Hi guys! We are trying to grow with our employees. How many jobs do you assign on average to your guys daily? Do you have them work individually or with someone else? What does this come out to in revenue per day? Thanks for your feedback!
This is really going to depend on how you have established your business to date.
How much work are you currently doing in a day?
How much work are you able to have available daily?
How much revenue per day have you been making?
What experience level is the employee?
Answer these and you have what was asked for.
depends on the work. commercial or rez… If commercial they should work alone and be capable of $300+ day in route work if your jobs are priced accordingly and the routes are fairly tight.
If they have spare time they can drop off cards or estimates for you as they clean
I operate with two man crews doing $700-$1000 a day with quotes generally working out to somewhere between $80-$125/hr.
Totally depends on how well the job is done and how happy the customer is.
This is a totally loaded question and not one that is easy to answer with a number.
I could tell you that we book on average 2 jobs a day and average $1376 a day for 2 guys but that tells you nothing really.
It depends on what your service experience is? What is your pricing like? How is your customer Avatar? What are your drive times like? Etc… Storefront is completely different than, mid rise commercial. Mid rise commercial is completely different than residential.
The way to figure this out is first to dream up what your company looks like when it is done. I.E.- 5 trucks with an office manger, ops manager, sales person, GM, and 2 person crews.
Next do your best to figure out what all the cost would be associated with a business like that. (You are out of the field and are paying a GM to run it so don’t forget his/her salary and bonuses). Don’t for get taxes. What ever total you come up with for the cost to run that a year add 10-15% depending on how confident you are that you got every cost right. Then add 20% for profit.
(Even if you got every cost right, still add at least 10% to cover for the inflation that will have taken place by the time you get there.)
Next take that yearly number and divide it by your season. When figuring your season figure on the worse winter and weather. For us we count on 200 working days. So we divide our total projected cost by 200 working days.
Then divide that daily total by the number of trucks in you vision. So if you have 5 trucks, divide the total by 5. This gives you your daily truck goal.
Divide it by the number of hours you want your crew to run. This gives you your crew hour goal. Then divide that number by 2 (the number of crew members on each truck).
Now you know what you need to be charging per-man hour.
You need to start charging that now even if you are running solo, if you want to build that company. The extra over your current cost will do two things. One it will fund your growth to get there. Two, it will allow you to by short term and long term disability insurance. Until you build a company that can exist without you, you are at risk. What would happen to you if you go out and spiral fracture a leg tomorrow and can’t work for 8 months. Most solo guys are one injury away from being a go fund me.
Okay so you know your hourly rate, now what.
Video yourself cleaning a bank of your customers windows. Residentialy, commercially etc. Forget about the video and just do a good job.
Go back and watch the video. Look at the middle two windows and see how long they took to do your process. Add in any other process like screen washing, screen removal and replacement, cleaning the tracks and sills etc.
Your goal is to get a base line of what the average window takes to clean. Also start tracking jobs and compare the time spent on the job to the number of windows, and size of the house.
Figure out your average drive times, figure out how long you spend talking with each customer etc…
You goal is to come up with an average of how long it takes to clean a window. Remember some are worse than others so don’t take best case scenario. You are far better taking worse case scenario.
Now take your man hour divide it by 60 to figure out your man per minute price. Then take your time it takes to clean a window (including the set up, drive time, customer time worked into the number) and times how many minutes each window takes by the dollar amount per minute.
All of that work is to be able to get to the point where just by your pricing you can start to know how many jobs you can book a day.
Obviously, as you get more efficient your crews will start to be able to do more per hour. Great, now you can bonus them, and through extra jobs on the end of the day etc…
I know this is the long way around, but this exercise will help you know what to charge and how much to book. You don’t need to look at what the competition is charging… who cares. you know your numbers. This is what you need to charge to support your finished company, and fund it along the way.
Just to give an example with rounded numbers here it is.
5 truck operation doing $1,200,000 per year in gross
(Cogs 45% = $540000, Fixed expense 34.4%=$412800 Net profit (before capital expenditures) 20.6% = $247200)
$1200000 divided by the number of trucks ($1200000 / 5 trucks) = $240000 per truck.
$240000 divided by days in season 200 = $1200 a day.
$1200 a day divided by crew 2= $600 per man per day
$600 divided by 8 hrs =$75 per man hour minimum.
It takes us 11 minutes per window after rolling in set up, drive time, customer time etc…).
$75 divided by 60 minutes = $1.25 per minute
9 minutes per window times $1.25 = $11.25
So now You can figure your pricing much closer.
40 window house $450 ish Can always build packages and charge more.
Now you can figure out about how long the job should take.
$450 divided by $75 man hour = 6 man hours
Or approximately 3.15 crew hours. (Remember crews can do nothing to shorten drive time, and customer face time, so there will always be a bump up. )
So how many 40 window houses can you book a day? I’d book 3.
Which will give you a 2 man crew and a truck day of $1350.
You always want to aim a little hire than your minimum (in this case $1200 a day). Jobs fall off stuff happens, so if you are to hit your goal you need lots of days where you do better than $1200 to end up averaging the $1200 a day goal.
I wrote this fast while eating breakfast. Hopefully this is clear and not convoluted.
Hope it helps.
Epic post @Mike_Goeller.
Hope everyone saves it and prints it out.
I did a little video discussing some of this too.
One of the best post I’ve seen in a while.
Thanks for sharing
Must have been a big breakfast
One of the most amazing posts I’ve ever seen here. It’s a blueprint that answers so many questions people have.