What 5 KPIs Should Catch Basin Cleaning Service Business Track?
KPI Metrics for Catch Basin Cleaning Service
Running a Catch Basin Cleaning Service requires intense focus on asset utilization and contract profitability This guide outlines 7 core Key Performance Indicators (KPIs) you must track weekly and monthly to ensure sustainable growth in 2026 and beyond Your primary financial levers are managing high initial capital expenditure (CAPEX) and optimizing service routes We focus on efficiency metrics like Gross Margin, which needs to exceed 795% (100% minus 205% variable costs) to cover fixed overhead of $14,600 monthly You must also drive down the Customer Acquisition Cost (CAC), starting at $1,200, by increasing contract size and retention Reviewing these metrics monthly helps you hit the projected October 2026 breakeven date
7 KPIs to Track for Catch Basin Cleaning Service
#
KPI Name
Metric Type
Target / Benchmark
Review Frequency
1
Customer Acquisition Cost (CAC)
Efficiency
Reduce spend from $1,500 to $1,100 per new municipal contract by Q4 2027; calculated as Total Sales & Marketing Spend / New Contracts Signed
Monthly
2
Contract Renewal Rate
Retention
Maintain 92% renewal rate on annual maintenance agreements; this measures stability after initial service delivery
Quarterly
3
Gross Margin Percentage
Profitability
Must stay above 65% after accounting for disposal fees and direct crew wages; calculated as (Revenue - Variable Costs) / Revenue
Weekly
4
Revenue Per Field Technician (FTE)
Productivity
Increase average daily revenue per crew from $2,200 to $2,800 by end of 2027; tracks labor output efficiency
Monthly
5
Asset Utilization Rate
Operations
Keep vacuum truck utilization above 80% during peak service months (April-October); tracks revenue-generating truck hours vs. available hours
Weekly
6
Months to Breakeven
Liquidity
Projected at 14 months (Q2 2027); tracks time until cumulative EBITDA turns positive
Monthly
7
LTV:CAC Ratio
Viability
Achieve a minimum 4:1 ratio by 2028; determines if customer lifetime value justifies acquisition spend
Quarterly
What revenue metrics indicate sustainable scaling?
Sustainable scaling for your Catch Basin Cleaning Service is measured by consistent Annual Recurring Revenue (ARR) growth, supported by a balanced mix of your service tiers and low client concentration risk.
Track Recurring Revenue Health
Calculate total ARR based on active Basic ($450), Pro ($850), and Compliance ($1,400) subscribers.
Monitor the percentage split; too heavy reliance on the Basic tier means defintely lower average revenue per user (ARPU).
Aim for 10% month-over-month ARR growth to signal healthy acquisition velocity.
If onboarding takes 14+ days, churn risk rises before revenue stabilizes.
Manage Concentration Risk
Identify the top 3 client types (e.g., HOAs, industrial facilities) driving revenue.
If any single client type accounts for over 30% of total revenue, your scaling plan is fragile.
Diversification prevents a single contract loss from wiping out months of growth efforts.
How do we ensure contracts cover high fixed and variable costs?
To cover your extremely high cost structure, your subscription contracts must be rigorously priced to achieve a 795% gross margin target, which requires immediate, drastic cuts to the 205% variable costs identified in your current model, a process detailed in How To Write A Business Plan For Catch Basin Cleaning Service?
Analyze Current Cost Structure
Target gross margin is set at over 795%.
Current variable costs hit 205% of revenue, which is a major problem.
This means your operating costs defintely exceed revenue before fixed overhead.
Contracts must be priced to reflect this severe cost imbalance immediately.
Immediate Cost Reduction Levers
Waste disposal currently accounts for 85% of variable spend.
Fleet costs are disproportionately high at 120% of revenue.
Negotiate disposal tipping fees down, perhaps by securing bulk contracts.
Optimize routing software to lower fleet mileage and fuel consumption.
Are our operational assets being used efficiently enough?
