When you are in the market to buy a small business, deciding on the type of company you want to purchase is a big decision. For some buyers the decision is made easy based on their past experience. But, some Entrepreneurs use buying a small business as an opportunity to get into a new career and a new industry.
There are many great opportunities when it comes to independently owned small to mid-size businesses for sale. There are also a lot of great franchise opportunities available. If you are open to exploring the franchise opportunities available the commercial cleaning industry is an area you should consider. Commercial cleaning franchises are quickly becoming a popular choice among business buyers and here are my 6 reasons why you should consider one.
#1 - Industry Growth
The commercial cleaning industry has seen consistent growth even during the recession. It is estimated that revenues from commercial cleaning companies will exceed $67 billion this year. More and more companies are outsourcing their cleaning and are willing to sign ongoing agreements with a reputable provider. Commercial cleaning franchises provide instant name recognition to business clients looking for someone they can trust.
#2 - Home Based Opportunities
As you are researching potential franchises, keep in mind that there are some that can be run from a home office. Home based business opportunities are becoming a popular choice among many Entrepreneurs as not needing a physical office space can greatly reduce overhead costs. Having this flexibility is a great option. You can always start out working from your home office until you get the business up and running and then move into office space when cash flow allows. Growing your business in phases like this can be a great way to ensure your success because you aren't taking on a ton of debt and expenses right out of the gate. You're giving your business a chance to get started before you have to start paying someone rent.
#3 - Lower Startup Costs
On top of having the ability to run this business from your home to save on expenses, the commercial cleaning business generally has low startup costs. Of course there are some franchises that cost more than others but companies like Jan-Pro offer franchises with an initial investment as low as $3,100. Jan-Pro was ranked #12 on the 2014 Franchise 500 list and they have over 11,000 locations worldwide so you can get into an established, reputable franchise for a reasonable initial investment.
#4 - Proven Business Model
The commercial cleaning service business is nothing new. Companies have been successful in this industry for years and the business model is proven for the most part. With a franchise, the company has taken the time to put operating procedures in place as well as training and other essential functions to help you succeed. They have also done the leg work for you in terms of marketing by creating a brand identity. If you are buying into a larger franchise, they probably offer advertising and other types of marketing services that you would otherwise have to do yourself if you were an independent commercial cleaning company.
#5 - Stability
Many small businesses have to worry about the ups and downs of the economy when it comes to their revenue. In the commercial cleaning business you can expect a certain level of stability. The customers you'll be working with pretty much have to have your services in order to keep their facilities clean for their own employees and their customers. With that, while you may see some cutting back when times get tough, they will most likely stay with you unless you give them a reason not to. If you provide your customers with a high quality service and leave them satisfied with your work, you can expect your revenue to remain stable.
#6 - Not A Desk Job
There are many people that can't stand the thought of sitting behind a computer all day. If you're one of those people, there is one more reason for you to consider a commercial cleaning franchise it's not a desk job. Even if you don't want to be hands on and actually providing the services, as the owner your role could be traveling from job to job doing quality control. You could be in the field when you want to be and spend time at a desk when you have to. If you want a desk job, this business may also work since you could hire someone to be in the field. Also, there are some cleaning franchises that allow for absentee ownership. In that case you'd be able to check in occasionally and most of your work would be done from your desk.
About The Author: Peter Siegel, MBA is the Founder & Advisor (ProBuy & ProSell Programs) at BizBen.com and BizBenNetwork. He works with potential business buyers, business sellers, brokers, agents, investors, & advisors. Reach him direct at 925-785-3118 to discuss strategies regarding buying, selling, (or financing a puchase of) small to mid-sized businesses.
|Helpful Resources To Assist In Selling And Buying California Businesses|
|Janet Carrera: Escrow & Bulk Sale Service - SF Bay Area
Redwood Escrow Services, Inc. is a full service, licensed independent escrow company. We are EAFC Fidelity bonded, fully insured & licensed with the Department of Corporations. Committed to offering our clients the most comprehensive variety of escrow services available. Phone Janet at 510-247-0741.
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Founded in 1994, First Choice Business Brokers has accelerated to become one of the most successful Business Sales Organizations in the world. Our team of agents have gone through extensive training to become experts in the field of business brokerage. Call Chris at 858-578-4111 for more info.
|Willard Michlin, CPA, Certified Fraud Examiner, Due Diligence
Willard Michlin, CPA #106752, offers buyers step by step training & assistance in doing Due Diligence Services when they are thinking of making an offer, or are in process of investigating a business purchase. He helps to determine the actual net profit even when there is cash. Call 805-428-2063.
|Timothy Cunha JD, Business Broker: SF Bay Area
SF Bay Area experienced attorney, & business broker. I & my EvergreenGold team offer owners sound advice & expertise to build business value & achieve profitable sales. Call today for a FREE business evaluation & SWOT analysis for your business. Call me direct at 650-600-3751, 650-866-5393 Text.
|Rick Carlson, Business Broker - Southern California
You Will Never Feel Lost In The Shuffle. Many Brokers Simply Send Out An NDA And That's The End Of Communication. All Buyers Receive A Personal Meeting With An Ace Acquisition Specialist So They Can Recommend The Perfect Business For You. Phone Rick direct at 800-985-4939.
|Helen Yoo, New Century Escrow - Escrow Services In Southern California
New Century Escrow, Inc. is a fully licensed & bonded independent escrow company. Over 20 years combined experience in handling bulk escrow transactions. Multi-lingual staff that speaks your language, including Korean, Chinese, Vietnamese. Call Helen Yoo direct at 626-890-1151.
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The Veld Group provides a refreshing approach to Business Brokerage, Mergers & Acquisitions and Business Consulting and Valuations. From Your Street to Wall Street, we cater to Main Street Businesses as well as more complex Strategic Firms and Start-Ups. Phone Ryan, Business Broker at 310-652-8353.
|William F. Ziprick, Attorney: Legal Services For Buyers And Sellers
Through creative problem solving, attention to detail, accessibility, & understanding that unnecessary delay is often a deal killer, I work closely with my clients and other professionals to consistently achieve a high rate of successful closings. Office: 909-255-8353, Cell: 509-951-7230.
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