following. Exterior cleaning here. Was thinking 50% of total, or maybe 30-40% plus split materials. Curious what works well for others as the margins can get really thin hiring other companies

 

[west07]

@kerensa We try to keep all direct labor costs below 65% after payroll taxes, insurance, etc.