What should I check before buying a trash bin cleaning business?
Check the wash truck and its water system, how many customers are on repeat subscriptions rather than one-off cleans, how the work falls off over winter, how tight the routes are, how wash water is handled, and how much of the business depends on the owner doing the work.
A bin cleaning business is closer to a route business than to a janitorial company. The business is made up of a truck, a set of customers and a schedule, and the work is seasonal. A buyer who treats it like an office cleaning contract will miss the questions that matter. Start with the equipment and the customer list, then move to the weather and the owner.
The truck and the water system
Ask for service records on the truck, the pressure washer, the water tank, the heater and the pumps. Have a mechanic inspect the vehicle before you commit. Ask what is leased and what is owned, and whether any equipment secures a loan. Our page on buying a duct cleaning business shows the same equipment questions in a similar service trade.
Subscribers, one-off cleans and winter
Ask for the customer list split into repeat subscribers and one-off jobs. Ask how many subscribers cancelled in the last year, and when. Winter can slow this work sharply or stop it, so ask for a full year of records, not the best months, and ask how the owner covered the quiet season.
Route density and wash water
Customers close together mean more cleans in a day. Ask for a map of routes and how long each stop takes. Ask how wash water is collected and disposed of. Check locally who sets the rules, and a lawyer or consultant can help you ask. Do not assume the current owner’s method will be accepted from a new owner.
How much depends on the owner
- Does the owner drive the truck every day?
- Do customers know the owner, or only the brand?
- Is there a trained second operator?
- Who answers calls and books jobs?
Related reading
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Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
- 02Business Development Bank of CanadaGovernmentWhat are the steps to buying a business?
- 03Business Development Bank of CanadaGovernmentEquipment purchase financing for entrepreneurs
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