The efficiency of your Catch Basin Cleaning Service hinges entirely on maximizing truck hours and ensuring technicians complete more jobs per scheduled route. If you aren't tracking utilization rates daily, you're leaving significant revenue on the table, which is critical for a subscription model.
Asset Utilization Levers
Track actual truck hours used versus available time daily.
Aim for 6 to 8 billable truck hours per day per unit.
Measure service density: target 5 scheduled cleanings per route minimum.
Calculate Revenue Per Full-Time Equivalent (FTE) monthly.
If a technician brings in under $10,000 in monthly revenue, you're likely overstaffed.
Labor is your biggest variable cost; efficiency directly impacts your contribution margin.
If onboarding takes 14+ days, churn risk rises, hurting predictable subscription income. You defintely need tight scheduling software to optimize this.
How effectively are we acquiring and retaining high-value clients?
Your client acquisition effectiveness hinges on ensuring the projected $1,200 Customer Acquisition Cost (CAC) in 2026 significantly trails the Lifetime Value (LTV) for both Basic and Compliance tiers. We need hard data on lead conversion rates from the sales pipeline to validate acquisition strategy right now.
CAC vs. LTV Health Check
Projected CAC for 2026 is $1,200; LTV must exceed this by at least 3x for healthy scaling.
Track churn separately; Compliance customers likely show lower annual churn than Basic subscribers.
If Basic churn runs at 15% annually, LTV shortens significantly versus Compliance at 5%.
High churn deflates LTV, making that $1,200 acquisition cost unsustainable too fast.
Pipeline Conversion & Cost Control
Measure lead conversion rate from initial contact to signed subscription contract.
If conversion is below 10%, marketing spend efficiency is poor, raising effective CAC.
Focus sales efforts on property management firms, as they offer higher volume potential.
Key Takeaways
To cover high fixed overhead and 20.5% variable costs, the service must consistently maintain a Gross Margin percentage exceeding the critical 79.5% threshold.
Sustainable scaling requires immediately addressing the starting Customer Acquisition Cost (CAC) of $1,200 by focusing sales efforts on high-value Compliance contracts.
Due to heavy initial capital expenditure, operational efficiency must be prioritized by tracking Asset Utilization Rate weekly to ensure it remains above 75%.
Achieving the projected October 2026 breakeven date depends on rigorous monthly monitoring of Annual Recurring Revenue (ARR) growth alongside operational metrics.
KPI 1
: Customer Acquisition Cost (CAC)
Definition
Customer Acquisition Cost (CAC) shows exactly how much money you spend to bring in one new, paying subscriber. This metric is your primary check on marketing efficiency. If you can't afford the cost to acquire the customer, the business model fails, no matter how good the service is.
Advantages
Measures marketing spend efficiency directly.
Guides budget allocation across acquisition channels.
Links marketing output to long-term customer value.
Disadvantages
Ignores customer quality or eventual churn rate.
Can be skewed by one-time, non-recurring spend.
Doesn't account for the time it takes to close a deal.
Industry Benchmarks
For subscription maintenance models like yours, CAC should ideally be recovered within 12 months of the first payment. If your LTV:CAC ratio is 3:1, you're in a healthy spot. Since you target commercial clients, expect higher initial CAC due to longer sales cycles compared to direct-to-consumer apps.
How To Improve
Boost lead-to-customer conversion rates.
Prioritize low-cost acquisition like direct sales to HOAs.
Increase the average subscription tier signed initially.
How To Calculate
CAC is simple division: total money spent on marketing and sales divided by the number of new customers you added that month. You must include all advertising, salaries for sales staff, and marketing overhead in that spend number.
CAC = Total Marketing Spend / New Customers Acquired
Example of Calculation
If you project $180,000 in total marketing spend for 2026, and your target CAC for that year is $1,200, you know you need to acquire exactly 150 new customers to justify that budget. If you miss the customer target, your CAC shoots up fast.
Track marketing spend against new subscribers only.
Ensure sales commissions are baked into the spend total.
