Here is a quick video on how to use our commercial carpet cleaning price calculator or estimate calculator. this can also easily be used to figure out commercial tile cleaning, tile and grout cleaning or VCT floor stripping and waxing pricing.
The first window is square foot of the area in the building to cleaned. We are using an example of commercial carpet cleaning of 5000 square feet, type in total square foot of your project and click next. These are your COGS or cost of goods sold, in practical terms what your costs are to complete a job physically. These do not take into account fixed costs, the point is to find gross profit.
Commercial Carpet Cleaning Van Cost– The first cost is adding the total cost to operate a van in your specific situation. On the right side input the per mile cost and total miles to the job site. On the left side the estimate calculator will show the cost for that job. When using a per mile cost try and figure out the total costs over an average period of time, say 5 years or 7 years. Include all costs including repairs, oil change, debt, maintenance, etc. Be conservative. In our example we used .60 cents at 30 miles which equals $18 van cost.
Equipment Cost which is basically same as the cost of a van. Figure out what it costs to use a truckmount over an average period of time, not best case scenario. This is partly budgeting, we might not need it but want it to be there and built in the price just in case. In our example we came up with $12 hour to own, repair and run a truckmount with production hours of 5 hours. Some contractors might be able to move faster than 1000 sqr ft hour and others less. Its important for you to figure out your specific cost. One thing I need to point out is this is production hours and not total, just run time of truckmount.
Labor Cost- I know we have a lot of owner operators in the carpet and tile cleaning industry. I would still factor in labor to see how much money you would make in profit on a job if you didn’t physically work it. Even if you plan to always go solo its great to know you can still be profitable if circumstances change. In our example the job will take 5 total hours times 2 technicians times $25 dollars per hour. This includes everything including benefits, payroll taxes, etc. Enter in your total labor cost and see, ours equals $250 total labor cost.
Material/ Detergent Cost- We don’t go nuts with material cost and just kinda guesstimate to make sure we have enough. In this example we estimated detergent cost to be around $32 and misc like pads would be $12 for total of $44.
In the final window of the price estimate calculator we see the total cost of all of our COGS or cost of goods sold at the top of the screen. In the revenue window we can start to enter pricing estimates to see what the margin percentages look like. These are only gross profit estimates.
We can see that as we enter different price estimates the calculator shows what the gross profit percentage equals, total profit and price per square foot.