How Do I Start My Own Cleaning Business – Starting a cleaning business is easy and doesn’t cost a lot of money. You’ll need cleaning supplies, a love of cleaning, and determination with a lot of heart!
The cleaning industry is a very low entry market, but it is easily accessible. Due to the low financial start-up costs and licensing requirements, almost anyone can start a house cleaning business. In fact, when I started grad school, I started a cleaning business as a fun project and hobby. But I realized how lucrative the cleaning industry could actually be!
How Do I Start My Own Cleaning Business
You may already have equipment that you can use in the beginning, and as you get more clients, you will be able to invest more money in your house cleaning business.
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This guide was created for those who want to learn how to start a house cleaning business. It is intended for those who plan a solo performance or those who plan to hire employees.
It will be helpful for those who are just starting out and don’t have their first client yet, this guide will help you get started and ready to land your first clients.
This guide will help those who may already have a handful of clients but are ready to get serious about their business and make it legal.
Disclosure: Some of the links below are affiliate links. This means I might earn a small commission if you click on one. There are no additional costs for you as a customer. All of these products are products that I have used exclusively in my cleaning business. I only recommend products or services that I have used, tested and have high regard for. When you order through my link, it helps to provide free content. I greatly appreciate your support!
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Your business plan is like your road map. To succeed in your cleaning business, you need to have a documented focus so you know where to go. Without it, you will get lost and lose focus.
At a minimum, your business plan should answer the basic who, what, when, where, and how of your business functions. This will allow you to clearly define and be consistent with your services.
Because of the constant changes in the market and the needs of your customers, your business plan is a living document. As your house cleaning business grows and markets change, you’ll want to reevaluate your plan.
Define who your target market will be. Will it be upper-income families or middle-class families? Will your client be a home owner or an apartment complex manager?
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Do you plan to offer recurring cleaning services on a weekly, bi-weekly or monthly basis or one-off cleanings such as foreclosure or move-out cleaning?
There are many different types of cleaning services on offer. When you’re just starting out, it’s best to pick one and expand on it later.
Most apartment cleaning services clean Monday through Friday, 8 a.m. to 4 p.m. Will you include weekends or nights?
Choosing a name for your cleaning company can be fun. You can use your creative side. But keep in mind that your company name should clearly define what your cleaning company does. When people hear your company name, they should know that you clean houses!
Cleaning Business Card
To choose a name for your cleaning company, start with the keywords maid, cleaning, and service.
Put those words at the top of a sheet of paper and start writing as many adjectives and adverbs as you can that will describe your company and describe what makes your company stand out.
A business structure is the type of legal structure in which your company operates. The type of structure you choose will determine what type of tax return forms you will need to file.
Each has its own tax advantages based on your type of business, liability and size. It is extremely important to educate yourself about the different structures and how taxes are paid and reported with each one.
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Start with your tax preparer. They will be familiar with your personal tax situation and can guide you in the right direction for your needs.
Estimated Cost: $50 – $200, depends on your state taxes and the type of structure you choose to file.
Once you’ve chosen your business structure, you’ll need to register your name with your state. This step is what will make your new house cleaning business official
If you decide to register your business yourself, you will need to check with your state to read the requirements and fees carefully.
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Business registration requirements vary by state. If you leave out the form or have any errors, it may delay your submission. Be sure to check your state’s website to make sure you’re in compliance.
These types of services are less expensive than hiring an attorney or your CPA to file your business registration in your state. It’s like using Turbo Tax or H&R Block to file your taxes.
These pages will walk you through the step-by-step process of filling out the required form for each of the 50 states. Once completed, they will send the form and fees on your behalf.
Some like IncFile have a basic package where they will archive your documents and you only pay the government filing fee, with no additional fees unless you choose one of their services.
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This will be the most expensive option. If you already have an attorney or CPA working with you, you can pay them to file your registration forms in your state.
You will have to pay government fees + a service fee that will be charged by the lawyer or CPA.
EIN is an employer identification number. It is a tax number for identification of employers and certain companies. If you filed as a sole proprietor, you may not need an EIN. However, I recommend applying for an EIN. You will definitely need it when hiring your first employee.
To apply for an EIN, you will need to file an SS-4 with the IRS. It’s free and easy to apply, so I highly recommend you do it now.
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There are several ways to apply for your EIN. You can apply online (I recommend this option, you will receive your number immediately!), by fax, regular mail or phone. The IRS has information on filing options here.
The good news is that there are no federal licensing requirements to start a house cleaning business, yes! (Another reason why it’s so easy to jump into the cleaning industry!) However, some states and/or local municipalities may require a business or professional license to operate in your area.
A business license (also called a license to operate) is basically a permit that allows you to operate a business in your local jurisdiction. Once you apply and are approved, you will be authorized to operate in the specified geographic area.
For example, the city council in my area requires what they call a ‘business tax’. It’s their version of a license to operate. For a residential cleaning company, the “tax” is $50. Which is actually not much.
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Not sure if your area requires a business license? The easiest way to find out is to call your local municipality and ask. That’s what I did, and it was a 5 minute conversation between waiting and talking.
SBA is a world of training and information. Visit this page —–> SBA.gov to find your state and search licensing requirements.
Not all states and municipalities require it, and if they do, the costs are minimal. But it is very important that you check the information.
You could be liable for fines in the future if you do not comply with the requirements of your state and local municipalities.
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You will want to get business insurance for your cleaning business. Accidents happen, we don’t like to admit it, but they do!
In the cleaning industry we clean a lot of different surfaces and around a lot of possible breakages you should be sure that you won’t have to repair or replace any of that damage. That’s why insurance is a very important part of your cleaning business.
When you first start a house cleaning business, it may seem easy to cut costs and/or losses by not getting insurance, but it can really cost you in the end.
I remember thinking that insurance would be a HUGE expense…it actually cost very little as I was a self-employed cleaner to begin with.
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I was very nervous about this step, so I put it off until the very end. But when I called around and asked for offers, I realized that it really wasn’t!
If you’re starting out with just yourself, you won’t be spending thousands or even hundreds of dollars on insurance. My first monthly premium for my liability insurance was about $30 a month!
Insurance is so important to your small business that I cover how it can help your business stand out and protect you from costly mistakes. Read all about it here —–> 5 Reasons to Insure Your Cleaning Business
To get insurance, always look for multiple quotes. Buying business insurance is similar to buying car insurance.
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I recommend starting with an auto insurance company. Your
