Selling a Cleaning Company

Selling your cleaning company requires a buyer who understands what you’ve built. 12B Clean acquires cleaning companies and continues the work with your staff and your clients. We are neither an investor nor an acquisition broker. We are a cleaning company with over 160 employees that performs the work ourselves every day.

Would you like to explore your options in a confidential manner and with no obligation? Call 085 – 060 26 23. Your inquiry will remain within the executive team.

085 - 060 26 23

Confidential conversation

Why Business Owners Sell Their Cleaning Companies

The reason varies from business owner to business owner. These four are the most common.

Retirement with no successor. The children have chosen different careers, and there is no one within the company ready to take over.
Growth that’s hitting a wall. The customer base is growing faster than the organization can handle. Investing in overhead no longer makes sense at this stage.
Increasing regulatory burden. Changes to collective bargaining agreements, absenteeism management, and competitive bidding take up more time than the cleaning itself.
Personal circumstances. Health or family circumstances may force you to make a decision that you would prefer to handle yourself rather than be forced to make later.

Whatever the reason, the underlying question is almost always the same: What will happen to my people?

What Happens to Your Employees in the Event of an Acquisition

For most sellers, this is the most important consideration. And rightly so. Your cleaning staff have upheld your reputation for years.

Legally, it’s clear. In the case of an asset-liability transaction, there is a transfer of the business. Your employees automatically transfer to the buyer. Their terms of employment, years of service, and accrued benefits remain unchanged. In the case of a share transfer, nothing formally changes with regard to the employment relationship, because the employer remains the same legal entity. Your advisor will work with you to determine which option is best suited to your situation.

Practice matters more than the law. 12B Clean works with permanent teams at fixed locations. We do not reassign staff following an acquisition, and we do not break up existing teams. Your foreman remains your foreman. Your cleaning staff keep their assigned buildings and their schedules.

In addition, they gain access to training programs, VCA certification, and better equipment. The planning is managed by an organization of more than 160 people. Find out who works with us on the page about the people behind 12B Clean.

Here's how the acquisition process works

We work in six steps. The turnaround time depends on the scope of the project and the administrative requirements, but this is a realistic estimate.

Introductory Meeting. A conversation between you and the management team. No consultants, no files. We’ll sign a confidentiality agreement beforehand. Duration: half a day.
Preliminary figures. You provide information on revenue, gross margin, headcount, and a contract overview. We’ll let you know within two weeks whether an acquisition is a viable option.
Value Estimate. We provide a well-founded range and explain how it was calculated. Duration: two to four weeks.
Letter of Intent. The key points are set out in writing: price, structure, your role after the transfer, and the agreements regarding the staff.
Due diligence. An audit of financial records, contracts, and personnel files. Duration: four to eight weeks.
Transfer. The notary draws up the deed. Afterward, we will jointly notify your employees and your customers, in that order.

Expect the process to take four to six months from the initial meeting to the handover. We will not disclose any information to the public until you give your permission.

What 12B Clean Looks for in a Cleaning Company

We don't have a minimum threshold. Whether you have five or fifty employees, it's worth talking to us. These factors do play a role, however.

A portfolio of contracts. Recurring work with a fixed term carries more weight than one-off assignments.
Employees who are committed. A stable team with low turnover is our greatest asset.
Related to our work. This includes routine cleaning, facility cleaning, office cleaning, or specialized cleaning.
A location in the Netherlands. We operate throughout the country and work with people from the region itself.
Accurate records. Well-organized accounting significantly speeds up the process.

If your company doesn't fully fit this description, please give us a call anyway. We evaluate each company based on its specific situation.

What is a cleaning company worth?

The value of a cleaning company rarely lies in its assets. Machinery and equipment represent only a limited amount. The value lies in recurring revenue and in the people who generate that revenue.

The standard method uses a multiplier applied to normalized EBITDA. “Normalized” means that one-time items and a market-rate executive salary are excluded. In the cleaning industry, this multiplier is often between three and five. Where you fall within that range depends on a number of factors.

