I have a Ltd cleaning company client, who turns over circa £200k net servicing mainly corporate customers and some private customers.
I have no other cleaning company clients to compare it to, and I know they pay the Living Wage to 17 employees (all over 25 and I just wondered if anyone has an idea of a reasonable level of wages to turnover for this industry?
Gross wages are currently showing £120k (the Director takes very little salary out of £1,500 pa, as already has other personal income). I just wondered if this wage figure was high?
Thanks in advance.
Replies (4)
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Well if you have 17 other employees & 120k wages it amounts to ~7k per employee which doesn't sound unreasonable.
Well, looking at our office cleaning, we pay £30 plus vat per week, they come in on a Friday evening or Saturday or Sunday. The times I have been in working at the weekend it is usually two guys and they take roughly an hour, so allow say 1.25 hours with travelling time.
So charge out is 2 times 1.25 equals 2.5 hours for £30, say £12 per person per hour.
Work back from your wages paid (remember to discount hours paid re those for holiday pay say 48/52) to get hours worked, multiply by £12 and compare with turnover .
Above is best undeducated stab and am sure may differ region/city to region/city.