4 ms·
This pricing is not out of line in the least if you're treating this as a real business. Hourly wages would probably be in the $12-18 range. With 2 cleaners per
by tvjunky 14y ago
This pricing is not out of line in the least if you're treating this as a real business. Hourly wages would probably be in the $12-18 range. With 2 cleaners per job, that looks like an acceptable margin while also providing for all the normal overhead. Certainly a different approach from PathJoy.
- tomkinstinch 14y agoWhat percentage would you estimate as the normal overhead for something like this? What would an acceptable margin be? They have $3.3M in investment funding, so it seems like the margin would not need to be very high at the start (if they're going for growth).
- tvjunky 14y agoThere are a lot of factors in overhead but 20 - 40% would be right assuming all the common expenses for this kind of business. I also assume they employ their cleaners and aren't all contractors. Sure they have some cash but this is a service business with the biggest money to be made in recurring customers. Providing a deep discount upfront and then having to adjust later to make a profit seems short sighted.