Starting a Cleaning Business: A Step-by-Step Guide

Starting a Cleaning Business: A Step-by-Step Guide

An array of services, including disinfecting, vacuuming, dusting, organizing, sweeping floors, and waxing, may be offered by a cleaning service. CDC-recommended techniques are now more widely accessible, enabling cleaning companies to eradicate the COVID-19 virus. In this book, we outline low-cost methods for starting and operating a cleaning service. You must complete these seven steps in order to launch your cleaning company.

1. Identify Your Company's Niche

The first step in starting your own cleaning business is deciding whether you want to provide commercial or residential cleaning services. Once you've chosen the type of cleaning service you want to offer, you may start looking for funding, getting supplies, and marketing your enterprise.

Cleaning firms cannot serve both residential and commercial clients at the same time since they require distinct tools and services for each. Additionally, you must choose whether you want to create your own cleaning company or buy a cleaning franchise.

Commercial vs Residential Cleaning

While residential cleaners work in houses, commercial cleaners clean offices. Commercial cleaning is typically more lucrative than residential cleaning due to add-on services like floor waxing, window cleaning, and deep cleaning. Even while commercial cleaning can be quite lucrative, beginning a residential cleaning service is typically less expensive.

Additionally, although commercial work is typically done at night, residential work is typically done during the day. Homeowners scrutinize their work and are specific about where pillows and blankets should be placed, which necessitates a lot more attention to detail while cleaning residential spaces. Considering that commercial properties are more important, you will need to work more quickly and with less attention to detail.

2. Write a Quick Business Plan

Next, create a financial projection-filled business plan for your cleaning company. Financial predictions are crucial components of your study since they enable you to express your ideas verbally.

To secure a sizable amount of capital from a bank or investor, you will need a business plan. Financial prediction collections make up business plans, which are typically produced with the use of business plan software. For income statements, balance sheets, and break-even points, you'll need software. To learn more about the company, you may obtain a Cleaning Services Business Plan Template.

Plan a Budget

Along with your business strategy, you should estimate your startup costs as well as your projected costs and profits for the first few years of operation.

The following expenses are likely to be incurred by a cheap cleaning service:

  • Limited liability companies can be registered for $100 to $500.
  • Depending on the number of employees, annual insurance costs range from $500 to $3,500. Monthly expenses should average $100 to $300.
  • Depending on the type of tools, cleaning equipment, and products can cost anywhere from $300 to $600, which includes: an expensive vacuum cleaner that costs $200 to $300, multiple large cleaning products that can cost $10, a broom that costs $10, a mop that costs $20, and dusting supplies that can cost $20.
  • Between $100 and $200 is the cost of online and print advertising.
  • An employee's hourly wage is approximately $12.

Your monthly income and expenses should be determined after you determine your expenses.

Choose Your Cleaning Rates

You may have the chance to increase revenue with improvements like window or appliance cleaning in addition to your business's location, competitiveness, clients, and interior condition.

When choosing rates, take into account the following possibilities:

Consider the following options when determining rates:

  • You'll often be charged per hour. By enquiring about the services provided by your rivals, you may determine your hourly pricing.
  • Due to the certainty of your monthly payment, you may find it easier to charge this rate. To calculate this amount, one must make an educated guess as to how long it will take to clean their home.
  • When you work in the commercial cleaning industry, you can charge per the square foot in a number of different ways. The average office charges between $0.05 and $0.20 per square foot.

3. Prepare Legal Documents

As soon as you have the funds to launch your cleaning service, all necessary paperwork should be in order, including a business bank account, an employer identification number, registration of the legal entity, and business registration. 

Get a Social Security number

A company's EIN is a number that is used to identify it for things like loans, bank accounts, and taxes. The IRS grants EINs without charge. It takes about 15 minutes to complete.

Create a Legal Entity

Owners of cleaning businesses must register their businesses in order to be permitted to run legally. If your business was ever sued, registering as a legal entity would safeguard your personal assets. Depending on your state, registration might cost anything from $40 to $500.

Getting a Business Bank Account

As a business owner, you must have a business bank account before incurring any expenses or hiring any new clients in order to keep your personal and corporate finances distinct.

Income and costs incurred by the business should be tracked separately. You will discover that using different accounts will streamline the procedure if you ever undergo an IRS audit. 

4. Equipment for Cleaning

The equipment needed to launch a cleaning service must be purchased. Here is a list of inexpensive supplies you will need to get going.

If you're starting with a budget, choose a few cleaning items you enjoy and brands you trust to prevent overspending or taking on too much debt.


There are various free options to launch your cleaning company. After you get your first customer, cleaning up your home or office is the best form of advertisement for your company. If you are a first-time business owner, starting a low-cost franchise will give you the training and support you need.

What steps will you take to launch your cleaning company today? What will you do with the mop now that it is in the bucket?

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