One of the most important factors in the success of your business is a good carpet cleaning business plan. The worst thing you can do is to go blindly into a business and hope for the best. How can you get to where you want to go if you do not know how to get there? A good business plan can lay the groundwork for the success of your enterprise.
Talk about writing a carpet cleaning business plan makes many people nervous. They imagine a very formal document with tons of statistical data that looks as if it was written in a foreign language. For a large business seeking funding for start-up or requiring an additional round of financing, this could be the case. Investors want to see a very detailed plan that has actual numbers and accurate predictions. A business plan for these purposes does have to be written a certain way.
However, for a small business, most of the time many parts of the business plan can be eliminated. The most important parts for a carpet cleaning business would be your vision of the company, market research, financial plan, and marketing plan. These are the most important items in any business plan. Most of the other items in most plans are designed to impress investors. If you are considering buying a carpet cleaning business for sale, there may be an existing business plan. This could be a great start for you to expand on and tailor it to your needs.
4 Most Important Parts For A Carpet Cleaning Business Plan
1. Write Down Your Company Vision
It may sound corny but you should write down your vision of where you want to take your business. Do you want to stay operating as a one-man business for the foreseeable future? Or, do you plan to operate the business yourself for two years then hire an employee and expand a little each year? Also, it is important to include an exit strategy for your business. Many people start a business with the intent of operating it until they retire.
However, any number of circumstances may arise and force an early sale. Too often a small business owner will hang on to a business long after the growth has disappeared. The best time to sell a business is while it is still growing. This is when you will receive the maximum return on your investment.
2. Market Research
Next, you need to do some basic market research to determine if another carpet cleaning business would be viable for your area. As a rule of thumb, about 20% of households in a given area will utilize a professional carpet cleaner. The number of households can be obtained from the Census Bureau. Next, you should check out the competition. If there are an overwhelming number of other carpet cleaners in the area, it may be tough to get started.
3. Financial Plan
The next part of the carpet cleaning business plan involves the financial plan. In the financial plan, it is vital to determine what price you can charge for your services and compare that with the cost of providing your services. It is vital to determine your break-even point so that you will know at what point you will be profitable.
4. Marketing Plan
Finally, one of the key factors of the carpet cleaning business plan is the marketing plan. You will not succeed if you have no customers. It is not as simple as placing an ad in the phone book and waiting for the phone to ring. The first thing you need to do is to build the ideal customer that you will be targeting with your advertising.
Will you focus on commercial cleaning or residential? If it is residential, will you go after the middle and lower class with heavy discounts, or will you target the affluent with outstanding service and attention to detail? It is important to know your customer so that you know how to get your message in front of them. Once you know your customer you need to determine the best delivery method.
Generally speaking, your best return on investment when starting will be direct mail. Once established, some cleaners receive nearly all new business from referrals; however, this will take years to develop. Also, more and more people are turning to the internet. A good pay per click campaign or search engine ranking can provide several jobs at a very reasonable price.
No matter what mode of advertising it should be noted that the most important thing in marketing is to test. Test each ad campaign on a small scale before making large investments that could financially ruin you.
Carpet cleaning can be a great industry to be a part of. However, like any business, it requires a road map to reach your destination. A carpet cleaning business plan can help you achieve your goals and reward you with the success you deserve.