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When it comes to entrepreneurships that are not affected by the economic crisis in Australia one of the best-shielded markets is the cleaning business that is already booming across the country. The reasons for this are very simple: in today’s world almost every family member is rather occupied on their day. The parents and the kids are engaged in a series of activities that leaves no room for housecleaning or domestic chores.
It gets better: most companies and corporations stopped hiring their own maintenance services since a long time ago to avoid paying benefits. Most of them choose to hire these services from third parties to subcontract them. Just in Australia right now the cleaning business reports earnings close to $9 billion in one year by employing close to 100,000 people.
Basic economics could answer this one, but let’s paint a picture to simplify the process: with such a high demand for cleaning services, the market is bound to be filled with competitors in no time. To earn a position as service providers, new startups need a quick cash injection so their operations can take off.
Cleaning services are being franchised in Australia right now and word of the mouth is a key factor in the repeating hire rate of these business ventures. Money has to be spent by these entrepreneurs on supplies, training, and wages to keep a high quality of the service provided. The size of the operation being set up will always influence the type of financing requested to a lender.
There are a number of financial options out there depending on the way you want to go about the cleaning business market. If you are looking to start out your own brand of service you are going to need a secured business loan since the cash for such an operation will have to be a hefty quantity. Now if you want to participate in some of the already available franchises offered in the Australian market you need to take a moment to do your homework on them. The cost of each franchise is very diverse, but so are their levels of success and the ground they are able to cover in Australian territory.
Banks are able to cover the money for each of these transactions but they will ask for a number of requirements before lending you any money. You have to get to work if you are setting up shop as a new service provider since you’ll have to deal with the legal system to get all the required permits, you’ll also have to pull every financial record available as well as your credit history and tax information. It takes a lot of work and there are no guarantees, but if you manage to pull it off, the bank will work alongside you to make sure you are successful. On the other hand, if you are looking to participate on a franchise you’ll need a lot less money and you can opt for unsecured loans options with fixed interest rates to get to work right away.
Lenders always look at franchises as a secure source of income, mainly because their business model is structured to generate profits at every single turn. If you are shopping around for a cleaning business loan you should consider the following: How much of a turnover and profitability will have your business venture with your franchise of choice? Your lender will probably be interested in this information mainly because not every franchise has the same performance on every location. The other question to consider is about the financial estate of the franchise, especially if you are buying an established operation with a customer base. The last consideration is about the business plan and the forecast numbers, even with online agencies there will be questions about the performance of this business and how quick it will report earnings back.
Cleaning business loans from Max Funding are not used only to finance startup operations. They are used more often to keep an operation running or to help with the cash flow of a franchise needing money at a moment’s notice, either to pay wages to the hired personnel or to cover for supplies needed to do the job. When the funds are being used to acquire a working franchise the best way to go about it to secure financing is to prepare a plan for expansion with detailed numbers about the growth of the business. Cleaning services are very stable business ventures and once a service has secured their targeted customer base is very likely that the income will start to come depending on the business model employed by the franchise owner: if he work with hired help, the income will be low, but if he works the franchise on his own the profits could run as high as $3000 working on residential and corporate clients in two shifts.
Max Funding is ready to offer the cleaning business loans to entrepreneurs of the cleaning business market, the ongoing and steady growth of this industry attracts many people ready to put in the long hours required to get the job done. That’s why the approval rate for these types of loans is very high, especially when it comes backed with the proper paperwork as support. The choice has to be made by the entrepreneur looking for the loan to apply to their preferred agency. We offer the quickest answers in the pre-approval services and they grant the money on a very short period of time.