ROOF CLEANING SERVICES
Introduction
The
algae, dust, decomposed leaves and rust and smoke have made many roofs of
houses to look “older
than the actual age of the house” .They do accelerate the depreciation process
of the buildings. This project idea is developed after realizing the
opportunities that exist in the cleaning service sector. An estimated total operating
cost amounting to 64,129US$, when injected in the project can realize revenue
of 840US$ in the first year of operation. The estimated fixed capital is
12,495US$.
Process
of Offering the Service
The
process of offering the service involves mixing cleaning detergents,water,scrubbing
tools, dust blowers all combined to wash the roof top. Where painting is
needed, spray paint can be sprayed on the top or if it is cleaning, then
cleaning oil is applied after washing.
Investment
Scale, Capital Requirements & Equipment
The
capital requirements depend on the investment scale portfolio of the project.
The equipment tabled below can be used for a good start of the project.
Capital
Investment Requirements in US$
Capital investment item |
units |
Qty |
unit |
Total |
Spray painting machine |
No |
2 |
300 |
600 |
Tile cleaning machine |
No |
2 |
450 |
900 |
Dust blowers |
No |
2 |
350 |
700 |
Detergent mixer |
No |
2 |
300 |
600 |
Furniture & Fixtures |
No |
- |
- |
1,050 |
Service Vehicle |
No |
1 |
7000 |
7,000 |
Hand brushes |
No |
10 |
13.5 |
135 |
Wipers |
No |
2 |
245 |
490 |
Sand paper |
No |
- |
- |
390 |
Climbing ladders |
No |
2 |
315 |
630 |
Total |
12,495 |
Production and Operating Costs
(a)Direct Materials, Supplies and Costs
Cost Item |
Units |
Unit |
Qty/ |
Pdn |
Pdn |
Pdn |
Direct |
||||||
Colour paint |
Tns |
18 |
2 |
36 |
936 |
11,232 |
Spray paint |
Tns |
29 |
2 |
58 |
1,508 |
18,096 |
Cleaning
oil |
Ltre |
- |
- |
- |
438 |
5,250 |
Water |
Ltrs |
- |
- |
- |
125 |
1,500 |
Sub-total |
- |
- |
3,007 |
36,078 |
||
General Costs (Overheads) |
||||||
Gloves |
29 |
350 |
||||
Labor |
1,480 |
17,760 |
||||
Utilities |
70 |
842 |
||||
Fuel |
200 |
2,400 |
||||
Administration expenses |
196 |
2,350 |
||||
Miscellaneous expenses |
102 |
1,225 |
||||
Depreciation |
260 |
3,124 |
1)
Production costs assumed 312 days per year with daily cleaning of 2 building roofs.
2) Depreciation (fixed asset write off) assumes 4-years life of assets written
off at 25% per year for all assets.
3) Direct costs include materials, supplies and other costs that directly go
into production of the product.
4) Total monthly days assumed are 26-days.
5) The valuation currency used is United States Dollars.
Market
Analysis
The
market for cleaning services widely exists as most of the houses these days are
made of tiles plus colored iron sheet roofs that need repainting .Getting
tenders for cleaning housing estates can be a very
profitable venture as most suburbs of city are now turning into estates.
Project
Product Costs and Price Structure
Service |
Rfs |
Rfss |
Rf-cl |
Total cl |
Serv |
T/rev |
Roof |
2 |
624 |
103 |
64,129 |
160 |
99,840 |
Profitability Analysis Table
Profitability Item |
Per Day |
Per Month |
Per Year |
Revenue |
320 |
8,320 |
99,840 |
Less: Production &Operating Costs |
206 |
5,344 |
64,129 |
Profit |
114 |
2,976 |
35,711 |
Facilities and Incentives
The
government offers 25% on start-up costs spread equally in the first four years
of operations.