Your goal is reducing CAC from $1,200 to $900 by 2030; this defintely requires channel optimization.
KPI 2
: Annual Recurring Revenue (ARR)
Definition
Annual Recurring Revenue (ARR) shows how much revenue you expect to get from all active subscriptions over the next 12 months. It's the bedrock metric for subscription businesses because it measures revenue predictability. If you know your ARR, you know your baseline financial runway.
Advantages
Shows true long-term revenue commitment.
Aids in securing investment capital.
Drives focus toward customer retention efforts.
Disadvantages
Ignores one-time setup or emergency fees.
Can mask high customer churn rates.
Doesn't account for future price increases.
Industry Benchmarks
For service businesses like proactive maintenance, investors look for ARR growth exceeding 100% annually in the first few years. This aggressive growth signals strong product-market fit. Steady, mature companies might aim for 20% to 40% growth, but early-stage firms must prove rapid scaling potential.
Implement tiered pricing to increase average monthly revenue per user.
How To Calculate
Calculate ARR by taking the total revenue you expect to collect from all active monthly contracts over a full year. This gives you a clear, annualized view of your subscription base health.
ARR = Monthly Subscription Revenue x 12
Example of Calculation
Suppose your current client base generates an average of $500 per month per property management account for routine cleaning. To find the ARR, you multiply that monthly figure by 12 months. This calculation shows the expected revenue stability for the next year.
ARR = $500/month x 12 = $6,000
Tips and Trics
Review ARR changes monthly, not quarterly.
Track net new ARR (new sales minus lost revenue).
Ensure billing systems accurately capture all recurring fees.
Focus on upsells to existing clients for defintely quick growth.
KPI 3
: Gross Margin Percentage
Definition
Gross Margin Percentage shows your core service profitability after you pay for the direct costs of cleaning those catch basins. It tells you how much revenue is left over before paying for fixed overhead like office rent or management salaries. For your subscription model, this metric must be high because it confirms the recurring service itself is financially sound.
Advantages
Quickly flags rising direct costs like fuel or parts.
Guides decisions on pricing tiers for new subscribers.
Shows efficiency of your field operations team.
Disadvantages
Ignores costs like sales commissions or marketing spend.
Doesn't reflect overall company profitability.
Can hide inefficiencies if COGS definitions change.
Industry Benchmarks
For essential maintenance services like yours, Gross Margin should be robust. While general industry averages vary, a target implying variable costs below 20% (as suggested by your 100% - 205% structure) means you should aim for margins near 80%. If you are running closer to 50%, you're leaving too much money on the table per service call.
How To Improve
Tighten technician routing schedules to cut drive time.
Renegotiate supply contracts for cleaning agents and parts.
Bundle low-cost inspection services into higher-priced tiers.
How To Calculate
You calculate this by taking total revenue, subtracting the Cost of Goods Sold (COGS) and Variable Operating Expenses (Variable Opex), and dividing that result by the total revenue. This metric must be reviewed weekly to catch issues fast.
(Revenue - COGS - Variable Opex) / Revenue
Example of Calculation
Say your subscription revenue hits $50,000 for the week. Your direct costs-fuel, consumables, and the hourly wages for the technicians performing the work-total $10,000. You need to keep this number high to hit your target.
Track variable labor hours against revenue per job.
Ensure all consumables are logged against specific service tickets.
If you miss the 795% target, investigate immediately.
It's defintely better to overestimate variable costs than underestimate them.
KPI 4
: Revenue Per Field Technician (FTE)
Definition
Revenue Per Field Technician (FTE) shows how much money each full-time employee doing the hands-on work brings in. It's a key measure of labor productivity, telling you if your team is getting more efficient over time. You need this number to manage staffing costs against service delivery, honestly.
Advantages
Pinpoints labor efficiency gains directly.
Guides smart hiring and scheduling decisions.
Shows if training investments are paying off.
Disadvantages
Ignores time spent on admin or sales support.
