Contracts for Cleaning Services

by Robert Kravitz

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 Why you need a cleaning contract? 

Some contractors will start a new account with a "handshake." However, it is best to have something in writing, detailing clearly the details of the arrangement.

Why? The office manager you are working with could leave and the new manager will not know what is and is not expected, things are forgotten, and some things change. Any understanding that can be discussed can be put on paper; it's just the professional way of handling things.

Below is a sample of an Agreement and Terms for a janitorial contract. It's rather simple but it covers almost all the bases. Moreover, in the very few times this contract has been needed in court for clarification of the basis of an arrangement, it prevailed.


 Terminology? 

Try to avoid using the word "contracts" in your terminology. It's a legal term that makes most people take a deep breath and wonder what they may be getting into. And indeed, some contracts, even in the janitorial industry, are so complex that they do require a few deep breaths and time to understand. Refer to your contracts as "Agreement and Terms." This sounds more comfortable, gentlemanly, and less threatening.

 The Basics 

Essentially, the agreement says you agree to do what you say you are going to do and how often you plan to do it. Your insurance information should be listed in the agreement. If you provide your own cleaning supplies but not hand soap, paper products, trash liners, etc., make sure it is clear.

The agreement states the monthly charge. But it should also clearly state when the customer will receive the monthly invoice and when payment is expected. To help your cash flow, many contractors bill at the start of the month, by the 1st or the 10th, and expect payment by the end of the current month of service. If this is your policy, make sure it is listed in the agreement.

If you charge a finance charge for a late payment, definitely mention it the agreement as well as the rate and when it takes affect. It's often a good idea to have finance information printed on your invoice as well. States vary on the amount your finance charge can be so be sure you investigate this. A standard rate is 1.5% per month of the outstanding balance.

This agreement has a termination clause. The most frequent time a janitorial contract is presented in court is when a customer does not adhere to the "30-day written termination clause." Some contractors do not enforce this policy, even though it is listed in their agreement. Others are very strict about it and insist upon it.

Some contracts even ask that the customer to give the contractor 30-60 days to correct any problems or issues before allowing a termination. This can be enforced in court but it becomes a bit messy because it is so subjective. The client may simply tell the judge the remedies were not enough to meet the contract specifications. They can bring in a second person from the office to state the same thing. As a janitorial contractor, you will then be forced to prove your point and it could be difficult. You would need to decide if it is worth the battle to enforce this type of agreement or just move on.


 Sample Agreement and Terms: 





 AGREEMENT AND TERMS 

The janitorial service shall be responsible for the upkeep and cleanliness of « Customer » as set forth in this proposal. To protect both parties, all services are covered by General Liability Insurance, Workmen's Compensation and all employees are bonded. The janitorial service shall provide it's own cleaning supplies, materials and equipment. « Customer » is responsible for providing hand soap, paper products and trash liners as needed.

For these services, « Customer » shall be billed « Charge » per month for service « Frequency » days per week. This rate shall remain unchanged for 12 months unless an adjustment is agreed to by both parties. Billing is on the 5th of each month for the month of service and your payment is due by the 30th of that month. This agreement shall continue on a month to month basis unless terminated by either party by giving the other 30 days written notice. Your use of our service and your signature below indicates your understanding and agreement to these terms.

Monthly Service Charge:                       _____________

Service Days Per Week:                       _____________

Introductory Offer or Initial Cleaning:     _____________

Additional Services:                               _____________

Total Monthly Charge:                            _____________

Robert Kravitz                                         _____________
(ABC Maintenance Services)

Customer's signature                               _____________


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Copyright © 2004

by Robert Kravitz.
This page is reprinted with his permission.