For Sale

Profitable West Michigan Cleaning Company

Business Category: Cleaning, Miscellaneous Services, Other Personal Services, Service Businesses
Location: Michigan

Listing Price:

$225,000


Revenue: $289,286
Cash Flow: $109,016

Real Estate Available: Home-based company
Reason For Sale: Ownership is seeking to sell in order to pursue other business interests.
Number of Employees: 4

This profitable West Michigan cleaning company specializes in residential cleaning services such as deep cleanings, recurring cleanings, move in/out cleanings, and new construction cleanings. 90% of the Company’s revenue comes from its recurring clients, who receive services on a weekly, biweekly, or monthly basis.

The Company is valued amongst local residents for its high-quality and affordable services, ability to build personal relationships with its clientele, and for exceeding customer expectations.

Since its establishment, the Company has experienced steady growth and consistently receives new customer referrals via word-of-mouth recommendations and through posting on its Facebook page.

Founded in 2020, the Company’s total yearly revenue in 2021 was $170,492. The yearly revenue for 2022 is projected to reach $289,286, an impressive increase for a young company. The Company displays a strong SDE multiple of 2.3x and is fairly priced at $225,000.

Opportunities for Growth

(1) Service Expansion: There is a growing demand for the Company to expand its services to commercial clients such as offices, churches, apartment complexes, and schools.

(2) New Client Acquisitions: The area in which the Company is located is quickly growing in popularity, which suggests there will be a continued demand for residential services in the region. The Company could also easily expand the area it services in order to bring in more customers.

(3) Advertising & Website Development: The Company’s only source of advertising is its Facebook page. New ownership could create a website and participate in targeted online advertising in order to further increase its online presence and overall clientele.

Investment Highlights

(1) Custom Services: The Company provides add-on services that can be customized to the needs of each individual. Examples of add-on services include deep cleaning of ovens, refrigerators, kitchen cupboards, windows, blinds, baseboards, and changing bed sheets.

(2) Client Communication: The Company utilizes the scheduling app, Jobber, to send out automated appointment reminders. The app also allows clients to view scheduled cleanings, item lists of cleanings, pricings, and more. By using this app, the owners can respond quickly to its client’s needs.

(3) Loyal Client Base: Since its founding, the Company has quickly formed a large client base West Michigan. This has allowed for the establishment of consistent jobs and relationships. The average length of all recurring clients is around 9 months, which accounts for 90% of the Company’s profits.

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