Can be skewed by very large, infrequent jobs.
Doesn't reflect truck utilization or asset costs.
Industry Benchmarks
For specialized maintenance like catch basin cleaning, this metric should climb steadily as scheduling software improves and technicians master their routes. If you have 20 FTEs planned for 2026, you need a clear path to beat last year's number. Benchmarks are less about a fixed dollar amount and more about the rate of improvement you achieve.
How To Improve
Optimize technician routing to cut drive time between sites.
Increase service density within specific geographic zones.
Standardize service protocols to reduce job cycle time.
How To Calculate
You calculate this by taking your total revenue for the period and dividing it by the average number of field technicians working full-time equivalents (FTEs) during that same period. This tells you the revenue generated per person on the ground.
Example of Calculation
Say your projected total revenue for 2026 is $1.5 million, and you plan to have 20 FTEs on staff by year-end. Here's the quick math for that initial productivity level:
Revenue Per FTE = $1,500,000 / 20 FTEs = $75,000 per FTE
If last year's number was $68,000, you know you need to improve efficiency by about 10% just to keep pace with inflation and operational growth.
Tips and Trics
Review this metric monthly to catch efficiency slips fast.
Segment revenue by technician skill level or tenure.
Factor in non-billable time when analyzing dips.
Track this alongside Asset Utilization Rate, aiming for 75%+.
It's defintely better to see steady growth than huge spikes.
KPI 5
: Asset Utilization Rate
Definition
The Asset Utilization Rate shows how much time your expensive equipment spends actually earning revenue. For your catch basin service, this measures how often your vacuum trucks are actively working on billed jobs versus sitting idle. Hitting the 75% target means you're maximizing the return on those big capital investments.
Advantages
Ensures you get maximum revenue from high-cost vacuum trucks.
Highlights scheduling gaps or downtime that kills profitability.
Helps decide when you truly need to buy another truck.
Disadvantages
It ignores the actual revenue generated per hour worked.
It might push crews to accept low-margin jobs just to hit the time metric.
It doesn't account for necessary downtime like mandatory maintenance or regulatory checks.
Industry Benchmarks
For specialized field service fleets like yours, a utilization rate above 70% is usually considered good performance. Since vacuum trucks are major capital expenditures, aiming for 75% or higher is necessary to cover depreciation and financing costs effectively. If you fall below 65% consistently, you're defintely leaving money on the table.
How To Improve
Schedule jobs geographically dense within a single day to cut travel time between sites.
Implement pre-job checklists so trucks arrive ready to start generating revenue immediately.
Review weekly utilization reports to immediately address any truck dipping below the 75% threshold.
How To Calculate
You calculate this by dividing the hours the truck was actively billing customers by the total hours it was scheduled to be available for work that week. This is a weekly metric you must watch closely.
Asset Utilization Rate = Revenue-Generating Truck Hours / Total Available Truck Hours
Example of Calculation
Say you have 20 field technician FTEs running trucks in 2026. If the fleet works 5 days a week, 8 hours per day, that's 800 available hours per truck, or 16,000 total available fleet hours for the week. If the tracking system shows 10,000 hours were spent on revenue-generating catch basin cleanings, the utilization is 62.5%.
Asset Utilization Rate = 10,000 Revenue-Generating Hours / 16,000 Total Available Hours = 62.5%
Tips and Trics
Track travel time separately from actual job time for cleaner data.
Tie technician incentives to utilization rates above the 75% target.
If a truck is down for maintenance, exclude those hours from 'Total Available Hours.'
Watch for dips during slow months, like January or February.
KPI 6
: Months to Breakeven
Definition
Months to Breakeven shows when your total earnings finally cover all your startup costs and operating losses. For this subscription drainage service, we are tracking toward a specific goal: reaching breakeven in 10 months, projected for October 2026. We measure this by monitoring cumulative EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization), which is your running cash performance before accounting for non-cash items.
Advantages
It sets a concrete finish line for investors waiting for positive cash flow.
