244: MyClean – How A Former Banker Bootstrapped a $20K investment into a $9M Tech Startup
Michael Scharf, left his comfortable, investment banking career to co-found a premier cleaning tech startup called MyClean. He quickly immersed himself in the world of dirty, NYC apartments, toilet bowls and dust bunnies. However, the big story is how MyClean bootstrapped its way from a $20K website investment into a $9M company rather than chase venture capital funding.
The startup began life as a “Uber for Cleaning,” but outsourcing their cleaners to attend to customers’ needs quickly proved to be a failure that resulted in a series of one-star reviews on Yelp. Pivoting quickly was the best thing to happen to the up and coming business.
MyClean switched to convert cleaners from outsourced, 1099 contract workers to W-2, full-time employees. Their cleaners were all now fully trained to deliver on MyClean’s 50 Point Checklist and receive an array of afforded benefits, like health insurance, paid sick leave, workers comp, and 401(k) options.
By treating their employees well, they were ultimately servicing their customers too—even if this meant that their prices are 10% – 20% higher than their competitors who contract their cleaners. The results speak for themselves with over 200 cleaners and 20 office staff employees who have completed more than 375,000 home and office cleans since launching between NYC and Chicago.
I wanted to hear more about this great story behind co-founding MyClean and also understand his plans for the future too so invited Michael Scharf onto the Tech Blog Writer Podcast.
“I made the jump to join MyClean full-time in September of 2010. Since that time we have grown from a start-up company with just a few employees to a company that now employs over 250 people. I am honored to be in a position of leadership with an organization whose two primary missions are amazing customer service and job creation.”