This franchising opportunity has a low initial investment, high levels of support and the tools to differentiate yourself from the competition within a recession resistant, residual income building industry.
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Lance Hood: Hi, this is Lance Hood with ARCFranchising.com and today I want to introduce you to the Corporate Cleaning Group. Corporate Cleaning Group offers a franchise opportunity with low initial investment, high levels of support, and the tools to differentiate yourself from the competition within a recession resistant residual income building industry. Our guest speaker is Marcie Olinger who handles the franchise development for Corporate Cleaning Group. Marcy, thanks for joining us.
Marcie Olinger: Hey, thank you Lance. I'm very happy to be here.
Lance Hood: What brought you to working with Corporate Cleaning Group?
Marcie Olinger: I actually had been in franchising for about 15 years and I was a franchisee coach for 10 years and at the end of that contract decided I really want to get on the Franchisor side, so I did a lot of research. What I was looking for was somebody that was in more of the growth or startup or emerging brand phase, but somebody that really had a high level of integrity and support that it was all about making successful business owners. I think that it's such a great fit with corporate planning group. That's exactly who they are and what they're doing, so I'm very excited to be working with them and I think it's a wonderful brand that at least everybody ought to know more about.
Lance Hood: From all this experience in franchising. Why do most people get into franchising?
Marcie Olinger: You know, that's really interesting and I think it kind of changes over the years and yet it's all stayed the same. Everybody wants to have more control of their own destiny. I know when I was in corporate, one of the reasons I wanted to get out was I wanted to be able to really successfully use all the skills and education and background that I had developed. I didn't feel like I was being fully utilized. And I think that's a strong point for a lot of individuals who are thinking about getting into business ownership. They have more to offer and they also want to feel like they're getting rewarded in direct proportion to the efforts that they're putting in. Franchising is a great way to do that.
The franchisor provides the structure or the framework and the training that allows the Franchisee to be able to be creative and build that business the way they want to. So people want that training and support. Um, one of the biggest assets you get with any franchise system is the other franchisees. So having the opportunity to network with other business owners who are going through the same things that you are, that have probably been there, done that I think is hugely valuable. So I think they want to be in business for themselves but not by themselves. They like that help, the structure, that being part of a bigger whole and truly making an impact
Lance Hood: Why should people consider the commercial cleaning industry.
Marcie Olinger: That's one thing. The guys that started commercial cleaning group, they're business people and what they were looking for was an industry that was a relatively simple industry that was going to be around forever. That they could actually take that simple business and make it sexy through technology. The pieces around the business that they have been able to put into place make it much more streamlined. It makes us look more professional. We stand out against the competition. The commercial cleaning industry is certainly one that is never gonna go away. Technology's never going to replace it. But probably the most exciting part of why you would want to get into commercial cleaning is recurring revenue. I can't even tell you the value of recurring revenue. I'm a certified financial planner years ago, so I always knew that dollar cost averaging thing, but I never played it in the same ballpark as recurring revenue. And once you realize that every month when you wake up at the beginning of that month, you've already got business and the books, everything that you add adds to this month and next month. And that power of that recurring revenue is just amazing.
Lance Hood: Right, because unlike some things, cleaning is something that needs to be maintained on a regular basis. It's very stable.
Marcie Olinger: And while even residential, we may cut back and say, Hey, I can clean my own house. A commercial aren't, they're not going to do that. The accounts that we work with, they don't have that option of actually doing it themselves. They've got to hire professionals to do it. Some of them have tried to do it where they hired employees to handle it and what a nightmare. I mean, wouldn it make a lot more sense to hire people that know what they're doing. They can take care of the employees and make sure that they're there, that they're trained, that they know what they're doing, that somebody's checking on 'em, that the quality assurance is all under control, so that our customers love it.
Lance Hood: What exactly does corporate cleaning group do then?
Marcie Olinger: We do commercial cleaning for churches and any kind of institutions like that. Also educational facilities, schools anywhere from a daycare all the way through a university, medical facilities, everything from a surgery center all the way to a full blown hospital. And then some general business.
The general business that we're looking for is typically going to be a larger facility. Maybe a standalone facility, a warehouse or distribution. Where we really shine and stand out is in those types of accounts that have a lot of traffic flow. So the more traffic flow there is, and you think about a church, how many times are people using that facility during the week or it's not like you just hire somebody to come in and clean once a week and it's good. When they're having church, they need to make sure that the sanctuary is cleaned. When they're having the daycare, they need to make sure that daycare is clean before and after. So developing those systems that are customized to each individual account makes corporate cleaning just amazingly stand out. We're not about going after the more competitive priced facilities that most commercial cleaning businesses go after. They're more the office spaces where they go in, they do the same thing every night. No, that's not us. We're not going to get in that space. We're much more about quality and relationships than we are about competing on price.
Lance Hood: What makes this opportunity unique?