Monitoring cumulative EBITDA monthly keeps the team focused on profitability, not just revenue growth.
It helps manage the initial capital burn rate against a known recovery timeline.
Disadvantages
EBITDA ignores the large capital expenditure needed for vacuum trucks.
A fixed projection date like October 2026 can cause complacency if performance slips.
It doesn't show if monthly EBITDA is positive or negative right before the breakeven month.
Industry Benchmarks
Benchmarks for maintenance subscription models vary based on asset intensity. While pure software companies might aim for 18 months, heavy equipment services often take longer due to high upfront costs for vacuum trucks. Achieving breakeven in 10 months suggests either very efficient initial asset purchasing or faster-than-average customer acquisition velocity.
How To Improve
Drive Gross Margin Percentage above the 79.5% target immediately.
Reduce Customer Acquisition Cost (CAC) below the projected $1,200 target.
Increase the average monthly subscription value per property manager.
How To Calculate
You calculate this by summing up the monthly EBITDA figures starting from Month 1. Breakeven is the month where this running total moves from negative to zero or positive. This is why we monitor cumulative EBITDA monthly.
Months to Breakeven = The first month (N) where Cumulative EBITDA >= 0
Example of Calculation
To confirm the October 2026 projection (Month 10), you look at the running total. Suppose after 9 months, the cumulative EBITDA was -$15,000. If the projected EBITDA for Month 10 is $18,000, the cumulative total becomes $3,000, hitting breakeven that month.
Always track the cumulative EBITDA path, not just the monthly result.
If LTV:CAC falls below the 3:1 target, expect breakeven to slide past October 2026.
Model the impact of delayed revenue recognition on subscription billing cycles.
Review fixed overhead assumptions defintely every quarter for accuracy.
KPI 7
: LTV:CAC Ratio
Definition
The LTV:CAC ratio compares the total expected profit from a customer (Lifetime Value) against the cost to acquire that customer (Customer Acquisition Cost). This metric tells you if your growth strategy is profitable over the long haul. If the number is too low, you're spending too much to get customers who don't stick around long enough to pay for themselves.
Advantages
Confirms if customer relationships are profitable long-term.
Guides how aggressively you can spend on marketing efforts.
Shows if the subscription model supports sustainable scaling.
Disadvantages
Relies heavily on accurate LTV projections, which can shift.
Can mask poor unit economics if CAC is artificially suppressed.
Doesn't account for operational strain during rapid client onboarding.
Industry Benchmarks
For subscription maintenance services, a ratio of 3:1 is the accepted floor for sustainable scaling; this is the target you must hit. Anything below 2:1 means you're burning cash on every new client you sign up for catch basin cleaning. If you hit 5:1, you might be under-investing in marketing and leaving potential growth opportunities behind.
How To Improve
Reduce Customer Acquisition Cost (CAC) toward the $900 target.
Increase average subscription tier value (Average Revenue Per Account).
Improve customer retention to boost Lifetime Value (LTV).
How To Calculate
You need two inputs: the total expected profit from a customer over their relationship (LTV) and the total cost to acquire them (CAC). The ratio shows how many times LTV covers CAC.
Example of Calculation
First, you must project your LTV for a typical commercial property manager. If you project a client stays for 4 years paying an average of $75 per month in subscription fees, your LTV is $3,600. If your current marketing efficiency results in a CAC of $1,200, the ratio is calculated directly.
LTV:CAC = LTV / CAC
Using those figures:
LTV:CAC = $3,600 / $1,200 = 3.0
This 3.0 ratio means for every dollar spent acquiring a client, you expect to earn three dollars back over that client's life. This meets the minimum threshold for sustainable growth.
Tips and Trics
Review this ratio quarterly to catch negative trends early.
Segment the ratio by client type, like HOAs versus industrial facilities.
Don't let a high ratio mask poor service quality; churn is a lagging indicator.
Ensure LTV calculations use net profit, not just gross revenue, for accuracy. It's defintely better to be conservative here.
