Janitorial Service Business Plan and SWOT Analysis

Janitorial Service Business Plan, Marketing Plan, How To Guide, and Funding Directory

The Janitorial Service Business Plan and Business Development toolkit features 18 different documents that you can use for capital raising or general business planning purposes. Our product line also features comprehensive information regarding to how to start a Janitorial Service business. All business planning packages come with easy-to-use instructions so that you can reduce the time needed to create a professional business plan and presentation.

Your Business Planning Package will be immediately emailed to you after you make your purchase.

Product Specifications (please see images below):

  • Bank/Investor Ready
  • Complete Industry Research for the Industry
  • 3 Year Excel Financial Model
  • Business Plan (26 to 30 pages)
  • Marketing Plan (24 to 28 pages)
  • 425+ Page Funding Directory
  • PowerPoint Presentation
  • Loan Amortization and ROI Tools
  • Three SWOT Analysis Templates
  • How to Start a Business Guide
  • Easy to Use Instructions
  • All Documents Delivered in Word, Excel, and PowerPoint Format
  • Meets SBA Requirements

Given the demand among offices and industrial complexes for janitorial services, these businesses are almost always able to generate highly predictable streams of revenue from ongoing service contracts. Janitorial services are something that is going to remain in demand moving forward, and as such – these businesses were able to generate extremely high gross margins from their services. One of the reasons why janitorial services are popular or that building managers, property owners, and property management firms tend to outsource non-core functions to third parties. This substantially reduces their payroll and the associated taxes with it. As such, janitorial services fulfill this need on behalf of these types of businesses. The startup cost associated with the new janitorial service is pretty low. Typically, these businesses can be started for as little as $15,000 and reach  up to $500,000 depending on the initial scope of the business and whether or not vehicles or can be acquired as part of the overall operating asset base. These businesses are considered to be relatively immune from negative changes in the economy provided that they have contractual agreements with third parties as it relates to the day-to-day maintenance and janitorial services to be rendered.

Given the large amount of tangible assets that are needed to operate the business, almost all financial institutions are willing to provide a loan equal to 80% to 90% of the total amount of capital needed in order to launch a new janitorial service. Most importantly, if an entrepreneur is looking to raise capital and they are going to need a janitorial service business plan. This document should focus heavily on the number of buildings, industrial parks, malls, and related commercial property entities that are located within any given market. It should be the foremost focus of the business plan so that a financial institution understand the number of potential customers that a janitorial service will have from the onset of operations. Beyond information regarding demographics, a full financial model that discusses the anticipated results regarding the business should be included as well. This includes a three-year profit and loss statement, cash flow analysis, balance sheet, breakeven analysis, and business ratios page. Special attention should be paid to using industry-standard figures for comparable janitorial businesses. Beyond this of information, a full competitive analysis should be included as well given that the low barriers to entry for the industry has caused a number of third-party companies to launch operations in any small town, medium-sized city, or major metropolitan market. One of the things that should be discussed when over viewing competition is the way that the janitorial service will differentiate itself from similar companies within the target market. A target market radius of 20 miles to 50 miles is usually considered standard for this type of company.

A janitorial service marketing plan should be developed as well. Within this document, a special focus repaid to developing ongoing relationships with property management firms and building owners within the target market radius. Generally, most of these companies start off by distributing a significant number of flyers, advertisements, and other print related marketing materials to individuals that manage these properties. This is one of the quickest ways for janitorial service to launch and expand their operations in any given market. A proprietary website should also be developed that showcases the services offered, preliminary pricing information, contact information, hours of operation, and related information regarding the business. While it is not necessary, most janitorial services will maintain a modest profile on social media platforms such as FaceBook, Twitter, and Google+. This is due to the fact that some smaller office owners will use social media for specialized recommendations for a janitorial service. Additionally, from time to time, a homeowner may seek to have a janitorial service come in to complete a substantial amount of cleaning in any home. However, the amount of money that is spent marketing towards the general public can be kept somewhat low given that most homeowners will almost never use a janitorial service during the course of their lives. As it relates to the website for the company, this should be listed among all major search engines as many property owners, property managers, and related entities will frequently use the Internet in order to find specialized services. As such, a search engine marketing firm may be hired to assist in this process given that it is a complicated and expensive process to become well ranked among major search engines.

Once the business plan and marketing plan have been developed, it is time to produce the janitorial service SWOT analysis. As it relates to strengths, these businesses almost always able to remain profitable and cash flow positive in any economic climate. The margins generated are considered to be pretty high with ranging anywhere from 50% to 85% depending on whether or not the workers completing the jobs are considered to be employees or independent contractors. The barriers to entry are considered low. For weaknesses, these businesses will always face a significant amount of competition as a progressive and business operations. While the barriers to entry are low in many people consider this to be a strength – it is great for a significant amount of competition within any market. For opportunities, these businesses are highly scalable and they can be expanded by acquiring additional vehicles, hiring additional personnel, and acquiring additional contracts for larger scale janitorial and custodial services. For threats, one of the things that may impact the way that these companies do business is the risk of automation. In time, there may be technological advances that allow for more mechanized cleaning of offices. However, many Jordan to janitorial services primarily operate in a custodial capacity and as such they are going to complete a number of tasks that cannot be readily automated. As such, the threats facing these business outside of competitive threats is somewhat limited.