Marcie Olinger: Well, one again is that recurring revenue and then those niche markets, those niche markets, we've chosen them for a very good reason. We actually clean for health, so it's a lot different than just cleaning for looks. I know one time, I think it was a carpet cleaner or a carpet salesman asked me, so how do you know that your carpet is clean? And I said, when it looks clean. Well that's really not it. Looking clean and being clean or two different things. So we took what we know about cleaning at hospital emergency room or operating room, those same techniques and we overlay them on every facility that we clean. So it's a very customizable solution. Our marketing is very customized. The way we approach these businesses, we know how to get into these businesses and once you get into a niche market, then the rest of them follow suit and you may start out with an account where you're just doing a minimum amount.
It then very quickly, as long as we're taking care of that account, which is what everybody's trained to do, we're showing them the level of quality. We're not just about cutting corners and making it a cheaper bid. Then they start to see the difference between what we do and what they're used to in the past. So in addition to building out within one, each of those niche markets, each one of your accounts grows bigger. So you think about a hospital most generally, they've got other buildings that are associated with that hospital. So you get the hospital and then they went those other buildings and they just keep adding. So each one of those accounts is going to get bigger, which again builds on that recurring revenue every month. So it's the recurring revenue, the niche markets, and then also because we're what you would consider more of an emerging brand, we're all about being partners.
I mean, when somebody comes on as a Franchisee with us, we're holding their hand right from the beginning. We're right there with. And if somebody needs to go out and help them with a bed or a presentation, somebody going out and meet with them. We're all about how do we make sure that these individuals get started in ramped up as quickly as possible and we make it as painless as possible so that they can enjoy building the business and getting to that level of what they really want to do.
Lance Hood: So what type of person's ideal for this opportunity.
Marcie Olinger: It needs to be somebody that is more the executive or white collar level, the people that we present to our not your ordinary blue collar janitorial type people, they're higher level and you need to make sure that you're comfortable with that. So they're going to be more of that executive level. They definitely need to be able to build relationships and comfortable making presentations to that level, but also somebody that wants to build a team and really make a difference in their community.
Lance Hood: What exactly is a Franchisee responsible for?
Marcie Olinger: Probably the three main sides oft this business is going to be, sales, operations, and then the administrative, which would include the financial aspect. So when they start out, they're going to be much more heavily weighted in sales because there is no operations for them to handle at that point. One of the great things about this business model is you don't hire employees, you don't buy equipment, you don't buy cleaning solutions until you have an account.
So the startup costs are very, very low and then you gradually build them and then each one of those accounts is probably going to be able to fund that next account. So they've only got to have money to be able to tackle that next account. So when they start out, they're going to be very heavily weighted in sales and then a little bit in the administration and finance. That's gonna change. It's gonna evolve over time. And then eventually that's gonna work into. It's probably about a third of their time is spent in each area. And then eventually that sales side is going to go down. There's going to be more operations in more the financial. And really you're going to put an infrastructure in place that they are handling the day to day. So you're looking at ways to grow that business.
Lance Hood: What are some typical questions that potential franchisees have about the company?
Marcie Olinger: Probably the first one that I hear the most of is about commercial cleaning. Yeah, not a very sexy industry. But once they see the numbers and they kind of put pen to paper on the recurring revenue that kind of starts to make it look a little bit better. The other side is that we're really not competing on price.
So it is all about those niche markets and it's not just how do we customize a cleaning solution? It's in our marketing programs. It's in the way we attack that. We actually have a sales center that calls out on behalf of our franchisees and schedules appointments for them. We have online bidding processes which make that very simple to follow through with the customer and then even to be able to staff that afterwards. The staffing is all built right into the proposal. So that certainly makes it much easier and it makes us stand out from the competition. I think also people ask about the advantages of getting in on the ground floor. We're not right for everybody that the guy who wants to see what a hundred different franchisees have done and what their financials are and they want to know what step one through 4,973 is, they're not going to be happy with corporate cleaning group.
It needs to be somebody who not only accepts change, but embraces change. That gets an excitement out of that ground floor opportunity and truly wants to make a difference not only in building their empire, but in the overall brand. I think another one that people ask is the average sizes in monthly billing for our accounts. And typically you're gonna see there it's going to be somewhere between four and 10,000 per month is the average. But we also have accounts that range 30, 40, even $50,000 a month. So it just depends on those accounts. You're not, you're most likely you're not going to start out with those big accounts. You want to start with the more medium sized, um, four to 10,000 and then build up to those larger ones as you get a better infrastructure in place.
And probably the other thing that people are always concerned about is staffing. We feel pretty confident that we have a staffing model in place that allows us to not only be able to keep up with the staffing requirements for our business, but we've turned that into an additional profit center where we provide additional staffing for our customers. So they may need somebody that's, they're always during the day to kind of oversee things and, and a day porter. We may be able to provide them with that individual instead of them having to hire somebody to handle it. So that staffing side of it is more than just for us. We can actually do it for our customers as well.
Lance Hood: Very nice, because I was going to ask you what kind of business and marketing support people can look forward to, but gosh, have you covered it? Is there anything else?
