Starting a carpet cleaning company is about more than just acquiring the right equipment - it also takes some marketing prowess. Getting word out about your services is key. And as a business owner, you're going to have to be savvy in convincing others to contract with your business for their floor cleaning needs. Buying cleaning contracts is one option for carpet cleaning businesses to land consistent business.
Why Contracts Are Important
The great thing about contracts is that it guarantees consistent work for a specific time frame - as long as you continue to do your job accordingly. Contracts are legal agreements between two entities, which in this case is between another business and yours. You can land contracts with hospitals, property managers, schools, government facilities and a number of other customers who may need the type of services you offer regularly.
Bidding on projects is normally how you would win contracts, but again, the other option would be to purchase contracts from others.
Finding Customers Who Are Looking for Your Services
Another reason to look for contracts for sale is because it puts you in the position of gaining business from customers who are already looking for your services. You may even be able to land carpet cleaning jobs with those who want specific equipment, such as steam cleaners or truck mounted machines.
If you're interested in finding such contracts to buy, then here's how you can do so.
How to Find Cleaning Contracts
The first step is to research your competitors. Do any of them seem like they will be going out of business soon? These could be opportunities to step in and buy the contracts they have. You can attend local networking events to meet with other floor cleaning companies in your area. You may come across some business owners who are planning to exit soon and are looking for bids on their contracts.
If you meet such individuals, then you're going to have to act quickly to secure the deal. There will more than likely be quite a few other cleaning companies also interested. In some cases, you may even be able to come to an agreement with the other interested parties that involves splitting up the contracts.
How to Buy Cleaning Contracts
Make sure that everything is written down and documented before agreeing to buy an unwanted cleaning contract from a competitor. It doesn't matter how great of friends you've become - documentation is key.
It's also recommended that you bring along a lawyer to oversee the drafting of the paperwork and agreements. Some of the things that needs to be in the agreement includes the price of the contract, the terms for payment, non-compete clauses (in case the business owner decides to reenter into the floor cleaning business in the near future).
After finalizing the deal, everyone involved must sign the agreements. Once that's been taken care of, make it your mission to visit with your new customers to introduce yourself and your company. Provide brochures and other information that can help them to get acquainted with your carpet cleaning business, equipment, prices and services.
Make sure that you begin working on schedule, so that their floor cleanings aren't interrupted in any way.
What to Look for
Not all contracts are a good deal, so make sure you know what you're getting into beforehand. What you want to look at includes:
- The price of the job - find out how much you will be paid by the customer for the work involved.
- Length of contract - make sure you will get your money back and a profit. Also find out how long the company has been contracting with the customer to ensure it's legit. If it was a recent deal, then it could be a red flag for a fraudulent deal.
- Seller-customer relationship - determine if the two are on good terms, so that you don't pick up a contract that is about to be terminated.
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