Starting a clean out business (lending, fees, insurance, sales)

[chughes1]

how much do you charge? flat rate or per sq ft

[Will46r]

Most local companies have an hourly rate and calculate the fees based on how many hours they estimate. My brother is a real estate agent/property manager that handles a lot of foreclosure sales.

[Doyle33]

In different areas different charges are charge on building and other real estate business. Big cities charge high price and small cities charge low rent.

[chughes1]

Last month, some neighbors had moved out, but they left everything in the house except their tv. The landlord had his guys to cleanout the house - sweep and paint - it took about a week to finish. In my business - I can get guys. But, how much should I charge.

[Will46r]

I'd suggest you call around and get quotes to get an idea of what your potential competition charges. Your rate would be labor x hours x % of profit required..... also consider secondary revenue streams of selling off found items and recycling materials.

Down here you have to have insurance and a bond in addition to your business license for each county you intend to do business in.

Do a google search for "foreclosure clean out forums" I've run across an informative forum using this search but didn't save it.

[MountainBiking]

If you are just starting out I would charge below my competitors while you establish your name. There is tremendous competition in clean outs because of the down economy. Many laid-off construction workers have started this business. You don't have to 'give-away' your services- just be very competitive. Good luck and I hope you're a big success!!

[BKSnook]

The formula is something like this:

Labor + Materials + Overhead + Profit = Customer Quote

IMO flat rate is more attractive to a customer. In any case, your labor charge will be around the same cost.

If you don't know overhead, you can 20% of labor + materials. Good % profit could be 20% of labor+materials+overhead.

[Doyle33]

Originally Posted by Doyle33

In different areas different charges are charge on building and other real estate business. Big cities charge high price and small cities charge low rent.

Lincoln Park condos for sale

[AlbionColt]

Contacting Realtors and lending companies is what is required to get the word out about your service, quality work as well as prior experience is what many of these business professionals will be looking for in a new start up company, you will need to bid on the jobs as well as show that you have all the proper licenses.