Marcie Olinger: Yeah, you get that sale center. I mean, if you've got trained people that are calling out on your behalf to schedule appointments for you, there's not a lot of reasons to spend a lot of money on marketing. When we create a territory, we draw from our sources to create a list of the target accounts in that area and we load that right into their database and then all of the systems are connected so that the salespeople have that information and they have the access to the calendars so that they can go right into that database and start making phone calls and follow up and keep all the records and schedule appointments. So it's about the best marketing tool I can Imagine.
Lance Hood: Yeah, I see that. Well, what's the typical ramp up time then?
Marcie Olinger: This is a really tough question. It just depends on accounts. So you can imagine with every commercial account, whether, let's say it's a church. They probably aren't always looking for a commercial cleaner. So they probably have somebody that's already doing it and they probably have in their schedule that says once a year or every six months or two or three years. Then they're going to put that out for proposal so it's starting to develop those relationships so that when that happens and they reach out and say, hey, Corporate Cleaning Group, we're ready to go out for proposal and you want to submit a bid.
So sometimes it's going to take a little while. Sometimes you might hit right at the right time when they're unhappy with whoever they have and they're looking for somebody to replace him quickly. So it's really just going to depend on the timing of those accounts and getting in front of the right people at the right time so it can be really quick. But again, remember, you don't hire any people or equipment or buy any equipment until you have those accounts. So it's a very low investment upfront with the potential to build a really substantial business. So you're making money on every single account.
Lance Hood: Can you share some stories of people who have opened a franchise or used the service?
Marcie Olinger: We've got a guy that is in Michigan, he's in the suburbs of Detroit and he was running a commercial cleaning business. We started talking to him about the benefits of Franchising and he said, you know what? I'm working the day and the night hours and I'm going out and so, I'm limited on how I can build this business. So we worked with them, we converted his business over to a franchise and he is still, and it's years later, he's still amazed at the difference that made in his business. And, more importantly, the flexibility in his schedule. So that was a great story.
We've also got a couple that started their business and when they started it, they were nearing the end of their career. They wanted something that could kind of help them slide into retirement they wanted out of corporate. They started at about eight years ago and they built it up, did a great job with the business, and then just this last month they sold it, made a hefty little profit that put them just perfectly into retirement. So there's definitely a sellable asset that you build with this business. Another example is a guy in Kansas City, he was an executive at hallmark for 32 years. He bought actually a resale and he's, he's owned it now for a year and a half and he is increased that business by over 40 percent. So lots of different success stories. They don't typically come from the janitorial industry. They're much more business people. They're, that CEO, the C-level execs that want to work and continue to build relationships with those other C-level type individuals.
Lance Hood: Well, Marcie, thank you for sharing today. I think that the Corporate Cleaning Group is a great opportunity for the right person. And I just want to say for everybody who's listening right now, if you're genuinely committed to getting a franchise, especially with Corporate Cleaning Group, let's have a conversation. You can reach me at 888-627-2776, or schedule a time to speak at, SpeakWithLance.com.
Marcie Olinger: You know, one thing, lance, before we wind this up. Opening a franchise can be a really important and exciting time. And I think for a lot of people, it's one of the largest investments they'll ever make, both in time and commitment and resources. So having the guidance of an expert is truly going to make a difference in your decision process. It's one of the greatest resources available to have somebody that is an advocate for you and, and is truly looking out for your best interest, but also has a knowledge of franchising. And can you kinda help you steer that ship. So I know Lance is a great coach and mentor and I would certainly encourage anybody, if they were thinking about getting into business, they need to talk to you
Lance Hood: Thank you, Marcie. To add to that, opening a business can be incredible. It can give you a better quality of life and become one of the best investments you'll ever make. But like any other investment, you don't want to go into it guessing, gambling, or blind. My name is Lance Hood. My services are free. Let me help you find a better franchise. Thank you, Marcy.
Marcie Olinger: Thanks, Lance.
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Corporate Cleaning Group’s franchising model provides you with the branding, tools, and education to join a successful cleaning company focused on B2B sales with high customer retention to earn you more profits.
- Residual Business: Janitorial business generates residual business which allows you to build a strong customer base that you can grow upon.
- Recession resistant business: When recession hits, businesses can’t do without keeping a clean workplace. Having a clean facility is not a luxury, it’s a necessity.
- Support and Resources: With a proven business model through Corporate Cleaning Group, you’ll have the guidance and resources to start off on the right foot.
Points of Interest
- Low financial entry into the growing $100 billion Commercial Cleaning Industry!
- Proven, scalable business model with unlimited growth potential.
- Flexible business structure that can effectively support an Owner/Operator or Executive Management candidate
- Opportunity to be part of an established and secure company with over 20 years of success in the Commercial Cleaning Industry.
- Residual revenue streams produced through long term client relationships.
- Large key account acquisition through Corporate Cleaning Group® national references.
- Business and service differentiation through the use of Corporate Cleaning Group® health based cleaning systems.
- Corporate lead generation service supported by the Corporate Cleaning Group® systematic sales process.
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