Contract terms. Customers with a one-year notice period are more valuable than customers who can cancel on a monthly basis.
Revenue diversification. A single customer accounting for 40 percent of revenue depresses its value. A diversified portfolio increases it.
Staff turnover. A team that stays is immediately ready to work. A team that leaves costs the buyer money.
Dependence on you. Can the business continue to operate without your daily presence? If so, its value increases.
Quality of record-keeping. Clear financial figures shorten the audit process and reduce the risk for the buyer.

This range is a rule of thumb, not a guarantee. The final price is always determined by an audit of the books. We will, however, explain exactly how we arrive at our offer so that you can follow the calculations yourself.

Is a cleaning company for sale or up for acquisition?

Many business owners list their cleaning companies for sale on an acquisition platform. It works, but it takes time and is rarely discreet. Your listing is public. Competitors and customers can see it, and that causes unease among your staff.

Would you prefer to offer your cleaning company for sale directly? If so, please contact us. We handle the sale of cleaning companies without an intermediary. You’ll speak directly with management, and there’s no need to place an ad.

Why Sell to 12B Clean

There are more parties acquiring cleaning companies. The difference lies in what the buyer does itself.

We do the work ourselves. 12B Clean is not an investment firm. Our people are out in the field every day, from the office to emergency situations.
Over 160 employees. Your team will be joining an organization that can handle the workload, with coverage in case of illness and a well-established schedule.
A 9.8 rating from our customers. Your customers won't notice any decline in quality. See the proof of our work.
VCA-certified and available 24/7. We operate throughout the Netherlands, with dedicated teams that know the local area.
Comprehensive range of services. In addition to general cleaning, we provide specialized cleaning and emergency cleanup services. Your customers can turn to us for more than they currently purchase from us.

12B Clean was founded by Jack Oosterwaal and Michael de Bruine out of frustration with the quality of service in the industry. That principle also applies to acquisitions. There’s simply nothing cleaner or better.

Request a confidential consultation

Are you considering selling your cleaning company? Start with a no-obligation consultation. We’ll sign a confidentiality agreement in advance so you can speak freely.

Call 085 – 060 26 23 and ask to speak with management, or send a message via the contact form. You’ll receive a response within one business day.

Call to schedule a confidential meeting with management

085 – 060 26 23

What Our Customers Say

Our cleaning services are handled by 12B Clean. I don't have to worry about a thing!

Lies Drieskens-Blad
Owner of Blad Rijopleidingen vof, Rotterdam

A cleaning company is a partner of your organization. It contributes to the company's success.

Jack Stoffels
General Manager, Z’andvillas

12B Clean provides ample time and attention to those left behind who have been affected and offers them a helping hand.

Carla
Individual

Frequently Asked Questions About Selling Your Cleaning Company

What will happen to my staff if I sell my cleaning company?

In an asset-liability transaction, your employees are automatically transferred as part of the transfer of the business. Their terms of employment and years of service remain unchanged. 12B Clean keeps existing teams together and allows people to work at their own locations.

Will my request to sell remain confidential?

Yes. We sign a confidentiality agreement prior to the first substantive meeting. Your employees and clients will not be informed until you give your permission, which is usually after the transfer.

How long does an acquisition process take?

Expect the process to take four to six months from the initial meeting to the notarial transfer. The due diligence review is usually the longest phase and takes four to eight weeks.

How is the value of my cleaning company determined?

We apply a multiplier to normalized EBITDA, which in this industry typically ranges from three to five. The term of your contracts, the diversification of your revenue, and employee turnover determine where you fall within that range.

Can I sell a portion of my business?

That's possible. Some business owners transfer only a client portfolio or a specific branch of their business. Discuss your situation during the introductory meeting.

Does 12B Clean also acquire small cleaning companies?

Yes. We do not have a minimum requirement for revenue or number of employees. A company with five cleaning staff and a stable client base is of interest to us.

Do I need to remain involved after the sale?

That’s up to you. Some business owners stay on for a few months to facilitate the transfer of client relationships. Others leave immediately. We’ll include that agreement in the letter of intent.

Can't find your question here? Give us a call or send us a message.