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How do you value a commercial cleaning company for sale? Learn the key factors before you make an offer.

2025-03-26Source:Hubei Falcon Intelligent Technology

Alright, let me tell you about the time I decided to put my commercial cleaning company up for sale. It feels like ages ago now, but I remember the whole process pretty clearly. It wasn't something I decided overnight, that's for sure.

Making the Call

I'd been running the show for years. Started small, just me and a van, cleaning offices after hours. Grew it bit by bit, hired some folks, got bigger contracts – schools, medical buildings, that sort of thing. It was good money, yeah, but man, it was a grind. Dealing with clients, managing staff schedules, equipment breaking down, chemicals, insurance... it just wears you down. I was working crazy hours, always on call. Woke up one day and just thought, "I can't keep doing this pace." Felt burned out, needed a change. Selling seemed like the logical next step.

Getting Things Ready

So, first step was figuring out what I actually had. Sounds simple, but it took weeks.

  • Paperwork Nightmare: I dug through everything. Pulled out all the profit and loss statements for the last few years. Made a detailed list of all our active clients, what services they got, how much the contracts were worth, and when they renewed. Had to inventory all the equipment too – buffers, vacuums, scrubbers, the vans, even the mops and buckets.
  • Figuring Out the Price: This was tricky. How much is a small cleaning business really worth? I looked at what similar businesses were listed for. Talked to a buddy who sold his plumbing business. Basically, looked at the profit, the assets, the client contracts, and kinda came up with a number that felt right, maybe a little optimistic. Didn't hire a fancy broker at first, thought I'd try selling it myself.
  • Making it Look Presentable: Got the vans cleaned up properly. Made sure the storage space where we kept equipment was organized. Wrote up a description for the listing – tried to make it sound good but honest, you know? Highlighted the steady clients and the room for growth.

The Selling Rollercoaster

Okay, so I put the listing up online. Used one of those business-for-sale websites. And waited.

The phone started ringing, emails came in. Let me tell you, most inquiries are just noise. People kicking tires, folks with no money, dreamers. You learn pretty quick to spot the serious ones. Had a few decent calls, people asking smart questions about cash flow, staff turnover, client retention.

Met with a few potential buyers. Showed them the ropes, walked them through the financials (not everything, just the overview at first). Some wanted to see the equipment, meet a supervisor (without letting staff know the biz was for sale, tricky!). It's a dance, really. You want to be open, but you don't want to give away all your secrets or spook your employees or clients.

Found one guy who seemed really interested. Owned a smaller residential cleaning service, wanted to get into commercial. He knew the basics. We started talking numbers. Went back and forth quite a bit. He lowballed, I stood firm (mostly), we eventually landed somewhere in the middle. Felt fair.

Crossing the Finish Line

Once we agreed on a price, things got serious. Lawyers got involved. Ugh. More paperwork. He did his due diligence, meaning his accountant went through my books with a fine-tooth comb. That was stressful. Felt like being audited. But everything checked out, thankfully.

We signed the final sale agreement. Felt… weird. Like handing over your baby. There was a transition period. I agreed to stick around for a few weeks, introduce him to the key clients, show him the scheduling system, how we handled payroll, supplier contacts, all that stuff. Wanted to make sure he didn't run it into the ground right away, felt responsible for the staff too.

Looking Back

Was it worth it? Yeah, I think so. The money was decent, gave me a cushion to figure out what was next. More importantly, I got my time back. No more 2 AM calls about a missed trash can or an alarm going off. The stress just melted away, mostly.

Selling a business you built is emotional, more than I expected. But dealing with the constant pressure of running that kind of service company… I was ready to be done. It's hard work, requires constant attention. If you're thinking about buying one, be prepared for that. If you're thinking about selling, get your ducks in a row early, be patient, and be ready for a bit of an emotional ride. That was my journey with it, anyway.