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Do we Qualify for the RFP? 

After turning a discerning eye toward the RFP, we must now cast a wary eye toward ourselves, as well. Do we qualify for the RFP? There are a host of reasons facility contractors might not qualify in the client’s opinion. However, that is conjecture.  

Hence, let us explore the reasons we may not qualify and ultimately be unsuccessful in securing the business. 

Cash Flow 

Cash flow refers to the flow of money in and out of a business over a specific period. It’s an important indicator of an organization’s financial health. Positive cash flow indicates more money is coming in than going out, while negative the opposite.  

A new client means more cash out before more cash comes back into the business. Hence, does the outlay of cash for start-up, transition, cleaning equipment and janitorial supplies at the outset outstrip our means? Furthermore, do the additional payroll expenses due prior to receiving payment for services based on terms in the RFP require seeking outside funding to operate? 

Risk Profile 

Does your company’s risk profile to the potential client seem unreasonable? The client realizes a certain amount of risk by selecting your firm to become the janitorial vendor of choice. Ways your firm could represent risk to them are: 

  1. Lack of Experience/Expertise: Does your firm lack industry-specific references that “walk and talk” like them? For example, if it is a professional office/lab/surgical center, does your firm have a list of current references that are professional offices/labs/surgical centers? 

  1. Management Team Depth: This was an issue for me during my first 10 years in business. As a small, family owned and operated commercial cleaning company, there was little-to-no management team depth. I was president, head of operations, floater, fill-in, director of HR, (sound familiar?). Mrs. McLemore was payroll, bookkeeping, AP/AR, controller and day maid. Hence, when a rather large financial institution considered us as their vendor, the question arose, “We like you both; however, what happens if either of you become ill or decide to go on vacation? Who will we call?” (We didn’t get the work.) 

Operational Bandwidth 

I have a saying: “Give me the job first. I’ll figure out how to do it later.” However, while an admirable, can-do attitude serves any business well, there are times when discretion is the better part of valor.  

Having a realistic understanding of what you and your facility services business can successfully manage (headcount, payroll, geography, number of shifts, hiring, staff, re-staff, quality control, etc.) is essential to ensuring the success of your janitorial operations.  

Terms and Conditions 

This works both ways. Two examples include:  

  1. Are you willing to agree to their terms and conditions as stated in the RFP?   

  1. Are the insurance coverage requirements above your commercial cleaning company’s means to acquire? 

In either scenario, guess what? You do not qualify. NEXT! 

RFPs: Finding the Right Fit for your Business  

This article utilizes the collective wisdom acquired by BSCAI members through years of experience with RFPs. The points made are for your consideration. They are meant to provide an outline of a list of questions that should be considered, then asked and answered during the janitorial RFP process. After all, there is plenty of business where we do qualify and, more importantly, just as much that qualifies for us. 

This article is a continuation of BSCAI’s Bidding and Estimating content series, helping you learn how to bid commercial cleaning jobs. Read more in the series on Contractor Connections, at bscai.org/contractor-connections-hub. 

previous page of this article:
A Guide to Evaluating Commercial Cleaning Bid Opportunities