Club Cleanz, a $2.4M janitorial service, loses $300K yearly because employees quit after two months on average. The owner trains new hires then surprise-audits them without support, blaming them when they fail. The turnaround starts with actually caring for workers and tying pay to staying.
Something's broken that needs to be fixed.
You have like 500% annual churn.
Today we're in Indiana visiting John with Club Cleanz.
Very much focused on the success of the business rather than the success of the people who worked in the business.
That's just my biggest thing is care about your workers, okay? Because life happens and shit happens.
His commercial janitorial service will make $2.4 million in revenue this year.
How much lost revenue from customers that were like, "Hey, we're canceling"? The average over the last 3 years has been about $300,000 a year.
But on On average, his new employees only stay 2 months.
The reason why I feel like people leave is because we throw them in a building and then an auditor comes behind and fails them in certain sections.
Oh, this was missed, this was missed, the floors could be better here.
Then they blame it back on the training, like they didn't feel trained.
This is the Business Turnaround Show. My name is Mike Andes, I'm the founder of Augusta Lawn Care and HomeWork Software. I travel the country fixing struggling businesses. Our goal is to give John a strategy to turn around the company in the next 6 weeks. So I would just tie your comp with the biggest problem in the business, which is retention of the team. It's easier for managers because they don't feel like they're beating people over the head over on compliance. You're just trying to help them.
