Have you ever stopped to think how commercial and residential cleaning companies are different?
Let me explain!
I will lead you through the maze of cleaning companies and explain the most important aspects you need to know.
What is Commercial Cleaning?
You are probably wondering what commercial cleaning is.
To put it simply, commercial cleaning is the cleaning of commercial properties. Commercial cleaning companies are hired to finish cleaning jobs on different commercial premises.
When a cleaning company is contracted to take care of hotels, gyms, offices, warehouses, clubs, etc. they are expected to provide and maintain a hygienic environment. These cleaning tasks and services are completed by well-trained professional cleaners.
But why is their professionalism important?
Commercial cleaners are tasked with handling the beauty and hygiene of the commercial property. They are also responsible for every part of the cleaning process. The commercial property and the often expensive equipment they use can easily be damaged when the area is cleaned.
The training and the experience of a cleaner will make sure such problems will not arise.
What is Residential Cleaning?
So, what would residential cleaning consist of?
Well, residential cleaning deals with the upkeep of residential households and almost everything in them. Residential cleaning companies provide cleaning services for things around the home. This can include, but not limited to: floors, swimming pools, barbeques, bathrooms, etc.
Due to the personal nature of residential cleaning, such cleaners are more throughout and detail-oriented. While residential cleaners do not have to necessarily be professionals, this type of cleaning requires a good eye for details.
Often you will find companies offering residential cleaning services to be specialized in cleaning one area of the household, but this is not a general rule. You will still be able to find residential cleaners who have versatile cleaning services available.
Is Commercial Cleaning More Profitable Than Residential?
Commercial cleaning is not necessarily more profitable than residential cleaning. While commercial cleaning companies deal with larger jobs and charge more for their services, their overheads are bigger as well. This will lower their profit margin quite a bit.
To get a better insight into the profit potential of both, residential and commercial cleaning businesses, check out my post about cleaning business profit potential.
Commercial vs Residential Cleaning
What’s the difference between commercial and residential cleaning services? This question must be running through your mind at the moment.
Now that you know what each business encompasses, let’s take it a step further and compare the two types.
Here is a short list of what we will be talking about:
- The size of the jobs
- The equipment used
- Profit margins
The Size of the Jobs
What is the biggest difference between residential and commercial cleaning businesses?
If you guessed the size and number of the jobs they take on, you were correct.
Commercial cleaning companies deal with the cleaning of businesses and buildings. So it goes without saying that their jobs tend to be bigger and last longer to finish – depending on the commercial property.
Compared to them, residential cleaning companies handle the home or smaller areas around the household. So, how does this correlate with the profitability of the cleaning company? As with all service transactions: the bigger the cleaning job is, the more it will cost to have it done. In this manner, commercial cleaning companies can and will charge more for their services.
The Equipment Used
All cleaning companies need to use different cleaning tools to get the jobs done. What tools and equipment they will use, however, will vary based on the type of the cleaning company.
Let’s take a look at residential cleaning companies first.
Think of what you use around your house, maybe strengthen the brand and the chemicals a bit, and you have the cleaning supplies needed to clean a household. While some special cleaning services may need you to put on the “big boy gloves”, generally all household chores and cleaning can be finished with everyday cleaning supplies.
However, sadly that is not the case with commercial cleaning tasks.
The amount of supplies a commercial cleaning company needs will be higher. Depending on the task at hand, you might even need to invest in hard-hitting equipment as well.
Commercial cleaning requires more horsepower to finish the cleaning job, which usually comes in the form of costly equipment and tools.
The profit margin is the amount left after the overheads (the cost of bills, fuel, rent, and equipment) are deducted from the company’s income (the cost of the cleaning service charged to the customers). If your income is higher than your overheads, you are making a profit.
Now, the question is: How much is the profit made by these cleaning businesses?
There is no definite answer to that, unfortunately.
You might think that commercial cleaning businesses will generate a higher profit, but that is not necessarily true.
Commercial cleaning companies earn more, but their overheads are higher as well. On the other hand, residential cleaning companies tend to make less money, but their overheads are much lower.
Therefore, you need to consider everything when calculating potential profit margins and profitability.
Technically Same, Practically Different
While commercial and residential cleaning companies are identical in their essence, their differences separate them completely. That’s why it’s important to get well educated about both, commercial and residential cleaning.
A good place to learn about cleaning businesses and how to successfully run them is, well – here! Maidily’s Cleaning HQ is a rich resource center created by a cleaning business owner sharing first-hand experience and knowledge.