How To Start Own Cleaning Business – Starting a cleaning business is easy and doesn’t cost a lot of money. You will need cleaning products, a love of cleaning and determination with a big heart!
The cleaning industry is a very low and easy to access market. Due to the small financial upfront costs and licensing requirements, virtually anyone can start a house cleaning business. In fact, when I entered high school, I started a cleaning business as a fun project and hobby. But we found out how lucrative the cleaning industry can really be!
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You may already have equipment that you can use in the beginning, and as you get more clients, you can 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 either for those who are planning a solo concert or for those who are planning 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 get ready to get your first clients.
This guide will help those who may already have a few clients but are ready to take their business seriously and make it a legitimate business.
Disclosure: Some of the links below are affiliate links. This means I may get a small commission if you click on one. There is no additional cost to you as a buyer. 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 provide you with free content. I really appreciate your support!
Operational Plan For Cleaning Services
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 the very least, your business plan should answer the basics of who, what, when, where, and how your business operates. This allows you to clearly define and be consistent with your services.
With ever-changing markets and the needs of your customers, your business plan is a living document. As your home cleaning business grows and markets change, you’ll want to reevaluate your plan.
Define who your target market will be. Will it be higher income families or middle class families? Will your client be a home owner or 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 first starting out, it’s best to pick one and then expand on it.
Most residential cleaning services clean Monday through Friday from 8 a.m. to 4 p.m. Do you count weekends or nights?
Choosing a name for your cleaning business can be fun. You can use your creative side. But keep in mind that your business name should clearly define what your cleaning business does. When people hear your business name, they should know that you are in the house cleaning business!
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To choose a name for your cleaning business, start with the keywords Maid, Cleaning & Service.
Place these 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 your company operates under. The type of structure you choose will determine what type of tax return forms you will need to file.
Each has its own tax benefits based on your business type, liability and size. It is extremely important to educate yourself about the different structures and how taxes are paid and filed with them.
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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, this depends on your state fees and the type of structure you choose to file.
Once you have chosen your business structure, you will need to enter your name with your state. This step makes your new cleaning business official
If you choose to register your business yourself, you will need to check with your state and read the requirements and fees carefully.
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Business registration requirements will vary by state. If you leave out a form or have any mistakes, it can 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 CPA to file your business registration in your state. It’s like using Turbo Tax or H&R Block to submit your taxes.
These pages take you step by step through the process of filling out the required form for each of the 50 states. Once completed, he will submit the form and fees on your behalf.
Some like IncFile have a basic package where they file your documents and you only pay the state filing fee with no additional fees unless you choose one of their services.
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That will be the most expensive option. If you already have an attorney or CPA you work with, you can pay them to file the registration forms in your state.
You will have to pay the state fees + service fee that will be charged by the lawyer or CPA.
An EIN is an employer identification number. It is a tax identification number to identify employers and certain businesses. If you filed as a sole proprietor, you may not need an EIN. However, I recommend applying for an EIN. You definitely need it when you’re 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 doing it now.
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There are several ways to apply for your EIN. You can apply online (I highly recommend this option, you will receive the number immediately!), by fax, snail mail or by phone. The IRS has information on filing options here.
The good news is that there are no federal licensing requirements to start a janitorial business, yes! (Another reason why the cleaning industry is so easy to get into!) However, some states and/or local governments may require a trade or professional license to do business in your area.
A business license (also called a professional license) is basically a license that allows you to do business in your local jurisdiction. When you apply and are approved, you will be authorized to operate your business in a designated geographic area.
For example, the city council in my area requires what they call a “business tax”. It’s their version of a business card. For a residential cleaning company, the “tax” is $50. Which really isn’t 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 office and ask. I did that and between the wait time and the conversation it was a 5 minute call.
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 cost is minimal. But it is very important that you verify the information.
If you do not comply with your state and local government requirements, you may be liable for fines in the future.
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You will want to get business insurance for your cleaning business. Accidents happen, we hate to admit it, but they do!
In the cleaning industry, we clean many different surfaces and around a lot of possible breakages, you will want to be sure that you will not be required to repair or replace any of these damages. 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 corners by not getting insurance, but it can really cost you in the end.
I remember thinking insurance would be such a HUGE expense….it actually cost very little since I was a solo cleaner to begin with.
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I was really nervous about this step, so I put it off until the very end. But once I called for quotes, I realized it really wasn’t!
If you’re just starting out with yourself, you won’t be spending thousands or even hundreds of dollars on insurance. My first monthly liability insurance premium was about $30 a month!
Insurance is so important to your small business that I’m going to dive into how it can help your company stand out and protect you from costly mistakes. Read all about it here —–> 5 reasons to insure a cleaning company
Always get multiple quotes to get insurance. Shopping for business insurance is similar to shopping for car insurance.
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I recommend starting with your insurance company. you
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