How To Start A Small Cleaning Business – Opening a cleaning business is simple and cheap. You need cleaning materials, a love for cleaning, and a lot of heart and willpower!
The cleaning industry is an accessible and very low market. With minimal startup costs and licensing requirements, almost anyone can start a house cleaning business. In fact, I started a cleaning business as a fun project and hobby when I started elementary school. But it turns out how profitable the cleaning industry really is!
How To Start A Small Cleaning Business
You may have equipment to use at first, and the more customers you get, the more you can invest in your house cleaning business.
How To Start A Cleaning Business From Home
This guide is for anyone who wants to learn how to start a house cleaning business. It is intended for those who intend to act solo or for those who intend to recruit.
It’s useful for those who are just starting out and don’t have their first client yet, this guide will help you prepare to get your first client.
This guide will help those who may already have a few clients but are serious about their business and ready to turn it into a legitimate business.
Disclaimer: Some of the links below are affiliate links. This means I get a small commission if you click one. This is at no cost to you as a buyer. These are all products that I use exclusively in my cleaning business. I only recommend products or services that I have used, tested and highly respect. If you order through my link, it will give you free content. Thank you very much for your support!
How Do I Start A House Cleaning Business?
Your business plan is like your road map. To be successful in your cleaning business, you need to know where to turn. Without it, you get lost and lose focus.
At the very least, your business plan should provide basic answers to the who, what, when, where and how of the business function. This will help you define and align your services clearly.
Because your customers’ markets and needs are constantly changing, your business plan is a flexible document. As your house cleaning business grows and the market changes, you’ll want to reevaluate your plan.
Determine who your target market will be. High income families or middle class families? Will your client be a landlord or manager of an apartment complex?
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Do you plan to offer one-time cleaning or recurring cleaning services such as weekly, bi-weekly or monthly cleaning or recurring cleaning?
There are many cleaning services available. When starting out, it’s best to pick one and then expand later.
Most residential cleaning services are cleaned Monday through Friday, 8:00-16:00. Can you include weekends or nights?
Choosing a name for your cleaning business can be fun. You can use your creative side. But remember, 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!
How To Start A Cleaning Company
To choose a name for your cleaning business, start with the main keywords of housekeeper, cleaning and service.
Put these words on a piece of paper and start writing down as many adjectives and other words as possible that describe your company and make your company stand out.
A business structure is the type of legal structure under which your company operates. The type of structure you choose will determine what type of tax return you file.
Each has its own tax benefits depending on the type of business, liability and size. It is important to learn about the different structures and how taxes are paid and submitted for each of them.
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Start with those who pay the taxes. They know your personal tax situation and can guide you according to your needs.
Estimated cost: $50 to $200, depending on your state of residence and the type of structure you choose.
Once you’ve chosen your business structure, you’ll need to file your name with the state. This step is what establishes your new house cleaning business
If you choose to register your business yourself, contact your state to carefully read the requirements and fees.
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Business registration requirements vary. If you cancel a form or make an error, it may delay your profile. Check with your state’s website to make sure you’re eligible.
These types of services are cheaper than registering an attorney or CPA in the state. It’s similar to using Turbo Tax or H&R Block to file your taxes.
These sites will guide you step by step in filling out the required forms for each of the 50 states. Once completed, they will send the forms 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, and no additional fees unless you choose their service.
Starting A Commercial Cleaning Business
This would be the most expensive option. If you have a lawyer or CPA working for you, you can submit a state registration form for them.
You must pay the state fee + service fee charged by a lawyer or CPA.
EIN is an Employer Identification Number. A tax identification number that identifies certain employers and businesses. If you are filing as a sole proprietor, you may not need an EIN. I recommend applying for an EIN. You will need this when you hire your first employee.
To apply for an EIN, you must file an SS-4 with the IRS. Applying is free and simple, so I recommend doing it now.
How To Start A Small Cleaning Business [essentials]
There are several ways to apply for an EIN. You can apply online by fax, email or phone (I recommend this option, you will get your number right away!). The IRS has filing options here.
The good news is 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 do business in your area.
A business license (also known as a professional license) allows you to do business in your local jurisdiction. Once your application is approved, you will be authorized to operate your business in the designated geographic area.
For example, the municipality in my area requires what they call a “business tax”. This is a copy of their professional license. For a residential cleaning company, the “fee” is $50. It’s really not much.
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Do you know if your area requires a business license? The easiest way to find out is to call the local municipality and ask. That’s what I did, and it was a 5 minute phone call between the wait and the interview.
SBA world of training and information. Visit SBA.gov to find your state and search permit requirements.
Not all states and municipalities require this, and if so the cost is minimal. But it is very important that you verify the information.
If you don’t meet the requirements of your local states and municipalities, you may pay fines in the future.
How To Start A $125k/month Cleaning Business
You may want to get commercial insurance for your cleaning business. Accidents happen and we hate to admit it, but they do!
In the cleaning industry, we clean many different surfaces and cause many damages, and we want to make sure that we are not responsible for repairing or replacing any of these damages. That’s why insurance is such an important part of your clearing business.
When you first start your house cleaning business, it may seem easy to cut costs and/or cut corners by not getting insurance, but it really will pay off in the end.
I remember the insurance was going to be a huge expense…actually it cost a lot less because I was a solo keeper at first.
House Cleaning Business Plan Template
I was really stressed by this stage so I left it until the end. But when I called to get a quote, I realized it wasn’t real!
If you’re just starting out, you won’t be spending thousands or even hundreds of dollars on insurance. My first insurance premium was about $30 a month!
Insurance is important to your small business, and I can help you make sure your company stands out and protect you from costly mistakes. Read everything here —-> 5 reasons to insure your cleaning business
Always get multiple insurance quotes. Shopping for business insurance is similar to shopping for car insurance.
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I suggest you start with your car insurance company. are you
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